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ThermoEnergy's Signs Wastewater Consulting Contract

May 12, 2004

“ThermoEnergy Contracted To Work With Engineering Design Firm
To Evaluate Economic and Process Benefits of Its Technologies“

Little Rock, AR – ThermoEnergy Corporation (OTCBB-TMEN) has entered into a contract with Camp Dresser & McKee, Inc., one of the nations leading wastewater engineering design firms, to evaluate the potential economic and process impact of using ThermoEnergy’s Ammonia Recovery Process (ARP) and ThermoFuel Process technologies at King County Metro’s (Seattle) West Point wastewater treatment plant.

The Ammonia Recovery Process (ARP) is an adsorption process designed to remove and recover ammonia from dilute waste streams. The ammonia is then concentrated and converted to ammonium sulfate, a commercial grade fertilizer, and sold to agriculture markets worldwide.

ThermoFuel is an innovative renewable energy process that converts waste activated sludge into a low-moisture, high-energy fuel that meets EQ Class A standards and can be used by cement and power plants. ThermoFuel forms the basis of the Company’s patent-pending ‘Sewage Treatment Method’ that allows wastewater treatment plants to essentially double the capacity of their existing digesters and enables 100% Class A biosolids production from primary sludge. This is accomplished by hydrothermal treatment of the waste activate sludge, typically 40-50% of the plants sludge production.

ARP can be used to reduce plant nitrogen nutrient emissions directly or as a step in the Company’s patented “Enhanced Biogas Production Process”, a proprietary method of upgrading new or existing wastewater treatment plants to lower ammonia toxicity and optimize biogas production in their anaerobic digesters – the key process component in a typical wastewater treatment plant.

In addition to King County, several other large metropolitan wastewater agencies are currently evaluating these technologies for potential implementation in their systems.

About The Company

ThermoEnergy Corporation is a publicly traded company established to engage in the worldwide commercialization of technically advanced, cutting-edge technologies providing cost-effective and environmentally responsible solutions for air and water pollution problems.

The Company's overall business model is predicated on (i) the design, construction and operation of process facilities dedicated to the treatment of municipal and industrial wastewater, (ii) the design and fabrication of key process components relevant to its core technologies, and (iii) marketing emission credits and commodity by-products generated by its suite of renewable energy and power production technologies. Each of these technologies is more fully described on the Company’s website at www.thermoenergy.com.

KEY WORDS: Arkansas, Washington, Wastewater Treatment, and Renewable Energy

CONTACT INFORMATION:

Technology: Alex G. Fassbender, P.E., EVP Engineering Technology
(509) 375-0847 / afassbender@thermoenergy.com

Corporate: Dennis C. Cossey
(501) 376-6477 / dcossey@thermoenergy.com