Internal Hydro Makes $30,000 Unit Sale for Oil Field Production Use

IHDR Entry into Oil and Gas Industry a First Step Sale into a Large Alternative Energy Market


TAMPA, Fla., Aug. 17, 2006 (PRIMEZONE) -- Internal Hydro International Inc. (OTCBB:IHDR) (www.InternalHydro.com) announces the entry of its low impact hydro units for use in the crude oil and gas exploration segment, by sale of a 30 Kilowatt low impact hydro unit to Greater Sooner Holdings, Inc. of Houston, Texas. The sale of the unit is for a $30,000 unit purchase price, and will be used at an operational well field to offset diesel generator use, and potentially supply nearby residences near the leaseholds. The use of a low flow 30 Kilowatt Energy Commander to help power an existing oil field operation will benefit both companies since it shows the expansive market for IHDR's Energy Commander in the oil and gas segment, and shows Greater Sooner's commitment to environmentally friendly alternative sources to supply energy needed to produce fossil fuels.

"This sale, to another off-grid situation, means that Greater Sooner will have a transportable, ready to plug in energy source where they execute their drill operations where substantial flows are often present," stated IHDR CEO, Craig Huffman. "This entry into the oil and gas operations is merely the first step into the segment of refineries, pipelines and well fields, where natural and produced overpressures are not only available for use of the Energy Commander, but enormously available; just imagine the flows available at every well site, refinery, and pipeline for the placement of Energy Commander units."

The 30 Kilowatt Energy Commander will be delivered within 180 days under the contract terms, which includes pre-payment of one third the purchase price within 30 days. The unit will potentially be used at GSNH's Clayton well field, where it will use available flows of water from the drilling site to supply the needed pressure to supply the energy.

The current EC 30 Kw system set for delivery utilizes a dual cycle 12 cylinder rotary system for a low volume water flow, to produce energy in an efficient manner using positive displacement inside of cylinders, instead of traditional turbines. The first ever patented technology which uses positive displacement of fluids for electrical generation, the Energy Commander system is being fielded in Mobile, Alabama for first use and supplying of electricity in an industrial setting. IHDR's President and CEO, Craig Huffman, who is a board member of GSNH, did not participate in the decision of purchase or sale from either company.

About Internal Hydro:

Internal Hydro International, Inc. is an alternative energy company that developed a clean energy power system, the Energy Commander Systems, that utilizes a patented technology, using waste water, fluid or gas flow from any source where flow pressure is present, and yet wasted, to create electricity. Internal Hydro has grown into a multi national enterprise with international contracts spanning over three continents. Internal Hydro is well positioned to gain major market share and dominate the niche of hydro energy in the fragmented alternative energy marketplace. For more information, please visit the Company's Web site at www.InternalHydro.com .

Forward-Looking Statements: This release contains forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Expressions of future goals and similar expressions reflecting something other than historical fact are intended to identify forward-looking statements, but are not the exclusive means of identifying such statements. These forward-looking statements involve a number of risks and uncertainties, including the timely development and market acceptance of products and technologies, successful integration of acquisitions, the ability to secure additional sources of financing, the ability to reduce operating expenses and other factors. The actual results that the company achieves may differ materially from any forward-looking statements due to such risks and uncertainties. The company undertakes no obligations to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.



            

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