Ervin to Launch American Power Group Dual Fuel Glider Kit Product Line; Initial $800,000 Order Placed Through WheelTime Network

LYNNFIELD, MA--(Marketwired - Aug 6, 2013) -  American Power Group Corporation (OTCQB: APGI) announced today that Ervin Equipment, Inc. has expanded its product line to include glider kits with APG's Turbocharged Natural Gas™ Dual Fuel Upgrade System. As a result, an initial order of $800,000 was placed through WheelTime Network member Clarke Power Services, Inc. as the lead authorized dealer. The 2014 Freightliner Columbia and Coronado glider kits will be powered by a rebuilt Detroit Diesel Series 60 12.7L engine that has been upgraded with APG's Turbocharged Natural Gas™ System.

The term glider kit refers to a truck that has a new frame, cab, electrical system, and front axle but must utilize rebuilt systems for two of the three drivetrain components which are the engine, the transmission, or the rear axle. In addition to tax benefits, a glider allows the truck owner to power the vehicle with an older EPA approved emissions class engine. APG's EPA dual fuel tests show sustainability improvements that include an 80% reduction in CO and a 25% to 30% reduction in nitrous oxide (NOX) and particulate matter (PM) emissions compared to the base year diesel engine.

Greg Ervin, CEO of Ervin Equipment, Inc., commented, "We believe a natural gas dual fuel glider kit is one of the most exciting new truck options to hit the market and gives the fleet owner the absolute lowest total cost of ownership in managing their business. The APG Turbocharged Dual Fuel System has logged millions of maintenance free miles around the world under very demanding driving conditions, and we have come to appreciate why the WheelTime Network selected and endorsed APG's dual fuel technology. Several key factors drove our decision to pick up the APG dual fuel product line: (1) the customer flexibility to transfer the APG dual fuel system to another one of their trucks at end of life, and (2) the freedom of their non-invasive technology to always go back to a 100% diesel operation at the switch of a button. This dual fuel capability eliminates a big concern of fleet owners which is being stuck with a dedicated natural gas fleet in the future if the price spread of diesel fuel and natural gas is no longer economically advantageous. The freedom to hedge future risk is a key differentiating factor that fleet owners will appreciate. Blu LNG, a leader in LNG fueling solutions, will be placing a sizable demonstration order for their customers as part of our product launch."

Lyle Jensen, CEO of APG, stated, "We are ecstatic that Ervin Equipment has endorsed APG's technology as the dual fuel solution of choice. Ervin Equipment has an impressive list of long-term fleet customer partnerships and we will work diligently with their sales team to accelerate the roll-out of our dual fuel product line. Importantly, Ervin Equipment's competitive financing options through E-Funding will provide customers the ability to immediately benefit from the 20% to 30% net annual fuel savings being experienced by existing APG vehicular customers." Mr. Jensen added, "We also want to acknowledge and thank our WheelTime Network partner, Clarke Power Services, Inc., for bringing this opportunity to fruition. As anticipated, we are seeing a substantial number of dual fuel glider kit and dual fuel engine upgrade conversion opportunities being generated through the WheelTime Authorized Dealer Network. We expect to have multiple certified installer locations operating in many major regional markets by the end of the calendar year. The WheelTime Network has more than180 locations across North America which gives APG a scalable footprint to handle all our expected future growth as the heavy-duty truck industry evolves into full adoption of natural gas vehicles."

Mr. Jensen concluded, "APG will be at the Great American Truck Show in Dallas, Texas, on August 22-24, 2013 with both a CNG Dual Fuel Glider Kit and a LNG Dual Fuel Glider Kit on display. The Detroit Diesel Series 60 12.7L engine is proving once again to be one of the most economically productive engines to own and is highly adaptable to APG's dual fuel natural gas operation."

About Ervin Equipment, Inc.
Founded in 1982, Ervin Equipment, Inc. is a leader in the transportation industry as a supplier of new and pre-owned semi-trailers and trucks for the transportation, agriculture, construction, oil & gas, and power generation industries. Through its business model of providing fleets timely inventory of industry-specific equipment, Ervin's mission is to ensure their growing customer base is able to obtain the proper equipment for the job, as well as provide an outlet to sell aging equipment from the customer's fleet. Ervin Equipment is headquartered in Toledo, Illinois with satellite facilities throughout the United States and Mexico. Visit their website at www.ervinusa.com.

About American Power Group Corporation
American Power Group's alternative energy subsidiary, American Power Group, Inc., provides a cost-effective patented Turbocharged Natural Gas™ conversion technology for vehicular, stationary and off-road mobile diesel engines. American Power Group's dual fuel technology is a unique non-invasive energy enhancement system that converts existing diesel engines into more efficient and environmentally friendly engines that have the flexibility to run on: (1) diesel fuel and liquefied natural gas; (2) diesel fuel and compressed natural gas; (3) diesel fuel and pipeline or well-head gas; and (4) diesel fuel and bio-methane, with the flexibility to return to 100% diesel fuel operation at any time. The proprietary technology seamlessly displaces up to 80% of the normal diesel fuel consumption with the average displacement ranging from 40% to 65%. The energized fuel balance is maintained with a proprietary read-only electronic controller system ensuring the engines operate at original equipment manufacturers' specified temperatures and pressures. Installation on a wide variety of engine models and end-market applications require no engine modifications unlike the more expensive invasive fuel-injected systems in the market. See additional information at: www.americanpowergroupinc.com.

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