LYNNFIELD, MA -- (Marketwired) -- 07/30/14

American Power Group Corporation (OTCQB: APGI) announced their subsidiary, American Power Group Inc. ("APG") will be working with Green Buffalo Fuel, LLC ("GBF") to begin marketing APG's V5000 Dual Fuel Turbocharged® System using GBF's unique patent pending LNG fuel tank in the Canadian market. GBF is already marketing APG's vehicular dual fuel system in the U.S. It is estimated that there are approximately 320,000 Class 8 trucks operating in Canada with the initial focus being in the provinces of Ontario and British Columbia.

In anticipation of the pending Canadian approvals, Green Buffalo Fuel placed an order in March 2014 for 70 dual fuel conversion systems valued at approximately $730,000 with an initial 25 conversion systems destined for the U.S. market and shipped during that quarter. The balance remains in backlog with anticipated releases of 15 systems per quarter commencing during the fourth calendar quarter with Green Buffalo reserving the right to accelerate the delivery schedule based on market demand.

Green Buffalo Fuel, LLC is headquartered in Tonawanda, NY and provides the heavy-duty truck market a complete Well to Wheels® LNG solution allowing fleet operators to make the transition from Diesel to Natural Gas. Areas of technical expertise include engineering, fabrication, installation, and operation of LNG fueling facilities, dispenser metering systems, their proprietary LNG fuel tanks, and fuel system integration with both dual fuel and dedicated natural gas engines. See additional information at: www.greenbuffalofuel.com.

Green Buffalo Fuel CEO, Peter Coleman stated, "We are pleased to be the first company to obtain Canadian CRN approvals for our LNG tanks in Ontario and British Columbia. Our patent pending LNG vehicular tank will be used on conversions of aftermarket Class 8 trucks. The GBF LNG Fuel Tank is designed and stamped to ASME Section VIII standards, and is the only LNG tank system that meets all NFPA 52 & SAE J2343 guidelines, including those for thermal performance. The GBF design has several patent pending technologies which will reduce heat leak, and improve thermal performance, thereby increasing the range, standby time, and operational performance that our customers demand."

Mr. Coleman continued, "We have conducted exhaustive road testing on both dedicated and dual fuel natural gas systems over the past two years and found the APG system to be the most cost effective and best dual fuel technology in the market today. APG's on-road performance, up-time and outstanding technical field support have convinced us to make this major commitment and we look forward to a long and mutually beneficial relationship."

Lyle Jensen, American Power Group Corporation's Chief Executive Officer stated, "We congratulate Green Buffalo Fuel on these two provincial approvals in Canada and look forward to supporting their North American launch. While APG's dual fuel solution has the necessary Canadian approvals we have been completely shut out of the Canadian vehicular conversion market pending approval of our LNG and CNG tank suppliers. We can now begin to deploy our WheelTime Dealers in Ontario and British Columbia to contact prospective customers who are interested in APG's LNG dual fuel technology. We expect CNG tank suppliers to obtain similar Canadian approvals yet this year."

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 75% 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.

Caution Regarding Forward-Looking Statements and Opinions
With the exception of the historical information contained in this release, the matters described herein contain forward-looking statements and opinions, including, but not limited to, statements relating to new markets, development and introduction of new products, and financial and operating projections. These forward-looking statements and opinions are neither promises nor guarantees, but involve risk and uncertainties that may individually or mutually impact the matters herein, and cause actual results, events and performance to differ materially from such forward-looking statements and opinions. These risk factors include, but are not limited to, the fact that our dual fuel conversion business has lost money in the last five consecutive fiscal years, the risk that we may require additional financing to grow our business, the fact that we rely on third parties to manufacture, distribute and install our products, we may encounter difficulties or delays in developing or introducing new products and keeping them on the market, we may encounter lack of product demand and market acceptance for current and future products, we may encounter adverse events economic conditions, we operate in a competitive market and may experience pricing and other competitive pressures, we are dependent on governmental regulations with respect to emissions, including whether EPA approval will be obtained for future products and additional applications, the risk that we may not be able to protect our intellectual property rights, factors affecting the Company's future income and resulting ability to utilize its NOLs, the fact that our stock is thinly traded and our stock price may be volatile, the fact that we have preferred stock outstanding with substantial preferences over our common stock, the fact that the conversion of the preferred stock and the exercise of stock options and warrants will cause dilution to our shareholders, the fact that we incur substantial costs to operate as a public reporting company and other factors that are detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended September 30, 2013 and the Company's quarterly reports on Form 10-Q. Readers are cautioned not to place undue reliance on these forward-looking statements and opinions, which speak only as of the date hereof. The Company undertakes no obligation to release publicly the result of any revisions to these forward-looking statements and opinions that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

Media Information Contact:
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American Power Group Corporation
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Porter, LeVay, & Rose, Inc.
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