# ASSIGNMENT/ASSUMPTION
OF LICENSE AGREEMENT

THIS
ASSIGNMENT/ASSUMPTION OF LICENSE AGREEMENT (the Agreement) is made
this 20th day of October, 2004among Ener1 Inc., a Florida
corporation, Ener1 Battery Company, a Florida corporation (hereinafter collectively
referred to as ASSIGNOR), and EnerDel, Inc.,a Delaware
corporation.

WHEREAS,
Ener1, Inc.and Delphi Automotive Systems LLC, a Delaware corporation
(hereinafter referred to as DELPHI) have entered into an agreement
dated October 20, 2004 (hereinafter the Formation Agreement) for
the formation of EnerDel, Inc., a Delaware corporation (hereinafter referred to as
ASSIGNEE) and the contribution to ASSIGNEE of certain assets held by
ASSIGNOR,

WHEREAS,
pursuant to the terms and conditions of the Formation Agreement, ASSIGNOR is obligated to
assign to ASSIGNEE, and ASSIGNEE is obligated to accept assignment of, a July 25, 2003
entitled the License and Royalty Agreement between of ASSIGNOR and Itochu Corporation
(hereinafter the License Agreement);

WHEREAS,
ASSIGNOR is desirous of complying with its obligation to assign to ASSIGNEE such License
Agreements and ASSIGNEE is desirous of complying with its obligation to accept assignment
of such License Agreement;

NOW,
THEREFORE, TO ALL WHOM IT MAY CONCERN:

|1. | For good and valuable consideration, the receipt of which is hereby
          acknowledged, ASSIGNOR, hereby assigns, sells, conveys and transfers to
          ASSIGNEE, effective on the effective date of the Formation Agreement,
          ASSIGNORS entire right, title and interest in and to such License
          Agreement, and ASSIGNEE accepts such assignment, and agrees and covenants to
          perform all obligations thereunder.
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|2. | Notwithstanding anything to the contrary herein, this Assignment/Assumption
          Agreement shall not constitute an actual or attempted sale, assignment, transfer
          or conveyance if such actual or attempted sale, assignment, transfer or
          conveyance would constitute a breach under the License Agreement or a violation
          of any law, decree, order, regulation or other governmental edict, or is not
          capable of being sold, assigned, transferred or conveyed without any third party
          consent that has not been obtained (or is not in full force and effect), unless
          and until such License Agreement can be legally transferred or transferred
          without breach, at which time the License Agreement shall be so transferred.
          Until such transfer, the License Agreement shall be held in trust and maintained
          by ASSIGNOR for the sole benefit of ASSIGNEE, and ASSIGNOR shall take any action
          necessary for ASSIGNEE to enjoy the benefits of the License Agreement as if it
          had been assigned.
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|3. | ASSIGNOR represents and warrants to ASSIGNEE and DELPHI that the exclusivity in
          Japan of license rights granted under the License Agreement have been validly
          terminated under Section 9.4 thereof, and any and all license rights in Japan
          held by the licensee under the License Agreement are non-exclusive license
          rights, and further that any right of the licensee under the License Agreement
          to grant sublicenses outside of Japan is subject to ASSIGNEES right to
          determine the conditions of such sublicenses .
|-- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|4. | ASSIGNOR further covenants that, if and to the extent necessary to perfect the
          assignment of the rights transferred hereunder, ASSIGNOR shall cooperate with
          ASSIGNEE, upon ASSIGNEES reasonable request, to promptly execute and
          deliver to ASSIGNEE or its legal representative(s) any and all papers,
          instruments and/or affidavits required by law to record in the name of ASSIGNEES
          its rights in and to such License Agreements.
|-- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

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IN WITNESS WHEREOF, ASSIGNOR,
ASSIGNEE and DELPHI have caused this assignment to be executed by its representative as of
this 20th day of October, 2004.

|DELPHI AUTOMOTIVE SYSTEMS LLCBY: /S/ John G. Blahnik 
John G. Blahnik Vice President Treasury, Mergers, Acquisitions & New Markets |  | ENER1, INC.BY: /S/ Ronald N. Stewart
Ronald N. Stewart Executive Vice President
|------------------------------------------------------------------------------------------------------------------------------------------------ |  | ---------------------------------------------------------------------------------------------

|ENERDEL, INC.BY: /S/ Kevin P. Fitzgerald 
Kevin P. Fitzgerald Chief Executive Officer |  | ENER1 BATTERY COMPANYBY: /S/ Ronald N. Stewart
Ronald N. Stewart Chief Operating Officer
|--------------------------------------------------------------------------------------------------- |  | ------------------------------------------------------------------------------------------------------

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