COLUMBUS, OH--(Marketwire - December 16, 2008) - SCI Engineered Materials, Inc. (SCI) (OTCBB: SCIA), a manufacturer of ceramics and metals for advanced applications in the physical vapor deposition industry, today announced it has been awarded a $708,715 grant from the Ohio Department of Development, subject to State of Ohio Controlling Board approval. This grant, pursuant to the State of Ohio's Third Frontier Advanced Energy Program, is for the commercialization of rotatable ceramic sputtering targets for thin film photovoltaic solar cell manufacturing. Specifically, the Company will commercialize technologies for the production of transparent conductive oxide coated glass used in thin film photovoltaic solar panels.

Rotatable ceramic sputtering targets can be used in production processes involving glass, stainless, or plastic substrates, making them applicable for second generation thin film and third generation dye cells. Optimizing the composition of the coating utilizing these targets will allow manufacturers to improve the efficiency of photovoltaic modules.

SCI has supplied materials to the Thin Film Solar (TFS) industry for more than 10 years during the industry's early stages of development. The grant from the Ohio Department of Development will be used to accelerate the core competencies SCI has developed during this period. SCI recently announced the appointment of European based CCT-Solar as its exclusive manufacturer's representative to the European solar industry. The TFS industry is an alternative energy technology currently experiencing rapid growth, which is expected to continue for the foreseeable future as markets cope with increasing demand for electricity, higher long-term rising fossil fuel costs, and global environmental effects.

About SCI Engineered Materials, Inc.

SCI Engineered Materials, Inc. manufactures ceramics and metals for advanced applications such as photonics including solar, thin film batteries, and semiconductors. SCI Engineered Materials is a global materials supplier with clients in more than 40 countries. Additional information is available at

This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Those statements include, but are not limited to, all statements regarding intent, beliefs, expectations, projections, forecasts, and plans of the Company and its management, and specifically include statements concerning required approval by the State of Ohio Controlling Board, These forward-looking statements involve numerous risks and uncertainties, including, without limitation, other risks and uncertainties detailed from time to time in the Company's Securities and Exchange Commission filings, including the Company's Annual Report on Form 10-KSB for the year ended December 31, 2007. One or more of these factors have affected, and could in the future affect, the Company's projections. Therefore, there can be no assurances that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the Company, or any other persons, that the objectives and plans of the company will be achieved. All forward-looking statements made in this press release are based on information presently available to the management of the Company. The Company assumes no obligation to update any forward-looking statements.

Contact Information: Contact: Robert Lentz (614) 876-2000