**DOE Awards \$4 Million to Demonstrate Energy Efficient Industrial
Technologies**

***Abraham Says Technologies Will \"Enhance Economic
Competitiveness\"***

Secretary of Energy Spencer Abraham announced today that nearly \$4
million in grants is being awarded to eight organizations to demonstrate
energy efficient and clean production practices in manufacturing. The
awards support the goals of President Bush\'s National Energy Policy by
promoting public/private partnerships for programs that produce
market-based results.

\"Developing a stronger array of energy efficient technologies for
manufacturing will lower production costs, conserve energy and decrease
pollution,\" Secretary Abraham said. \"By making the most efficient use
of our energy supply, we make our nation more secure. Additionally,
these technologies will improve U.S. industrial productivity and enhance
our economic competitiveness.\"

One of the projects introduces a technique for making paper without
using chemicals, potentially saving the paper industry 30 percent per
year in electricity costs. Rather than chemicals, a natural fungus
(white rot) is used to soften wood chips that will be shredded into
paper. Some paper mills currently spend as much as an estimated \$10
million a year in electricity costs.

These projects are funded by the U.S. Department of Energy\'s (DOE)
National Industrial Competitiveness through Energy, Environment and
Economics (NICE3) Program. The awards are cost-shared by both state and
industry partnerships, with the federal government awarding \$3,822,226
and industry contributing \$5,648,386. Each award will fund a project
for a period of up to three years.

NICE3 has sponsored more than 100 projects with more than half going to
small businesses. The NICE3 program is part of the Energy Department\'s
\"Industries of the Future\" strategy that promotes energy efficiency in
partnerships with the nation\'s nine most energy-intensive industries
\-- agriculture, aluminum, chemicals, forest products, glass,
metal-casting, mining, petroleum and steel.

**NICE^3^ Demonstration Grant Recipients**

  -------------------- ------------------------------- ------------ ------------
  ***Project Title***  ***Recipient***                 ***DOE       ***Private
                                                       Funding***   Funding***

  Ultra Fine Mineral   Graphic Engineering, Montague,  \$271,000    \$285,000
  Recovery Pilot Plant Calif.                                       

  A New Efficient and  Princeton Advanced Technology,  \$525,000    \$530,000
  Safe Direct Hydrogen Georgia Dep. of Natural                      
  Peroxide Process     Resources, Pollution Prevention              
                       Assistance Division, Atlanta,                
                       Ga.                                          

  An Automatic         OG Technologies, Inc., Indiana  \$500,000    \$713,640
  High-Temperature     Department of Commerce, Energy               
  Steel Inspection and Policy Division, Indianapolis,               
  Advice System        Ind.                                         

  A Zero-Emission      Louisiana State University in   \$525,000    \$900,000
  Mechanical Seal with conjunction with Exxon Mobil                 
  Integral Micro Heat  Chemical Co., Louisiana Dept.                
  Exchanger            of Natural Resources, Baton                  
                       Route, La.                                   
  -------------------- ------------------------------- ------------ ------------

  -------------------- ------------------------------- ----------- -------------
  Increased            Dynamet Technology, Inc.,       \$500,000   \$903,520
  Productivity and     Burlington, Mass.                           
  Reduced Energy                                                   
  Consumption in                                                   
  Metal-casting Using                                              
  Titanium Matrix                                                  
  Composite Tooling                                                

  Clean, Efficient     PPG Industries, Inc.,           \$500,000   \$500,000
  Glass Production     Harmarville, Pa.                            
  Using High                                                       
  Luminosity Oxy-Gas                                               
  Burners                                                          

  Demonstration of an  Air Products and Chemicals,     \$476,226   \$476,226
  Innovative           Inc., Allentown, Pa.                        
  Hollow-Fiber                                                     
  Membrane Air Drying                                              
  System                                                           

  First Commercial     Biopulping International,       \$525,000   \$1,340,000
  Scale Demonstration  Wisconsin Department of                     
  of Biopulping: A New Administration, Division of                 
  Energy-Efficient and Energy, Madison, Wis.                       
  Environmentally                                                  
  Benign Technology                                                
  for Papermaking                                                  
  -------------------- ------------------------------- ----------- -------------

For more information contact:

Jill Schroeder, 202-586-4940