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ZENN Motor Company Announces Update From Consultant

TORONTO, ONTARIO -- (Marketwire) -- 11/07/12 -- ZENN Motor Company Inc. (TSX VENTURE:ZNN) ("ZENN" or the "Company") reported today that it has received an updated report from its consultant John Galvagni.

Mr. Galvagni provided an initial report to the Board on September 12, 2012 where he advised that he observed significant technological progress at EEStor, Inc. ("EEStor"). On October 23, 2012 Mr. Galvagni provided a detailed report to ZENN which was made public on such date. Following the second report, ZENN has received a number of comments from shareholders and the scientific community regarding various elements in the Galvagni report. In light of the comments ZENN asked Mr. Galvagni to review his report.

Following this review Mr. Galvagni advised ZENN, that he had been provided updated information and made aware of other research. High levels of permittivity have been observed by others in research and laboratory settings. Mr. Galvagni considered these reports, but noted that he still believes that EEStor's achievement of extremely high permittivity (in excess of K=8 million) is the first he is aware of in a commercial environment and in a plant capable of scale production.

Mr. Galvagni also advised ZENN that there had been confusion relating to one of the EESU layers he had observed being tested. He previously advised ZENN that he had observed a layer which maintained permittivity (purported to be "about 1000") while voltage was increased from 1 volt to 1250 volts. In reviewing the information Mr. Galvagni advised that he made an error in his verification and that the correct permittivity number is 20, and not 1000 as initially reported.

To help clarify some the matters related to the above mentioned EESU layer, EEStor has provided further detailed information on the layer, see information in the following link: http://media3.marketwire.com/docs/znn1106datasheet.pdf. EEStor has confirmed in writing the accuracy of the information, however, neither Mr. Galvagni nor ZENN has had the opportunity to verify the accuracy of this data.

In light of these two changes to his report, Mr. Galvagni was asked by ZENN whether he could reaffirm his previous advice that he saw significant technological progress at EEStor. Mr. Galvagni confirmed his opinion of significant technological progress and referenced:


1.  The development of a scalable process for making high purity Composition
    Modified Barium Titanate ("CMBT") built on paraelectric BT (Barium
    Titanate, or BaTiO3); 
2.  The ability to precisely control each dopant (chemical substitutes to
    modify properties) by computer programming; 
3.  The demonstration and certification of temperature stable CMBT; 
4.  The precision mixing of CMBT into polymers without voids, using
    surfactants to optimize the surface interfaces; 
5.  The witnessed samples prepared with two different mixes showed clearly
    different, and internally consistent, parameters; 
6.  It was impressive that developments of ceramic/polymer dielectrics that
    other laboratories have only shown individually; were already
    incorporated in EEStor's technology; and, 
7.  Apparent controllable parameters of CMBT ceramic/polymer dielectrics
    that can be optimized for other markets; in addition to Energy Storage.

Mr. Galvagni commented, "The significant change of one of the metrics for EEStor's process should not detract from other key accomplishments. A recent study, "Polymer Nanocomposites for Electrical Energy Storage", Qing Wang and Lei Zhu., Journal of Polymer Science, Polymer Physics, No 49 (2011), summarized the current status of dielectrics composed of ceramic in polymers. In reviewing the 39 referenced papers, they showed that while many have achieved portions of what EEStor has, in my opinion, none have achieved as many of the properties under control as EEStor. EEStor has retained mechanical flexibility at lower concentrations where it maximizes the permittivity and appears to be the only capacitor using the paraelectric format. EEStor has already accomplished in total, what each of the dozens of academic researchers has done in part and then added some."

"EEStor appears to be the first to utilize the paraelectric phase of BT in a ceramic/polymer dielectric. Sample 253D (2) exhibits Dissipation Factor ("DF") and leakage current which shows significant technological breakthrough of one portion of a system that EEStor has extended to some very interesting and remarkable areas. In samples of the current dielectric formulation, EEStor has achieved permittivity in the millions with significant amounts of CMBT present and has been able to demonstrate control of the parameters, such as DF, which is, in my opinion, a breakthrough not anticipated by the rest of the field. It is the whole picture that must be considered."

Mr. Galvagni reiterated that notwithstanding all the progress at EEStor, the important parameter still to be demonstrated and certified is energy density.

About ZENN Motor Company Inc.

The Company's goal is to be the provider of leading edge power storage solutions and related technologies to the automotive industry.

Technologies and solutions, powered by EEStor's electrical energy storage units ("EESU") have the potential to enable OEM and Tier 1 partners to deliver advanced electric transportation solutions to their customers. The Company's Technology Agreement with EEStor provides certain exclusive rights to purchase and deploy EEStor's EESU technology which has been filed and is available for viewing on SEDAR at www.sedar.com.

Neither 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.

Contacts:
ZENN Motor Company Inc.
Natasha Vandesluis
Chief Financial Officer
416-535-8395 ext. 220
nvandesluis@zenncars.com

About Marketwired .
Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

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