Fuel Tech Awarded Air Pollution Control Orders Totaling $5.2 Million

Fuel Tech, Inc. (NASDAQ: FTEK), a technology company providing advanced engineering solutions for the optimization of combustion systems, emissions control and water treatment in utility and industrial applications, today announced the receipt of multiple air pollution control (APC) contracts from new and existing customers in the US, Europe and the Pacific Rim. These awards support projects serving various end markets, and have an aggregate value of approximately $5.2 million.

Two separate contracts were received from existing US utility customers for NO_xOUT^® Selective Non-Catalytic Reduction (SNCR) systems. Fuel Tech’s SNCR technology is a proven solution for utility and industrial combustion unit owners looking to comply with more stringent NO_x control requirements. One order is for a coal-fired unit in the Midwest and the other is for a unit on the East Coast that fires oil and natural gas. The Company believes that the purchase of SNCR systems is being driven by the proposed EPA Good Neighbor Rule, which is expected to finalize in the first quarter of 2023. Equipment deliveries are expected in the second and third quarters of 2023.

An order was received in the US for two ULTRA^® systems to be installed on natural gas-fired turbines at a university on the West Coast. Fuel Tech’s ULTRA process provides for the safe and cost-effective on-site conversion of urea to ammonia for use as a reagent where Selective Catalytic Reduction (SCR) is used to reduce NO_x, eliminating the hazards associated with the transport, storage and handling of anhydrous or aqueous ammonia. Deliveries are expected to be completed in the third quarter of 2023.

Two additional orders in the US were received for ULTRA systems on the West Coast. The first contract was for three ULTRA systems to replace ammonia based equipment for SCR systems already deployed on package boilers at a medical facility. Deliveries are expected in the third quarter of 2023. The second ULTRA order was for an industrial unit firing natural gas at a paper production facility with an estimated second quarter 2023 delivery.

In Europe, separate orders were received for a NO_xOUT SNCR system for a biomass-fired unit and for a system utilizing SCR technology for a gas turbine application; delivery of both orders is expected in the third quarter of 2023. In China, a spare parts order was received for a previously installed ULTRA system, and delivery is expected in the third quarter of 2023.

Vincent J. Arnone, President and Chief Executive Officer, commented, “We are pleased to announce these contract awards which represent continued growth of Fuel Tech’s ULTRA technology solution that provides a safe reagent alternative to ammonia for SCR systems near hospitals and universities as two specific market segments. The domestic SNCR awards will assist our customers’ needs as they seek to comply with current and future NOx reduction requirements generated by the EPA creating a final rule as a next phase of the Cross State Air Pollution Rule to meet the Good Neighbor provision of the Clean Air Act. The new Rule is expected to be issued in the next few weeks and could create a number of opportunities for both SNCR and SCR technology over the next several years.”

About Fuel Tech

Fuel Tech develops and commercializes state-of-the-art proprietary technologies for air pollution control, process optimization, water treatment, and advanced engineering services. These technologies enable customers to operate in a cost-effective and environmentally sustainable manner. Fuel Tech is a leader in nitrogen oxide (NO_x) reduction and particulate control technologies and its solutions have been in installed on over 1,200 utility, industrial and municipal units worldwide. The Company’s FUEL CHEM^® technology improves the efficiency, reliability, fuel flexibility, boiler heat rate, and environmental status of combustion units by controlling slagging, fouling, corrosion and opacity.

Water treatment technologies include DGI™ Dissolved Gas Infusion Systems which utilize a patented channel injector to deliver supersaturated oxygen solutions and other gas-water combinations to target process applications or environmental issues. This infusion process has a variety of applications in the water and wastewater industries, including remediation, aeration, biological treatment and wastewater odor management. Many of Fuel Tech’s products and services rely heavily on the Company’s exceptional Computational Fluid Dynamics modeling capabilities, which are enhanced by internally developed, high-end visualization software. For more information, visit Fuel Tech’s web site at www.ftek.com.

NOTE REGARDING FORWARD-LOOKING STATEMENTS

This press release contains “forward-looking statements” as defined in Section 21E of the Securities Exchange Act of 1934, as amended, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and reflect Fuel Tech’s current expectations regarding future growth, results of operations, cash flows, performance and business prospects, and opportunities, as well as assumptions made by, and information currently available to, our management. Fuel Tech has tried to identify forward-looking statements by using words such as “anticipate,” “believe,” ��plan,” “expect,” “estimate,” “intend,” “will,” and similar expressions, but these words are not the exclusive means of identifying forward-looking statements. These statements are based on information currently available to Fuel Tech and are subject to various risks, uncertainties, and other factors, including, but not limited to, those discussed in Fuel Tech’s Annual Report on Form 10-K in Item 1A under the caption “Risk Factors,” and subsequent filings under the Securities Exchange Act of 1934, as amended, which could cause Fuel Tech’s actual growth, results of operations, financial condition, cash flows, performance and business prospects and opportunities to differ materially from those expressed in, or implied by, these statements. Fuel Tech undertakes no obligation to update such factors or to publicly announce the results of any of the forward-looking statements contained herein to reflect future events, developments, or changed circumstances or for any other reason. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including those detailed in Fuel Tech’s filings with the Securities and Exchange Commission.

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