Update From International Fuel Technology, Inc., The World Leader In Fuel Efficiency Additives For The Rail Industry

International Fuel Technology, Inc. (IFT) (OTCBB: IFUE), which began serious commercialization efforts for its breakthrough DiesoLiFT ^TM 10 diesel engine fuel additive early last year, is pleased to report that now over 20 rail operators around the world are either buying, testing or planning field testing of the product.

“We have passed the tipping point of credibility with DiesoLiFT ^TM 10,” said Gary Kirk, IFT’s Director of Sales and Marketing. “The marketplace now recognizes that we have a unique technology that truly performs as advertised. DiesoLiFT ^TM 10 will improve fuel efficiency in diesel engine powered trains. We expect our worldwide sales to the rail industry from this product to be at a $5 million run rate by year-end.”

The rapid commercial success that IFT is now realizing in the rail industry is built on many years of worldwide independent laboratory and field testing that have consistently demonstrated fuel efficiency improvements of 3% to 6% (on average) and associated cost and environmental benefits resulting from use of our formulation. No diesel fuel additive now on the rail market can make and support these claims.

Most recently, IFT completed four rounds of testing at mi Technology ( www.ltc.ltd.uk), a prominent independent test facility in the U.K. This program was coordinated and supervised by Interfleet Technology Ltd ( www.interfleet-technology.com), a worldwide rail industry consultancy services group. In one test against four competing additives in a B-20 bio-diesel fuel blend, DiesoLiFT ^TM 10 was the only additive that demonstrated fuel economy improvement as well as recovery of the lost fuel economy that results from the use of bio-diesel fuel.

IFT’s success in the railway industry is a testament to its international distribution network that includes such highly-regarded partners as Unipart ( http://www.unipart.co.uk) (U.K. and Australia), Nordmann Rassmann ( http://www.nordmann-rassmann.com) (Central and Eastern Europe) and Logerail ( http://www.logerail.com/) (Africa and the Middle East). These relationships have allowed IFT to leverage its resources and capitalize on the credibility of its partners and their ability to call on a large number of prospective customers in each of their respective markets.

Following are key IFT developments, activities and prospects in the worldwide rail industry. Note: Many operators elect to start the field validation process in the spring to avoid harsh winter weather conditions and winter fuel blends.