American Power Group Receives Follow-On Orders Valued at $750,000 From Its Canadian Authorized Dealer/Installer, Collicutt Energy Services

LYNNFIELD, MA--(Marketwired - Jan 23, 2014) -  American Power Group Corporation (OTCQB: APGI) announced today that its subsidiary, American Power Group, Inc. ("APG") has received $750,000 in follow-on purchase orders since October 1^st from Collicutt Energy Services, its stationary authorized dealer and certified installer in Alberta and Western Canada. The orders are for the upgrade and conversion of additional diesel generators on drilling rigs using APG's Turbocharged Natural Gas™ Dual Fuel System. While the end customers were not disclosed for proprietary reasons, these customers are ranked among the top oil and gas exploration and drilling companies in Canada and North America.

Steven Collicutt, CEO of Collicutt Energy Services, stated, "Many of our customers drill under some of the harshest operating conditions in North America. The proven reliability, performance and economic returns of the APG dual fuel solution under these circumstances has led to increasing demand from new and existing customers. Mr. Collicutt added, "APG provides our customers with a significant competitive advantage in a very bottom-line driven industry. Several of our oil and gas drilling and service company clients estimate a potential annual net fuel savings of over $1.0 million dollars per drilling rig using APG's dual fuel solution."

Lyle Jensen, CEO of American Power Group, stated, "We are pleased to see continued strong interest in the Canadian market from some of the leaders in the oil and gas drilling services market. We are already over 250% of last year's Canadian revenue and anticipate our penetration into the Canadian market to accelerate through our relationship with Collicutt Energy Services." Mr. Jensen added, "In addition to the fact our Canadian customers continue to see over 50% diesel displacement ratios, we feel the fact that APG's dual fuel system was the first and remains the only solution to obtain CSA Inspection and Acceptance stickers in the oil & gas industry to be a strong selling point. Similar to Underwriters Lab ("UL") approval in the United States, the CSA Inspection and Acceptance mark shows that a product has met CSA's recognized standards for safety and performance."

Mr. Jensen will be presenting today at the World LNG Fuels Conference (www.worldlngfuels.com) taking place at the George R. Brown Convention Center, Houston, Texas. Mr. Jensen will be discussing APG's dual fuel glider conversion technology as well as several recent customer success stories using liquefied natural gas as an alternative transportation fuel.

About Collicutt Energy Services
Collicutt Energy Services is a leading service provider in North America, and headquartered in Red Deer, Alberta, Canada with over 30 years of experience in the power generation and gas compression industry. Through its locations in Alberta, British Columbia, California, Nevada, Alaska, and Hawaii, Collicutt provides design and engineering services, field sales and support, large equipment overhaul and refurbishment and parts inventory for the power generation and gas compression industries.

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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