Ceilidh

Michael Zey
futurist3000@aol.com

  "We are proud to extend our reach into China as we assist them in  demonstrating the viability of fuel cell power for transit  applications," said Dennis Campbell, Ballard's President and Chief  Executive Officer. "Recognizing that the increasing demand for  automobiles in China cannot be satisfied using internal combustion  engines, without a significant adverse impact on urban air quality,  the Chinese government is focused on sustainable, clean  transportation. Fuel cells - and fuel cells alone - address the  challenges of energy security, diminishing oil reserves, urban air  quality and energy efficiency."  

  Leading the project will be the Chinese Ministry of Science &  Technology, with support from both the Global Environment Facility  and the United Nations Development Program. Fuel cells and hydrogen  are critical to achieving a sustainable transportation strategy in  China and this program will support China's energy strategy to  promote the use of hydrogen as a clean, efficient, safe and  sustainable energy resource. The purpose of the project is to support  the development of fuel cell technology and to demonstrate the  viability of fuel cell power for day-to-day operation of transit  buses under specific climatic and topographical conditions.  

  The three buses to be demonstrated in Beijing will complement the  33 Mercedes-Benz Citaro buses equipped with 205 kW heavy-duty  Ballard(R) fuel cell engines on the roads of 11 cities worldwide:  Perth, Amsterdam, Barcelona, Hamburg, London, Luxembourg, Madrid,  Porto, Reykjavik, Stockholm and Stuttgart. Ballard has also delivered  three heavy-duty fuel cell engines to Gillig Corporation for the  Santa Clara Valley Transportation Authority, bringing the number of  buses to be demonstrated and driven on regular routes in daily  service to 39.  

  Since 1993, Ballard has produced and tested five generations of  heavy-duty fuel cell bus engines. Successful field demonstrations of  Ballard(R) fuel cell-powered buses in Chicago, Vancouver and Palm  Springs have played an integral role in advancing Ballard's fuel cell  engine technology.  

  This release contains forward-looking statements that are based  on the beliefs of Ballard's management and reflect Ballard's current  expectations as contemplated under section 27A of the Securities Act  of 1933, as amended, and Section 21E of the Securities and Exchange  Act of 1934, as amended. When used in this release, the words  "estimate", "project", "believe", "anticipate", "intend", "expect",  "plan", "predict", "may", "should", "will", the negative of these  words or such other variations thereon or comparable terminology are  intended to identify forward-looking statements. Such statements  reflect the current views of Ballard with respect to future events  based on currently available information and are subject to risks and  uncertainties that could cause actual results to differ materially  from those contemplated in those forward-looking statements.  

  Ballard Power Systems is recognized as the world leader in  developing, manufacturing and marketing zero-emission proton exchange  membrane fuel cells. Ballard is commercializing fuel cell products  for transportation applications and fuel cell systems for portable  and stationary products. Ballard is also commercializing electric  drives for fuel cell and other electric vehicles and power conversion  products, and is a Tier 1 automotive supplier of friction materials  for power train components. Ballard's proprietary technology is  enabling automobile, bus, electrical equipment, portable power and  stationary product manufacturers to develop environmentally clean  products for sale. Ballard is partnering with strong, world-leading  companies, including DaimlerChrysler, Ford and EBARA, to  commercialize Ballard(R) fuel cells. Ballard has supplied fuel cells  to Honda, MGE UPS SYSTEMS, Mitsubishi, Nissan and Volkswagen, among  others.  

  Ballard, the Ballard logo, Nexa and Power to Change the World are  registered trademarks of Ballard Power Systems Inc.

CONTACT:Ballard Power Systems Inc. - Investor Information Michael Rosenberg (604) 412-3195 Fax: (604) 412-3100 Email: investors@ballard.com OR Ballard Power Systems Inc. - Media Information Media Relations (604) 412-4740 Fax: (604) 412-3100 Email: media@ballard.com OR Ballard Power Systems Inc. - Product Information Marketing Department (604) 453-3520 Fax: (604) 412-3100 Email: marketing@ballard.com Website: www.ballard.com

SOURCE: Ballard Power Systems Inc.

07/22/2004 08:00 EASTERN