The City of London will operate the Ballard powered fuel cell buses on a central London bus route, beginning in January 2004, as it pioneers this project aimed at reducing air and noise pollution.

Ballard Power Systems' (NASDAQ:BLDP) (TSX:BLD) President and Chief Executive Officer, Dennis Campbell, is proud to be on hand today to help deliver three Mercedes-Benz Citaro buses, powered with Ballard(R) fuel cell engines, to the public transport authorities in London. The City of London will operate the Ballard powered fuel cell buses on a central London bus route, beginning in January 2004, as it pioneers this project aimed at reducing air and noise pollution.

The City of London is one of ten cities participating in the European Fuel Cell Bus Project, which will see 30 fuel cell buses operating on the roads of Europe over the next two years. To date, buses involved in the European Fuel Cell Bus Project have operated for more than 5,700 hours and have traveled over 83,000 kilometers.

The 30 Mercedes-Benz Citaro buses equipped with 205 kW Ballard(R) fuel cell engines will be driven on the roads in ten different cities in Europe, including Amsterdam, Barcelona, Hamburg, London, Luxembourg, Madrid, Porto, Reykjavik, Stockholm and Stuttgart. These fuel cell buses will be driven by regular transit bus drivers, carrying passengers in daily service in each city. In 2004, three Ballard(R) fuel cell powered buses will be delivered to the Santa Clara Valley Transportation Authority in Santa Clara, CA.

'Ballard is proud to be powering the largest fleet of fuel cell buses in the world today,'said Dennis Campbell, Ballard's President and Chief Executive Officer. 'Hundreds of thousands of people will have the opportunity to experience first-hand the clean, quiet and comfortable ride of these zero-emission buses. In addition to raising awareness of the considerable advantages of fuel cell power for urban transit, this fleet will provide the opportunity to showcase the diversity of solutions available for the production and delivery of hydrogen as the fuel of the future. These innovative products are the clearest evidence yet that the fuel cell and hydrogen revolution has truly begun.'

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. Buses in these field demonstrations have carried over 200,000 riders.