ALBANY, N.Y.--MTI MicroFuel Cells Inc. (MTI Micro), developer of the Mobion® micro fuel cell technology and a subsidiary of Mechanical Technology Incorporated (NASDAQ: MKTY), and Trident Systems, Inc (Trident), a leader in the development of unattended ground sensors, are teaming to pursue opportunities to leverage MTI Micro’s consumer market platform into low-power military markets; teaming opportunities include demonstrations of unattended ground sensor prototypes powered by Mobion®, and evaluations and potential submissions of proposals for military programs. Financial and other details of the agreement were not disclosed.

Unattended sensors are power hungry devices often situated in remote strategic locations where changing batteries may not be ideal. MTI Micro will work with Trident to determine and evaluate the use and integration of Mobion® technology into Trident’s line of unattended ground sensors to create a unique product offering – a long-lasting unattended ground sensor product.

Mobion® technology powered sensors could offer the military longer device use time, uninterrupted intelligence data, less dangerous missions, and lower costs due to less frequent battery replacements. “The small form-factor MTI Micro’s Mobion® micro fuel cell, initially designed for handheld consumer devices, is an emerging high-density power supply that can further extends mission time for our unattended ground sensors,” said Walter Pullar, Vice President for Networks & Sensors Division at Trident. “We are looking forward to working with MTI Micro, a leading micro fuel cell company.”

“Trident’s knowledge and experience in the development and commercialization of unattended ground sensors, makes them a valuable partner for MTI Micro,” said Peng Lim, CEO of MTI. “MTI Micro is committed to leveraging its consumer program to a selected number of sensor applications in the military market, and we consider the opportunity to provide next-generation power sources for such applications to be a great fit for our Mobion® technology.”

This additional agreement with an OEM for low-power products follows MTI Micro’s continuing collaboration covering cell phone and cell phone accessories with its Korean Partner and an agreement with DaeHong, its Korean representative. In addition, within the next 12 month, MTI Micro will continue to develop partnerships and processes to start manufacturing readiness, assess partnering opportunities with several other OEMs, and expect to begin shipping products in the consumer market in 2009.

About MTI MicroFuel Cells

MTI MicroFuel Cells Inc., a subsidiary of Mechanical Technology Incorporated, (NASDAQ: MKTY - News), is the developer of the award winning Mobion® direct methanol micro fuel cell technology. The Company has a world-class team of entrepreneurial business executives, researchers and scientists; a number of system prototypes demonstrating size reductions and performance improvements; significant related intellectual property; and has received government awards and developed strategic partnerships to help accelerate commercialization. More information is available at www.mtimicrofuelcells.com.

About Trident Systems, Inc

Trident Systems, Inc is headquartered in Fairfax,VA, Trident is a 21-year old company delivering man-wearable and small form factor, ruggedized C4ISR systems and products to the defense market. Trident’s products are currently deployed with US Army and Marine Corps forces. Their family of hand-deployed unattended sensor products are optimized to meet persistence, environmental (MIL-STDs 810F, 461E), and transportability needs and can be deployed as an independent system or integrated into existing systems for a variety of tactical surveillance and force protection scenarios. Components include low-data and high-data rate nodes, tactical gateways, and controlling software especially suited for defense or homeland security applications. More information about Trident Systems, Inc can be found at www.tridsys.com