Fuel Tech, Inc. (NASDAQ: FTEK), a world leader in advanced engineering solutions for the optimization of combustion systems and emissions control in utility and industrial applications, today announced the receipt of multiple air pollution control (APC) contracts from customers in China. In the US, Fuel Tech received an order for a demonstration system using Selective Non-Catalytic Reduction (SNCR) technology, as well as the first commercial orders for XCAM TM Extractive Continuous Ammonia Monitor systems. These awards and projects have an aggregate value of approximately $4.3 million. Equipment deliveries for these contracts are expected to occur in the first and second quarters of 2014.

An award was received for ULTRA TM systems for two medium-sized coal-fired utility units in China that are being retrofitted with nitrogen oxide (NOx) reduction technology. Fuel Tech's ULTRA process provides for the safe and cost-effective on-site conversion of urea to ammonia for use as a reagent in the selective catalytic reduction (SCR) of NOx, eliminating the hazards associated with the transport, storage and handling of anhydrous or aqueous ammonia. In addition, orders were received from several new and existing Chinese customers for multiple small coal-fired units that will utilize HERT TM High Energy Reagent Technology TM and NOxOUT® Selective Non-Catalytic Reduction (SNCR) systems at various industrial facilities.

A contract was also received for a Flue Gas Conditioning (FGC) system from a repeat utility customer for a large coal-fired unit in China. FGC technology uses sulfur and urea as conditioning reagents to improve the efficiency of electrostatic precipitators (ESPs), which are used to capture fly ash particulate from coal-fired boilers. FGC systems provide a low capital cost approach to improving particulate capture versus the alternatives of installing larger ESPs or fabric filter technology to meet regulatory requirements for particulate and opacity levels. The ammonia needed for the FGC process is generated using Fuel Tech's ULTRA technology, expanding its use beyond SCR applications.

Fuel Tech received two orders for its new XCAM TM Extractive Continuous Ammonia Monitor product line. XCAM is an engineered system designed to measure ammonia concentration for SNCR and SCR applications, combining the accuracy and repeatability of a Tunable Diode Laser (TDL) measurement system with an extractive probe design. XCAM provides ammonia monitoring that can be adjusted for specific areas of the flue gas, or to provide an average ammonia reading in the outlet ductwork. The probe design allows measurement of the duct cross-section without having to purchase multiple TDL analyzers, and the extractive nature of the system provides for easy access, alignment and maintenance. The XCAM system will provide data to the SNCR system controls to allow system optimization to improve NOx reduction performance and reduce reagent consumption, while allowing customers to monitor potential environmental and operational issues associated with excess ammonia emissions.

Douglas G. Bailey, Chairman, President and Chief Executive Officer, commented, "China remains an important part of Fuel Tech's overall growth strategy, and we will continue to pursue the many opportunities available in that region. We are committed to providing innovative solutions for our customers worldwide as they pursue strategies for clean efficient energy."

Mr. Bailey continued, "One of our recent innovations is our patented XCAM technology. The first commercial XCAM systems are being installed on domestic units that just recently placed Fuel Tech's SNCR equipment into successful operation. We believe that our XCAM technology, which is a result of our focus on new product development, has potential to improve operations on hundreds of boilers worldwide with existing SNCR and SCR technologies, as well as for all new installations."

About Fuel Tech

Fuel Tech is a leading technology company engaged in the worldwide development, commercialization and application of state-of-the-art proprietary technologies for air pollution control, process optimization, and advanced engineering services. These technologies enable customers to produce both energy and processed materials in a cost-effective and environmentally sustainable manner.

The Company's nitrogen oxide (NOx) reduction technologies include advanced combustion modification techniques - such as Low NOx Burners and Over-Fire Air systems - and post-combustion NOx control approaches, including NOxOUT® and HERT TM SNCR systems as well as systems that incorporate ASCR TM (Advanced Selective Catalytic Reduction), NOxOUT CASCADE®, ULTRA TM and NOxOUT-SCR® processes. The XCAM TM Extractive Continuous Ammonia Monitor can be used to improve NOx reduction performance and boiler operation on units with SNCR and SCR systems. These technologies have established Fuel Tech as a leader in NOx reduction, with installations on over 800 units worldwide, where coal, fuel oil, natural gas, municipal waste, biomass and other fuels are utilized.

The Company's FUEL CHEM® technology revolves around the unique application of chemicals to improve the efficiency, reliability, fuel flexibility and environmental status of combustion units by controlling slagging, fouling, corrosion, opacity and operational issues associated with sulfur trioxide, ammonium bisulfate, particulate matter (PM2.5), carbon dioxide and NOx. The Company has experience with this technology, in the form of a customizable FUEL CHEM program, on over 110 combustion units burning a wide variety of fuels including coal, heavy oil, biomass, and municipal waste.

Fuel Tech also provides a range of combustion optimization services, including airflow testing, coal flow testing and boiler tuning, as well as services to help optimize selective catalytic reduction system performance, including catalyst management services and ammonia injection grid tuning. In addition, flow corrective devices and physical and computational modeling services are available to optimize flue gas distribution and mixing in both power plant and industrial applications.

Many of Fuel Tech's products and services rely heavily on the Company's exceptional Computational Fluid Dynamics modeling capabilities, which are enhanced by internally developed, high-end visualization software. These capabilities, coupled with the Company's innovative technologies and multi-disciplined team approach, enable Fuel Tech to provide practical solutions to some of our customers' most challenging problems. For more information, visit Fuel Tech's web site at www.ftek.com.

This press release may contain statements of a forward-looking nature regarding future events. These statements are only predictions and actual events may differ materially. Please refer to documents that Fuel Tech files from time to time with the Securities and Exchange Commission for a discussion of certain factors that could cause actual results to differ materially from those contained in the forward-looking statements.

For Fuel Tech, Inc.
David S. Collins
Chief Financial Officer
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Senior Vice President
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