Atlantic Hydrogen

Tuesday, September 04, 2007
ATLANTIC HYDROGEN COMPLETES $5,400,000 FINANCING

September 4, 2007 (Fredericton, NB) Atlantic Hydrogen Inc. has closed a second tranche $4,760,000 equity financing round with Acadian Securities Inc. of Halifax, NS acting as Agent. The first tranche of $640,000 closed on May 29, 2007 as previously announced. This marks the first involvement of commercial investors in Atlantic Hydrogen Inc.

Lead investors in the financing were Kyoto Capital Partners Inc. of Vancouver, BC, and the New Brunswick Innovation Foundation. Other investors in this round include private shareholders from New Brunswick and abroad, a number of them having participated in past rounds. The proceeds of this private placement will be used to fund the company's activities in the demonstration and commercialization of their CarbonSaver^TM technology.

"We are pleased to see the first commercial investment in our company in addition to new private investment," said David Wagner, President of Atlantic Hydrogen. "Our company is at an important growth stage as we prepare to move our CarbonSaverTM technology out of the lab and into field trials. This financing will allow us to continue to advance this important work. The reduction of greenhouse gases and other pollutants is getting a lot of attention these days, and our technology can make a significant contribution in achieving emission targets."

Damien Reynolds, representing Kyoto Capital Partners Inc., has been appointed to the AHI Board of Directors.

"Mr. Reynolds is a welcomed addition to our Board," said C. William Stanley, Chairman and CEO of Atlantic Hydrogen. "He brings a wealth of experience in the public markets to our team. He has a clear vision for companies in the burgeoning cleantech sector. We look forward to his contribution as we continue to build our company."
Atlantic Hydrogen is in the design stage of a prototype CarbonSaver^TM that will be built this fall and demonstrated in 2008.

About Atlantic Hydrogen Inc.
Atlantic Hydrogen Inc. is a New Brunswick-based clean technology company commercializing CarbonSaver^TM, a patent-pending plasma process for on-site generation of hydrogen-enriched natural gas (HENG). This ultra-low emission reforming technology reduces greenhouse gas emissions and establishes a clear pathway to a zero emission economy that includes hydrogen.

About Kyoto Capital Partners Inc.
Kyoto Capital Partners is a global investment company with a focus on investing in primarily private companies in the renewable and eco-focused sectors. To complement its investments, Kyoto Capital Partners offers comprehensive services in investor relations, grant applications and loans, and financial management to assist its investments in the going-public process. Kyoto Capital Partners is a subsidiary of Kyoto Planet Group.

Kyoto Planet Group is a socially responsible eco-conscious company housing three distinct but interrelated entities: Kyoto Planet Financial Services (trading as Kyoto Planet Capital Partners & Kyoto Planet Asset Management), a vehicle to support and facilitate active investments in the green sector; Kyoto Planet Enterprises, a division focused on practical information, products and services for environmentally conscious consumers and businesses; and the Kyoto Planet Foundation, established to award grants and manage the non-profit activities of the company.

About the New Brunswick Innovation Foundation
The New Brunswick Innovation Foundation (NBIF), a catalyst for innovation and change in the province of New Brunswick is focused on stimulating innovation as a means of improving productivity and advancing the knowledge-based economy. The NBIF supports innovation by making targeted, leveraged investments in research and development and early stage innovative companies in New Brunswick.

For further information please contact:
David Wagner, President
(506) 460-8003
david.wagner@ah2inc.com