For Release: May 23, 2000

AKRON, OH, May 23, 2000—FirstEnergy Corp. (NYSE: FE) will begin a commercial demonstration of the only proven air emission reduction technology designed to simultaneously cut emissions of nitrogen oxide (NOx), sulfur dioxide (SO₂), fine particulate matter, mercury and other substances at the company's Eastlake Generating Plant in Eastlake, Ohio. This technology—called Electro-Catalytic Oxidation^TM (ECO)—was developed by Powerspan Corp. of New Durham, New Hampshire. The $10.5 million commercial demonstration, which is scheduled to begin in Spring 2001, is being funded by FirstEnergy, Powerspan and the Ohio Coal Development Office.

ECO technology breaks down gases that result from the combustion of coal into their basic elements. They are then recombined and captured as by-products in an electrostatic precipitator, producing commercial-grade sulfuric and nitric acids that can be recycled.

"This technology has great potential to achieve a wide range of reductions and address numerous environmental issues cost effectively," said FirstEnergy Vice President Guy Pipitone.

"In addition to reducing emissions of multiple substances, ECO technology is expected to cost 25 percent less to install and 50 percent less to operate than current NOx control systems such as Selective Catalytic Reduction (SCR). Unlike SCR technology, ECO operates effectively when used with high-sulfur Ohio coal, and produces commercially marketable acids rather than by-products requiring disposal."

The demonstration at Eastlake will treat flue gas from 50 megawatts of output from the plant and is expected to reduce emissions of NOx by more than 70 percent, SO₂ by 50 percent, mercury by 70 percent and fine particulate matter by 90 percent. Successful completion of this demonstration will lead to the deployment of full-scale, commercial ECO systems.

In pilot testing conducted since 1998 at FirstEnergy's R. E. Burger Plant near Shadyside, Ohio, two megawatts of flue-gas output were treated using ECO technology. NOx emissions were reduced by an average of 76 percent, SO₂ emissions by an average of 44 percent, mercury by 68 percent, and other heavy metals by more than 90 percent. Hydrochloric acid was reduced by 88 percent and hydrofluoric acid was reduced to below detection.

"Considering the high cost of reducing NOx emissions using available control technology, ECO should have broad market appeal. Today, there are approximately 1,200 coal-fired generating units across the country, representing more than 325,000 megawatts of capacity, that could use ECO technology," said Mr. Pipitone.

FirstEnergy's Eastlake Plant is located on a 92-acre site east of Cleveland, Ohio. Its five coal-fired units generate 1,289 megawatts of electricity, enough to serve approximately three-quarters of a million homes. Four of the plant's units are equipped with low-NOx burners, which reduce NOx emissions by 30 to 40 percent.

FirstEnergy is a diversified energy services holding company with more than $18 billion in assets and more than $6 billion in annual revenues. FirstEnergy's electric utility operating companies comprise the nation's tenth largest electric system, serving 2.2 million electric customers in Ohio and Pennsylvania. FirstEnergy also serves commercial and industrial customers in the deregulated energy markets of Delaware, New Jersey and Pennsylvania.

In addition, FirstEnergy is involved in the exploration and production of oil and natural gas, and the transmission and marketing of natural gas, including service to approximately 50,000 customers.

Powerspan Corp. is engaged in the development and commercialization of innovative, proprietary energy technology for the global electric power industry. The company is a pioneer in building cost-effective and timely solutions for the existing power generating base. Company research and development efforts focus on unique applications of its proprietary electrotechnology to air-emission control and water disinfection. Powerspan offers technology solutions to address the competitive needs of the new energy economy.

Powerspan Media Contact:
Stephanie Procopis
(603) 859-2500, ext. 20
www.powerspancorp.com