Volume order received for fuel cell plates intended for consumer electronics

Press Release
Morphic Technologies AB (publ)                                              
Karlskoga, August 27, 2007


Volume order received for fuel cell plates intended for consumer electronics

Morphic´s subsidiary, Cell Impact, has received it's first volume order to
supply serial production volumes of fuel cell plates intended for consumer
electronics from a US customer. The order represents a commercial breakthrough
for Cell Impact. The agreement is valued at SEK 60 million, over a two-year
period.

The flow plates will be produced using Morphic's patented high impact technology
and offers a superior efficiency rate at an unbeatable price per unit. The
manufacturing will initially take place in Cell Impact's production facility in
Karlskoga, Sweden. Initial deliveries are scheduled for January 2008."It's no coincidence that the order stems from the consumer electronics
industry. We have seen significant interest from that sector. This is a small
order but it's indicative for the fuel-cell industry. It illustrates that our
offer is heading the market and proves that we can deliver on price and
performance," says Martin Valfridsson, President for Cell Impact.

There is a sizeable market potential within the sector. The main advantages are
that fuel cells have considerably longer operating time and can be recharged
extremely quickly. Contrary to today's batteries, the time it takes to restore
maximum capacity is negligible.

About fuel cells and flow plates  
The electricity in a fuel cell is produced by hydrogen dissolving in a
controlled manner and reacting with oxygen. This reaction produces electricity
with heat and water being the only residue. With a long life-span and next to no
negative environmental impact, fuel cells represent a real alternative to most
of today's energy converters when it comes to producing electricity for
societal, industrial and residential needs, as well as for vehicle and portable
electronics. 

Simply put, a fuel cell consists of an electrolyte with two electrodes on each
side. So-called 'flow plates' reside outside the electrodes, between which the
injected fuel, for example hydrogen or methanol, react with oxygen. The plates
represent a big part of the cost and its ability to effectively navigate
hydrogen gas is essential for the fuel cell's ability to generate electricity.
Morphic's patented technology makes it possible to manufacture the plates
quicker, cheaper and of better quality than ever before.

Johannes Falk, Information and Investor Relations Manager, Morphic Technologies
AB
Phone: +46 (0)706- 76 73 93, E-mail: johannes.falk@morphic.se.

Morphic Technologies is a Swedish industrial group that specializes in energy
systems for renewable electricity production as well as resource-light
production techniques for efficient component manufacture. The operations are
located in Karlskoga, Filipstad, Kristinehamn and Göteborg, Sweden. The
Company's class B shares are listed on the Stockholm Stock Exchange's trading
site, First North, with Remium Securities as Certified Advisor. For more
information, see www.morphic.se

DISCLAIMER: THIS DOCUMENT IS A TRANSLATION FROM THE SWEDISH ORIGINAL. NO
GUARANTEES ARE MADE THAT THE TRANSLATION IS FREE FROM ERRORS.