Power Capacity of This Next Generation Product is Eight Times Greater Than Products Ener-Core has Installed To Date

IRVINE, Calif.– Ener-Core, Inc. (OTCQB:ENCR), the world’s only provider of Power Oxidation technology and equipment that generates clean power from low-quality and waste gases from a wide variety of industries, completed primary construction of the first-ever 2 MW-sized Power Oxidizer in December 2015. The unit was assembled on the industrial site of Combustion Associates, Inc. in Corona, CA, and will be integrated with a gas turbine to create the first-ever fully integrated 2 MW Powerstation based on Ener-Core’s proprietary technology. A photograph of the fully-constructed 2 MW Power Oxidizer, as well as a diagram comparing it to Ener-Core’s existing product (250-333 kW Power Oxidizer) are included with this press release.

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(Photo: Business Wire)

(Photo: Business Wire)

The rated power capacity of this next-generation Power Oxidizer is eight times greater than the power capacity of the current products that Ener-Core has installed to-date. This ramp-up in size represents a significant step forward for Ener-Core’s business and product offerings, for two key reasons. First, the volume of waste gas that can be used as a fuel to generate energy with this larger-size Power Oxidizer is more closely aligned with the volumes that are produced by most of the industrial facilities within Ener-Core’s current commercial pipeline. Second, the economies of scale associated with this larger unit are expected to result in a significantly lower and hence much more attractive cost of power generation.

The 2 MW prototype unit will be used initially to complete the testing of certain operational performance parameters required by a purchase order received by Ener-Core in August 2015. This testing, also known as the “Full Scale Acceptance Test” or FSAT, is the final technical milestone of Ener-Core’s product scale-up efforts. After the FSAT is completed (expected in Q1 2016), Ener-Core will commence construction of the two next-generation units to fulfill the purchase order.

“The construction of the first-ever 2 MW Powerstation unit represents a significant milestone in the development of our industrial-sized product offerings and an important step toward completing the final validation of the feasibility of Ener-Core’s groundbreaking technology to operate at much larger power capacities than what we have installed and operated to-date,” said Ener-Core’s CEO, Alain Castro. “At some point, most utility-scale power technologies must prove that they can surpass the 1 MW size threshold, in order to be able to address the needs of the utility-scale power infrastructure market. We are on the cusp of making this historic step in the next few months.”

ABOUT ENER-CORE

Irvine, California-based Ener-Core, Inc. (ENCR) designs, manufactures and has commercially deployed unique systems that generate base load, clean power from polluting waste gases including methane. Ener-Core’s patented Power Oxidizer is the only solution of its kind that turns one of the most potent pollution sources into a profitable, “always on” source of clean energy. Ener-Core’s technology offers a revolutionary alternative to the flaring (burning) of gaseous pollution while generating operating efficiencies and ensuring compliance with costly environmental regulations.

Ener-Core offers a variety of platforms including the 250kW Ener-Core Powerstation EC250 (“EC250”), the Ener-Core Power Oxidizer 333 KW Powerstation (“EC333”) and the larger counterpart, the 2MW Ener-Core Powerstation KG2-3GEF/PO.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

Forward-looking statements contained in this press release are made under the Safe Harbor Provision of the Private Securities Litigation Reform Act of 1995. Information provided by Ener-Core, Inc., such as online or printed documents, publications or information available via its website may contain forward-looking statements that involve risks, uncertainties, assumptions, and other factors, which, if they do not materialize or prove correct, could cause its results to differ materially from historical results, or those expressed or implied by such forward-looking statements. All statements, other than statements of historical fact, are statements that could be deemed forward-looking statements, including statements containing the words “planned,” “expects,” “believes,” “strategy,” “opportunity,” “anticipates,” and similar words. These statements may include, among others, plans, strategies, and objectives of management for future operations; any statements regarding proposed new products, services, or developments; any statements regarding future economic conditions or performance; statements of belief; and any statements of assumptions underlying any of the foregoing. The information contained in this release is as of the date of this press release. Except as otherwise expressly referenced herein, Ener-Core assumes no obligation to update forward-looking statements.