Southern States Power Co. Fuels City's Diesel Vehicles and Generators

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For Immediate Release

Southern States Power Co. Fuels City's Diesel Vehicles and Generators

CALIFORNIA, ONTARIO, Jul. 18 -/E-Wire/-- Southern States Power Co. Inc. (OTCBB:SSPC) Wednesday announced that the company is supplying biodiesel fuel to Claremont, Calif. for use in the city's diesel engines.

The fuel, distributed by General Petroleum, one of the largest fuel providers on the West Coast, is a blend of 20% biodiesel and will serve to reduce harmful emissions. Claremont took delivery of the first 4,000 gallons in late June and has been using the fuel in its sanitation vehicles.

In order to comply with air quality rules set forth by the South Coast Air Quality Management District (SCAQMD), Claremont and many other municipalities are looking for alternatives to petroleum-based fuels. Studies have shown that biodiesel can reduce carbon monoxide emissions by up to 23 percent, hydrocarbons by 26 percent and particulate matter by up to 90 percent.

"As far as performance of the trucks, mileage, there is absolutely no difference,' stated Mark Harmon, utility manager for the city of Claremont. "We want the clean air, but not at the expense of the ratepayers.'

The city of Claremont is located 30 miles east of Los Angeles and is home to the Claremont Colleges, a cluster of five undergraduate and two graduate institutions. All city vehicles that have traditionally been fueled by petroleum diesel will now run on a biodiesel blend. Generators operated by the city will also be fueled by Southern States Power's biodiesel.

Southern States Power Co. is currently providing biodiesel fuel to clients including Deer Valley Unified School District, the largest school district in Arizona, Kyrene School District, and Rockland Materials, a cement company with a fleet of more than 100 heavy-duty trucks.

The primary focus of Southern States Power Co. is to develop, produce and distribute alternative fuels, particularly its OXyG Biodiesel, for use by consumers and commercial businesses. While the demand for alternative fuels is great, there are few producers ready to meet the growing need.

There are nearly 27 billion gallons of diesel consumed annually in the United States alone, and an additional volume is consumed internationally. It is the goal of the United States Department of Energy that 30% of petroleum-based motor fuel be replaced by alternative fuels by the year 2010.

Federal and state fleets are mandated to use up to 75% domestically produced alternative fuels. President George W. Bush's recently released National Energy Policy emphasized the growing role that biodiesel will play in the nation's energy future.

Southern States Power is poised to capture a significant portion of the rapidly expanding biodiesel market through an aggressive marketing plan as well as contacts in government, business and industry. An alliance with soybean farmers in Iowa will supply the company with as much as 270 million gallons of feedstock for use in production of its OXyG Biodiesel.

Tightening clean air standards and growing fossil fuel costs are forcing private commercial fleets to look toward alternative fuel products. Major biodiesel initiatives have been passed in Arizona, Ohio, New Jersey, Nevada, Delaware and Iowa. More information can be found at the company's Web site: www.sspowerco.com.

This news release may contain forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve a number of risks and uncertainties, including the timely development and market acceptance of products and technologies and other factors described in the company's filings with the Securities and Exchange Commission. The actual results may differ materially from any forward-looking statements due to such risk and uncertainties. The company undertakes no obligation to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.

Southern States Power Co. Inc

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