THERMAL EGY : Thermal Energy Receives £1.29 million Purchase Order from St. Georges Healthcare NHS Trust in London England

OTTAWA, Aug. 5, 2011, 2011 (Canada NewsWire via COMTEX News Network) --

Thermal Energy International Inc. (TSX-V: TMG) (www.thermalenergy.com) ("Thermal Energy" or "the company") is pleased to announce that it has received a purchase order for approximately £1.29 million (approximately CDN $2.06 million) from St Georges Healthcare NHS Trust, a major hospital in London, to provide a heat recovery solution for use on its heating and hot water system. The project is expected to be installed and revenue earned over the next 6 months.

The St. Georges heat recovery project is calculated by Thermal Energy to reduce carbon emission by approximately 2,800 tonnes annually and reduce energy consumption by approximately 15 million kW annually. This important project will significantly reduce energy consumption for St Georges Hospital Trust and help towards the key targets of reducing carbon emissions by 80% by the year 2050 now set by the UK Government.

Thermal Energy has worked closely with the NHS over the last 2 years to develop a number of energy saving and emission reducing projects. This is the 6(th )heat recovery project the NHS has ordered from Thermal Energy. Thermal Energy estimates that collectively these 6 projects are expected to reduce carbon emissions by approximately 7,300 tonnes annually and reduce energy consumption by approximately 36 million kW annually. "This 6(th) order for a heat recovery project from the NHS validates the emission and energy saving capabilities of Thermal Energy's products and services", said Thermal Energy President and CEO, William Crossland.

About National Health Services

NHS is the publicly funded healthcare system in Great Britain. According to its web site, the NHS is the largest single organization by employment in Europe, employing 5 per cent of the UK workforce and producing more than 18 million tonnes of CO2 per year. The NHS is the largest public sector contributor to climate change and is working vigorously to reduce its energy consumption by 80% by 2050 against a baseline use in 2000, a legal limit set by the UK Government. The NHS Sustainable Development 2010 - One Future, Different Paths Conference and Exhibition aimed to identify the progress to date and define the challenges moving forward in creating a sustainable NHS legacy for the future. This is set within the context of the current regulatory framework and policy mandate for the UK under the groundbreaking Climate Change, Planning and Energy Acts. Taken together, these provide an action plan to secure a Low Carbon Future and reduce carbon emissions by 10 per cent below 1990 levels by 2010, 34 per cent by 2020, and 80 per cent by 2050, according to govtoday.co.uk, an online resource for the public sector in the UK.

About St Georges Healthcare NHS Trust

St George's is one of the oldest hospitals in London. Originally founded in 1733, it was based for 250 years at Lanesborough House, now the Lanesborough Hotel, on Hyde Park Corner. Throughout the 18th and 19th centuries, St George's established itself as a leading teaching hospital, and many of its doctors became famous in the history of science and medicine for their advances. As the decades went by and demand for more beds, more staff and more space grew, it became clear that St George's needed to find a new site. The Grove Fever Hospital site in Tooting was chosen in 1950. Services grew slowly on the new site, but it was not until 1973 that the building of St George's as we now know it began.

About Thermal Energy International Inc.

Thermal Energy International Inc. is an innovative cleantech company providing a variety of proprietary and proven energy efficiency, emission reduction, water efficiency, and bioenergy products and solutions to the industrial, commercial and institutional markets worldwide. Thermal Energy is also a fully accredited professional engineering firm, and can offer advanced process and applications engineering services. By providing a unique mix of proprietary products together with process, energy, environmental, and financial expertise, Thermal Energy is able to deliver significant financial and environmental benefits to our customers. Thermal Energy's products include; GEM® - Steam traps and condensate return systems, FLU-ACE® - Direct contact condensing heat recovery, and Dry Rex(TM) - Low temperature biomass drying systems. These award winning products have an excellent track record of longevity, proven reliability and performance and have been shown to provide significant energy savings, reduced GHG emissions, improved water efficiency, lower maintenance costs, improved product quality and increased production efficiency. Thermal Energy International Inc. has offices in Ottawa, Canada, Bristol, UK and Guangzhou, China.

To find out more about Thermal Energy International Inc. (TSX-V: TMG), visit our website at http://www.thermalenergy.com.

NOTE: This press release contains forward-looking statements relating to, and amongst other things, based on management's expectations, estimates and projections with respect to, timing of installation and implementation, the anticipated effectiveness of the Company's products and services and the revenues to be received by the Company from the project described. Statements with respect to anticipated effectiveness of the Company's products and services are based on studies conducted by the Company and third parties as well as the Company's experience with similar installations for other customers. These statements are not guarantees of future performance and involve a number of risks, uncertainties and assumptions. Many factors, some of which are outside of the Company's control, could cause events and results to differ materially from those stated. The Company disclaims any obligation to publicly update or revise any such statements.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

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SOURCE: Thermal Energy International Inc.

William Crossland Thermal Energy International Inc. (613) 723-6776 bill.crossland@thermalenergy.com

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