Energy Recovery and Seawater Desalination

Tampa, FL, September 16, 2008 - The Ministry of Electricity and Water (MEW) of Kuwait awarded Doosan Heavy Industries & Construction the 136,000 m3/day (36 million US gallons per day (MGD)) Shuwaikh Seawater RO Desalination Plant with Recarbonation system. Doosan Heavy Industries & Construction is executing the project on an EPC basis while Doosan Hydro Technology, the wholly owned US based subsidiary, will partially provide basic process design engineering, as well as detail engineering review services. Energy Recovery, Inc. (“ERI”) (NASDAQ:ERII), a global leader of ultra-high-efficiency energy recovery products and technology for desalination was also contracted for its innovative PX Pressure Exchanger (PX) technology for the Shuwaikh SWRO project.

Water sustainability is a growing concern in the Middle East and the Kuwaiti Ministry of Electricity and Water has taken proper measures to sustain a potable water supply for its communities. The Plant is Kuwait’s first seawater desalination plant using RO technology. It will supply drinking water for 450,000 residents in Kuwait City. Under the contract, Doosan will design and build the plant, which is to be built near Shuwaikh port, as well as supply equipment and materials. The project is scheduled for completion in September 2010.

Doosan selected ERI’s largest commercially available 65-Series product, the PX-260 energy recovery device due to its high efficiency, flexibility and small footprint. The project will include 187 PX-260 PX Pressure Exchanger® energy recovery devices which will save an estimated 12.7 megawatts of power. ERI and Doosan also teamed up for the 150,000 m3/day (39.6 MGD) Al Shuaibah III Expansion SWRO Desalination Plant in September of 2007.

Dr. Richard Stover, ERI Chief Technology Officer stated, “We are excited about winning this project in Kuwait. Our ground-breaking work in the early 1990’s at the Kuwait Institute of Scientific Research (KISR) Laboratories laid the foundation for our innovative PX technology. It’s with great pleasure that we are able to give back to the region”, Dr. Stover continued. ERI has several desalination plants throughout the Middle East and North Africa engaging its PX technology. From large plants in Algeria and the UAE to smaller plants throughout Egypt and Saudi Arabia; ERI has focused its efforts on providing the region with advanced energy recovery solutions. The company has a regional sales office in Dubai.

About ERI(R)

Energy Recovery, Inc. (ERI) is a leading manufacturer of energy recovery devices, which by significantly reducing energy consumption is helping make desalination affordable. ERI's PX Pressure Exchanger(R) technology (PX(R)) is a rotary positive displacement pump that recovers energy from the high pressure waste stream of sea water reverse osmosis systems at up to 98% efficiency with no downtime or scheduled maintenance.

The company has research, development and manufacturing facilities in the San Francisco technology corridor as well as direct sales offices and technical support centers in key desalination hubs such as Madrid, UAE, Shanghai and Florida. ERI service representatives are based in Algeria, Australia, China, India, Korea, Mexico, Taiwan and the Caribbean.

As the demand for clean, potable water increases; ERI is poised to face the global challenges ahead. For more information on ERI and PX technology, please visit www.energyrecovery.com.