October 27, 2003
Information Release from Hera, LLC - Status of AOD™ Product and License.*

September 4, 2003
Joint Press Release by Hera, LLC and FGC, Inc. – Successful addition of ammonia conditioning to already installed sulfur trioxide conditioning for enhancement of precipitator performance.

May 2, 2003
Press Release by Hera, LLC – Successful start-up of new AOD™ systems at Midwestern power plants.*

December 11, 2002
Paper Jointly Presented by EEC, the U.S. Licensee of Hera and Siirtec Nigi’s AOD™ System, and AEP ProServ, Inc., EEC’s Customer.*

October 21, 2002
Marketing Release by Hera - Target Sales Exceed $450 Million

September 24, 2002
Industry Release by Hera, LLC - Issuance of Acousticat™ Patent

June 11, 2002
Industry Release by Hera, LLC - Issuance of CUBS™ Patents

May 16, 2002
Paper Presented by EEC, the U.S. Licensee of Hera and Siirtec Nigi’s AOD™ System, at May 2002 DOE SCR and SNCR Conference in Pittsburgh, PA*

January 22, 2002
Joint Release by Hera, LLC and FGC, Inc.

November 29, 2001
Press Release by Environmental Elements Corporation, the U.S. Licensee of Hera and Siirtec Nigi’s AOD™ System*

November 7, 2001
Press Release by Environmental Elements Corporation, the U.S. Licensee of Hera and Siirtec Nigi’s AOD™ Technology*

August 14, 2001
Marketing Release by Hera - Sales of Co-Pilot™

July 24, 2001
Industry Release by Hera, LLC - Issuance of ADS™ Patent

July 3, 2001
Abstract of Paper Jointly Presented by EEC, the U.S. Licensee of Hera and Siirtec Nigi’s AOD™ System and AEP ProServ, Inc., EEC’s Customer.*

June 12, 2001
Industry Release by Hera, LLC - Issuance of Co-Pilot™ Patents

January 04, 2001
Joint Press Release by EEC, the U.S. Licensee of Hera and Siirtec Nigi’s AOD™ System, and AEP ProServ*

November 2000
Joint Release by Hera, LLC and Fossil Energy Research Corporation - Providing SNCR Sales, Marketing and Technical Assistance to Mitsui Babcock (MBE)

July 25, 2000
Industry Release by Hera, LLC - Issuance of AOD™ Patent.*

May 24, 2000
From the First Quarterly Report of Environmental Elements Corporation, the U.S. Licensee of Hera and Siirtec Nigi’s AOD™ Process.*

May 5, 2000
Industry Release by HERA, LLC

April 6, 2000
Joint Press Release by Peerless Manufacturing Company and Environmental Elements Corporation, the U.S. Licensee of HERA’s AOD™ Process.*

March 2000
McIlvaine Newsletter FGD and DeNOx

February 3, 2000
Press Release by BHA Group, Inc.

January 11, 2000
Press Release by Environmental Elements Corporation, the U.S. Licensee of HERA and Siirtec Nigi’s AOD™ Process.*

January 7, 2000
Industry Release by HERA, LLC

September 27, 1999
Press Release by Environmental Elements Corporation, the U.S. Licensee of HERA and Siirtec Nigi’s AOD™ Process.*

* AOD was a trademark of HERA's former licensee Environmental Elements Corporation. Hera makes no claim to the mark AOD.

October 27, 2003

Hera, LLC and SINI S.p.A., the inventors, patent and design owners, and licensors of the Ammonia on Demand AOD™ technology, wish to express their appreciation to Environmental Elements Corporation, their prior exclusive Licensee of the AOD™ process in the United States, for EEC’s excellent efforts in organizing a team to develop the AOD™ into its current Standard design. This Standard has proved to be an overwhelming success, from “Push-button” start ups, to 100% availabilities in meeting or exceeding ammonia production requirements. Unfortunately, because of EEC’s changing financial conditions and business objectives, Hera/SINI had given EEC a Notice of Termination of its license with EEC, and an amicable termination was worked out.

Since this termination, Hera has gathered the team, which includes the third party designers and manufacturers of the Standard AOD™ systems, as well as financially sound general contractors, who wish to work directly with customers for future installations of Ammonia on Demand ™ systems. Accordingly, any requests for quotes or questions should be addressed to Jim Ferrigan or R.J. Mudd at info@herallc.com, or 949.707.5432.

One further item to be noted is that any settlement of the dispute between EEC and the Triad of EC&C, Hamon Research Cottrell, and Wahlco, Inc., has no affect whatsoever on Hera’s patents or its right to continue in the manufacture, marketing or licensing of the system. Any questions which you may have on this latter item may be addressed to Howard Sandler of Hera.

September 4, 2003

Hera, LLC and FGC, Inc., announces the successful addition of ammonia module to an existing sulfur trioxide flue gas conditioning system, at a major mid-western utility. This addition, coupled with optimization efforts primarily between the plant and Hera personnel, proved the ability of the utility to burn a lower cost coal, without resulting in an excessive opacity problem. The utility’s fuel savings far outweigh the additional cost of the ammonia module. This success has led to inquiries from other utilities with similar problems. Furthermore, Coal Producers have also contacted Hera with the indication that they may be willing to pay for the equipment and optimization cost of any necessary upgraded FGC system, in return for a contract on lower cost coals that may be burned by the specific utility, with the Hera,LLC/FGC,Inc upgrade and optimization.

May 2, 2003

Hera, LLC announces that its licensee, Environmental Elements Corporation, has sold and successfully started up six 2,000 lbs/hr AOD systems at two different mid-western power plants. Each plant has a nominal full load ammonia demand of 3,500 lbs/hr. The full load demand can be more than met with any two hydrolyzers in service. The plants started up in a “push-button” fashion. Indeed, at one of the plants, which operated for the full 2003 ozone season, the units operated flawlessly all season, with switchover from one system to the other being completely automated and accomplished by a single command from the central control system.

December 11, 2002

EEC and AEP presented a paper at PowerGen 2002 in Orlando Florida which detailed EEC’s standard design for Ammonia on Demand systems, which results in lower operating costs and improved availability. These new systems are the third generation of AOD™ systems, and are now the standard of the industry.

October 21, 2002

From time to time Hera enters into what we term as “Target Sales” Agreements with various clients. Generally these arrangements are for large capital goods contracts with Power Plants, and, because of Hera’s particular utility knowledge and influence, Hera’s clients rely heavily on our marketing, sales and support personnel to lead the customer interface and assist in proposal strategy. Hera’s compensation for these efforts is almost exclusively result orientated.

Since 1998, Hera has been very successful in its Target Sales endeavors, as evidenced by bookings of over $450 Million on behalf of its clients.

September 24, 2002

Hera, LLC is pleased to announce that on September 24, 2002, United States Patent Number 6,455,456 issued to Hera for its Acousticat™ System.

The Acousticat™ system is directed towards using Sonic and Infrasonic Wave Generators to clean SCR catalyst modules. This system incorporates several novel approaches, including: having a short wave (with vigorous cleaning action), piggy back on long waves (sweeping action), for superior cleaning, with fewer obstructions than other known systems; and phase control of generators in adjacent SCR layers, to alleviate self imposed negative interference with the cleaning actions.

In addition to the patent, Hera has developed a sophisticated computer program to simulate and illustrate acoustic cleaning action within an SCR. The program accepts a number of variables to aid in the modeling of the most beneficial frequency and generator placement.

June 11, 2002

Hera, LLC is pleased to announce that it has recently received two new United States Patents (Nos. 6,403,046 and 6,146,605) for its CUBS™ System. An additional patent is pending.

Hera’s CUBS™ system is a device for use by Power Generators, who have a simultaneous need for both ammonia and urea. Examples of applications for the CUBS™ can be seen where ammonia is required, for example in an SCR system, and urea is required for a contiguous SNCR system.

May 16, 2002

Due to increased governmental regulation of NOX gases, many power plants have installed or plan to install Selective Catalytic Reduction (SCR) processes to reduce their NOx emissions. The anhydrous ammonia often used for this process is dangerous, which has led to the development of Ammonia-On-Demand™ (AOD™), a system designed to convert granular urea to ammonia. This alternative offers increased safety and less environmental risk than anhydrous ammonia .

The first installation was in 2000 on an oil-fired 580 MW unit in Massachusetts, and was successful in demonstrating the AOD™ process. The following year, the AOD™ process was scaled up to 2,600 MW for the James M. Gavin plant of American Electric Power (AEP) in Cheshire, Ohio. The summer of 2002 marks the startup of the 3rd generation of AOD™ systems at AEP's Amos and Mountaineer plants and the development of the AOD™ system standard product line. The product line includes 5 reactor sizes, ranging in capacity from 250 to 4000 pounds of ammonia per hour. Each system consists of a feed preparation area, a reactor vessel, and ammonia injection spools.

New developments in the preparation and storage of urea solution include batch preparation of urea solution and isolation of the preparation step from the operation of the rest of the system. Optimization of the solution preparation step has resulted from operating results from the most recent installations, and includes new features for bulk urea handling and storage. Proprietary technology for urea solution preparation has resulted in minimal time for solution preparation, with lower operating cost and reduced requirements for solution storage.

The reactor vessel design has been optimized to improve system efficiency and operability. Operational data from the newest generation of systems proves the AOD™ system consumes less energy and is capable of tracking demand more precisely than in previous installations. This leads to tighter control of NOX gas emissions with less energy input to the system. The increased tracking of ammonia demand is also beneficial in reducing ammonia slip through the SCR’s. The improved operability, reduced operating costs and increased reliability of this latest generation of AOD™ systems provides the utility industry with a proven alternative to the more dangerous anhydrous or concentrated aqueous ammonia systems for application to SCRs.

January 22, 2002

FGC has booked the first contract for the DSI™ Flue Gas Conditioning System. This Flue Gas Conditioning System differs from others, by incorporating a superior, trouble free means of handling and transporting the dry sulfur feed stock, as well as metering and burning the melted sulfur flow. The DSI™ system is suitable for new and existing Flue Gas Conditioning Applications, and particularly in the retrofit of the many troublesome dry sulfur systems which have been manufactured in the past.

Hera, LLC has conceived this system, and exclusively licensed its technology and proprietary position to FGC, Inc. Hera is also FGC’s exclusive sales representative for this system. Hera currently has a patent pending on the DSI™ system.

November 29, 2001

Environmental Elements Corporation announced that it has been awarded a contract to supply Ammonia-on-Demand (AOD) systems to electric generating plants owned or operated within the American Electric Power system. The contract is valued in excess of $35 million and will proceed immediately for delivery beginning in spring 2002 and continuing through the end of 2003.

November 7, 2001

Environmental Elements Corporation has received two significant new contracts from American Electric Power for EEC's Ammonia-on-Demand™ technology (licensed from Hera, LLC and Siirtec Nigi), which facilitates the control of nitrogen oxide emissions. EEC will install an AOD system on Unit 3 of AEP's John E. Amos Plant and on the single-unit Mountaineer Plant located in St. Albans, West Virginia and New Haven, West Virginia, respectively. These awards followed the successful start-up in May of another AOD system installed by EEC at the Gen. James M. Gavin power plant in Cheshire, Ohio, which utilizes a pair of the nation's largest capacity generating units (1300mw each). The Amos and Mountaineer units are also rated at 1300mw.

August 14, 2001

Hera is pleased to announce that it has recently booked commercial orders for its Co-Pilot™ system, which is used in the in-situ evaluation of many aspects of SCR catalyst (including NOx removal efficiency, resistance to poisoning, resistance to abrasion, effect of variable exhaust flow composition, temperatures, and the like). Two of these systems were sold to a major North American Utility, and another to a large international catalyst supplier.

July 24, 2001

Hera, LLC is pleased to announce that on July 24, 2001, United States Patent Number 6,264,905 issued to Hera for its ADS™ System

The ADS™ system deals with Ammonia slip, which is a known unwanted by-product when using either SNCR or SCR processes to reduce NOx emissions. With the ADS™ system, some of the hot and/or intermediate layers of the heat exchange elements of regenerative air heaters include an integrated adsorbent/desorbent media. The media is structured as a molecular sieve to adsorb ammonia molecules on the gas side (while rejecting S02 or S03 molecules) and desorbing the adsorbed ammonia into the incoming combustion air. The desorbed ammonia is destroyed in the boiler or reused in the SNCR or SCR system.

First phase analysis of the ADS™ system has been completed and the general parameters and broad details of the physical and chemical aspects of the system have been verified by known experts.

July 3, 2001

"Design and Operation of a Safe Alternative to Anhydrous Ammonia: Urea-Based Ammonia-on-Demand (AOD™) at AEP's Gavin Station" by Robert T. Glesmann, Hamilton G. Walker, Jr. and Sheila M. Haythornthwaite, Environmental Elements Corp., Baltimore, MD and Peter Scheckermann, AEP ProServ, Inc., Columbus, OH. Presented at Coal-Gen Conference, Chicago, IL, July 2001. 8 p. Environmental Elements Corp.¨ (EEC) designed and fabricated, and AEP Pro Serv¨ (ProServ) installed the second-ever Ammonia-on-Demand (AOD™) System at American Electric Power's General James Gavin Station in April 2001, and started commercially supplying ammonia to the Selective Catalytic Reduction (SCR) system on May 1, 2001. The two Gavin 1300 MW bituminous-coal-fired units share the ammonia delivery system, with a total capacity of 7,000 lb/hr ammonia. The AOD™ system produces ammonia from urea on-site as needed, tracking production with boiler load. This innovative technology avoids the regulatory complications and safety hazards associated with anhydrous ammonia transport and storage. This paper describes the system components and operation of the system, demonstrated to achieve target (up to 90%) levels of NOx reduction during the May 2001 start up.

June12, 2001

Hera, LLC is pleased to announce that it has recently received two new United States Patents (Nos. 6,120,580 and 6,245,134) for its Co-Pilot™ System.

Hera’s CoPilot™ system is a device for the in-situ testing of small samples of SCR catalyst on site, and under conditions which replicate actual operating conditions.

January 04, 2001

Environmental Elements Corporation and American Electric Power announced that they have executed an agreement designed to provide additional support for the commercialization of Environmental Elements Corporation's Ammonia on Demand (AOD) technology in the power generation market. American Electric will employ the AOD technology to achieve federally mandated reductions in nitrogen oxide (NOx) emissions at its Gen. James M. Gavin power plant at Cheshire, Ohio.

November 2000

Hera and FERCO are pleased to announce that they have entered into an Agreement with MBE to provide them with technology, marketing and sales assistance in the SNCR field. MBE has not had previous experience with SNCR; however, the company views it as an appropriate addition to their portfolio of low NOx technologies. MBE intends to market SNCR as a stand alone technology, and/or as a compliment to its current technologies of Deep Furnace Staging, Boosted Overfire Air and Coal and Gas Reburn. When marketed as a complementary or “packaged” technology, the overall systems will be identified by MBE’s new trademark CNCR™ (Combined Non Catalytic Reduction). MBE introduced its new SNCR/CNCR technologies at PowerGen 2000 in Orlando, Florida.

Hera and FERCO were uniquely qualified to provide this sales, marketing and technology assistance, with over 75 man years of SNCR experience, including the fact that principals of FERCO were inventors on the basic patents concerning SNCR technology, as used in modern day applications.

July 25, 2000

Hera, LLC is pleased to announce that on July 25, 2000, United States Patent Number 6,093,380 issued to Hera for its AOD™ System. Further patents applications are pending in the United States and world wide.

The AOD™ system manufactures ammonia on site and on demand from a urea feedstock. Hera, and its co-licensor, Siirtec Nigi of Milan Italy, have exclusively licensed the resulting U.S. Patent to Environmental Energy Corporation. This is the second patent to issue on the AOD™ system.

May 24, 2000

"The short term outlook appears good. The first quarter of our new fiscal year should reflect increased service and maintenance awards, and we are meeting our expectations for the progress of our new patented Ammonia-on-Demand (AOD™) technology for reduction of nitrogen oxide (NOx) emissions. Our recently announced marketing alliance with Peerless Manufacturing will accelerate the market penetration of this important technology," .....

May 5, 2000

Hera, LLC is pleased to announce the acquisition of the assets of Imtec, Inc. by Thermal Engineering International (USA). Hera acted as Imtec’s agent in arranging this sale and assisting in the deal structuring.

April 6, 2000

“.....Environmental Elements Corporation a leading technology and systems integration provider of air pollution control equipment and services in North America, and Peerless Mfg. Co. (Nasdaq: PMFG), announced today a cooperative marketing alliance. PMFG is a provider of Selective Catalytic Reduction (SCR) and ammonia delivery systems with over 140 installations. EEC has the only patented and commercially available technology for on-site urea based ammonia generation systems known as Ammonia-On-Demand (AOD™)...."

".....The AOD™ alternative allows SCR operators to use a safe chemical commonly used as fertilizer (urea) to generate ammonia on-site and on-demand and hence eliminate the need for storage, handling and transportation of ammonia...."

March 2000

HERA Can Reduce Ammonia Slip

HERA, LLC is an affiliation of senior management and technical consultants committed to assisting both private and publicly held companies. They will address the challenge of sales, operations, diversification and product development activities on an "as needed" basis.

The FGD and DeNOx Newsletter has mentioned HERA's work with the CoPilot module (a small module that can be inserted in flue ducts to evaluate catalysts) in the July 1999 issue and with AOD (on-site urea to ammonia; recently licensed to Environmental Elements Corp.) in the August and September 1999 issues. HERA has also introduced CUBS (a combined SNCR/ SCR Urea Based System), ADS (ammonia slip reduction system) and AcoustiCat (sonic catalyst cleaning program).

With the ADS™ system some of the hot and/or intermediate layers of the heating elements of regenerative air heaters include an integrated absorbent/desorbent media. The media is structured as a molecular sieve to absorb ammonia molecules on the gas side (while rejecting S02 and SO3 molecules) and to release the absorbed ammonia into the incoming air. The desorbed ammonia is then destroyed in the boiler or reused in to SNCR or SCR system.

CUBS delivers nitrogeneous NOx reduction agents from a common urea feedstock. For the SNCR stage the urea from the common feedstock is diluted prior to injection into the boiler and, for to SCR stage, the urea is used to produce ammonia.

The AcoustiCat™ program is a software package that defines optimum sonic emitter locations, frequencies and overlaps for SCR catalyst cleaning.

February 3, 2000

Hera acted as the Drayton’s agent in arranging this sale and assisting in the deal structuring.

"BHA Group Holdings, Inc. today announced that it has acquired Drayton Corporation’s Sound-Off Acoustic Cleaner Product Line. The purchase was completed on January 26, 2000. Terms of the acquisition were not discussed.

Acoustic Horns are used in various industries to assist the operating efficiency of air pollution control equipment. A common problem in fabric filter dust collectors and electrostatic precipitators is the excessive buildup of dust on the equipment’s internal mechanisms and hoppers, leading to poor filtering performance, increased maintenance, and increased energy costs. Acoustic horns help solve this problem by producing bursts of sound low frequency, high intensity sound waves that break apart impacted dust without damaging the equipment...."

January 11, 2000

"....Environmental Elements Corporation the leading technology and systems integration provider of air pollution control equipment and services in North America, announced today that its new Ammonia on Demand (AOD™) technology for use in nitrogen oxide (NOx) control systems received a US patent for converting non-toxic urea into ammonia, a necessary component in reducing NOx emissions from power plants and industrial facilities. The patent awarded was exclusively licensed to EEC last year from HERA, LLC and Siirtec Nigi. This is the first patent issued for a commercial urea based ammonia generation system for this application.

NOx emissions contribute to the formation of smog, which is addressed by the US EPA in federal regulations that require utilities in 22 states east of the Mississippi River to reduce NOx emissions by 60 to 70 percent by 2003. The market for comprehensive NOx compliance solutions is expected to total several billion dollars between now and the first compliance deadlines in 2003. The overall market for ammonia-on-demand systems is estimated to exceed $100 million.

Because utilities are under accelerated deadlines to reduce NOx emissions, many are electing to install Selective Catalytic Reduction (SCR) systems to accomplish their environmental objectives. SCR systems require the presence of ammonia to facilitate the removal of NOx. Storage, handling and transportation of ammonia poses significant health and safety risks to plant personnel and neighboring communities, thus subjecting plant owners to stringent safety and environmental regulations.

The patent, numbered 5,985,224, is the first US patent issued for a commercial urea based system which generates ammonia on-demand and on-site for NOx control. "The award of this patent distinguishes EEC as the only vendor of a patented on-site urea based ammonia generation system available on the market today," said E.H. Verdery, Chairman and CEO of Environmental Elements. "Because EEC has the exclusive right to supply AOD™ technology in the North American market, the issuance of this patent provides EEC with a proprietary position in the market. This patent further enhances our ability to provide our customers with cutting edge technical solutions to the serious problems of environmental risk and danger to the public inherent in the transportation, storage and handling of large quantities of ammonia," said Verdery.

Urea is a safe chemical commonly used as fertilizer that, unlike ammonia, does not require special handling, storage, or transportation measures. In the AOD™, urea is stored in its dry, granular solid form in a simple silo. The granules are converted through a chemical process into ammonia, which combines with the NOx to form two harmless elements: water and nitrogen. Southern Energy Inc., a wholly owned subsidiary of Southern Company, has purchased the AOD™ process at its facility in Sandwich, Massachusetts...."

January 7, 2000

"Hera, LLC is pleased to announce the acquisition of Bachmann Industries, Inc. by RHI Engineering GmbH.

Bachmann is a leading worldwide manufacturer of expansion joints, dampers and gas flow diverters. Bachmann engaged Hera as its exclusive agent in arranging this sale, and assisting in the deal structuring...."

September 27, 1999

"....Environmental Elements Corporation the leading technology provider of air pollution control equipment and services in North America, announced today the receipt of a contract in excess of $2.5 million from Southern Energy, Incorporated for EEC's new Ammonia on Demand (AOD™) technology, which facilitates the control of nitrogen oxide emissions.

Southern Energy, Inc., headquartered in Atlanta, Georgia, is a wholly owned subsidiary of Southern Company, the largest producer of electricity in the United States. EEC will provide the AOD™ technology for Southern Energy's Canal Electric Project in Sandwich, Massachusetts. The AOD™ system enables the immediate conversion of non-toxic urea, which is a chemical commonly used in fertilizer, into ammonia, a necessary component to facilitate nitrogen oxide (NOx) emissions control. The AOD™ system eliminates significant storage safety problems and much of the attendant expense associated with the storage of ammonia. EEC expects to complete the AOD™ project at the Southern Energy facility by April 2000.

"We are convinced that this technology is the safest choice of the possible ammonia supply options for all NOx control systems and will provide a cost effective alternative to conventional ammonia systems," said E. H. Verdery, Chairman and CEO of Environmental Elements Corporation...."