TRADING UPDATE
10.27.08

Applied Intellectual Capital Limited (“AIC”) (AIM: AINC) funds, develops, patents and commercializes electrochemical and advanced separations technologies in clean energy, electricity storage, water treatment, metals recovery and other emerging markets. AIC today provides the following update on progress made with its electric vehicle battery (BLAB), large scale flow battery (Plurion), bio-fuels (RedOx) and mining & metals recovery (EverClear) technologies.
1. LARGE SCALE FLOW BATTERIES (PLURION)
AIC announces that it is has engaged Mirabaud Securities Limited to lead a private equity raise for Plurion Limited. Plurion is seeking investment to put its two year business plan into action. Plurion is also pursuing public finance sources. This new investment will build on the progress already achieved and is intended to carry the project forward to a fully scalable 22.5 kilowatt module, which is the basis of its commercial product offering.  Once this milestone is achieved, Plurion would be positioned to become a major and potentially a key player in the global electricity storage industry. AIC is a majority owner of Plurion.
2. MINING & METALS RECOVERY (EVERCLEAR)
EverClear Solutions, Inc. (“EverClear”) has retained Nomura International plc to assist with a private placement fundraising and to provide certain other advisory services. The fundraising will enable EverClear to progress its business plan which includes: further field trials in support of the development of a bankable feasibility study for the Tsumeb Tailings Dam in Namibia jointly with Weatherly International; assessment of a growing number of potential sites in the Americas and Africa; and engineering of project-specific hardware and applications. In June, EverClear completed a successful field demonstration at the Mintek Test Facility in Johannesburg, South Africa recovering LME grade copper from tailings from the Tsumeb site. AIC owns a significant minority interest in EverClear.
3. ELECTRIC VEHICLE BATTERY (BLAB)
AIC has successfully completed laboratory testing of a thin film bi-polar lead acid battery (BLAB) in a configuration suitable for electric bicycles and scooters. Discussions have progressed with a potential Chinese business partner concerning their interest in commercialization of what may be the first of several electric vehicle batteries. The combined efforts of AIC and this potential partner are focused on exploiting a $3 billion market for such batteries in China.
4. BIOFUELS (REDOX)
Lab testing of AIC’s metal mediated redox and hydrolysis solutions is continuing and RedOx is progressing towards the yield levels that will be needed to make the technology a commercial success. The primary focus is on the conversion of waste biomass to ethanol in collaboration with Mitsubishi Corp, and waste biomass to PHA (organic plastic) with University College Dublin. Lab testing of the conversion of biomass to commercially attractive advanced biofuels has also commenced.

ENQUIRIES:

Applied Intellectual Capital: Tony Amor Tel +1 510 701 7755

Perlgut Group: Mark Perlgut Tel +1 212 799 0026

Nabarro Wells: Marc Cramsie Tel +44 (0)20 7634 4858

NOTES FOR EDITORS:

AIC is an AIM listed company that funds, develops, patents and commercialises electrochemical and advanced separations technologies in clean electricity storage, water treatment, metals recovery and other emerging markets. AIC listed in AIM in January 2007 and now has a market capitalization of approximately £54 million.

Background on Tony Amor:

After graduating from Cambridge in 1967, he worked for Shell International in London, Australia, and Venezuela. While earning an MBA at Harvard, he worked for Arthur D. Little, and in 1976, joined Natomas Company, an energy and transportation company based in California. Eventually, he worked as a senior officer for Natomas Energy's oil, gas, and coal interests. Tony has also served as president for Thermal Power, a geothermal and renewable energy company. In 1984, he founded the Diablo Executive Group, an interim management, consulting, and investment business focused on the environmental technology, energy, and utility sectors. In 2003, he was appointed CEO of ITI Energy Limited, which invests in research, development, and commercialization of new energy technologies. He also served as a director of the parent organization, ITI Scotland Limited, until 2005. Tony is now a Partner of Pulsar Energy Capital LLP, a private equity firm that invests in the energy sector.