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Aug 12, 2011
ZBB Energy to Provide Energy Storage for US Navy Micro-Grid Project

ZBB Awarded Contract Valued at Greater Than $1 Million From the Navy to Deliver 1000kWH Energy Storage System to San Nicholas Island Utilizing Next Generation EnerSystem(TM) Technologies

MILWAUKEE, WI--(Marketwire - Aug 12, 2011) - ZBB Energy Corporation (NYSE Amex: ZBB), the leading developer of intelligent, renewable energy power platforms, announced today a contract from the US Navy Fleet and Industrial Supply Center, San Diego (FISCSD), with the requiring activity from the Navy. ZBB will provide a 1000kWH / 500kW-rated energy storage system for use in a micro-grid application at the San Nicolas Island Naval Facility, located in the Catalina Island group just west of Los Angeles. The system will utilize ZBB's newly branded EnerSystem™ technologies, comprised of ZBB's Power & Energy Control Center (PECC) and next generation Version 3 Zinc Bromide flow battery modules.

The contract is for the supply of equipment and services for work supported by the Office of Naval Research-Technology Insertion Program for Savings (ONR-TIPS) with the purpose of accelerated transition of new technology. During the next two years, the EnerSystem™ will be tested and certified to maintain power quality and perform load management for off peak produced power of the wind turbines and diesel electric power plant power delivery system at NOLF-SNI. The certifying body is Idaho National Laboratories. This will be the first time that an advanced energy storage system is tested with large-scale renewable sources, in conjunction with actual load management and generator plant control schemes in a micro-grid application in North America. Successful tests and certification will make available transition of this technology to more wide spread Navy use.

The ZBB EnerSystem™ will be used continuously in an ongoing operational mode to minimize diesel gen set runtime in conjunction with wind turbines and future PV arrays on the island. The base's overall system will focus on the power control for micro-grid stability, quality, and load leveling needs on the base. "We look forward to working with the Navy to showcase the capabilities of ZBB's third generation flow battery storage and integrated power electronics. This application is a great example of how cost effective power electronics and storage will deliver key integration, management and fuel saving benefits to the DoD," said Eric Apfelbach, President & CEO of ZBB Energy.

ZBB's power electronics (PECC) will be used to interconnect the flow battery modules and future renewable inputs to the existing base micro-grid and recently installed wind turbines. The ZBB Version 3 flow battery is designed to serve as an advanced electrical energy storage device, constructed from environmentally-friendly materials that provide a long service life and advanced performance when compared with traditional chemical batteries, particularly in challenging environmental and operational applications like military base micro-grids.

ZBB will work closely with the Navy in Port Hueneme, CA and the project's design and installation civilian contractor to define operational standards for advanced energy storage systems on micro-grids such as this project and for use at future naval facilities.

About ZBB Energy Corporation
ZBB Energy Corporation (NYSE Amex: ZBB) provides advanced electrical power management platforms targeted at the growing global need for distributed renewable energy, energy efficiency, power quality, and grid modernization. ZBB and its power electronics subsidiary, Tier Electronics, LLC have developed a portfolio of intelligent power management platforms that directly integrate multiple renewable and conventional onsite generation sources with rechargeable zinc bromide flow batteries and other storage technology. The company also offers advanced systems to directly connect wind and solar equipment to the grid and systems that can form various levels of micro-grids. Tier Electronics participates in the energy efficiency markets through their hybrid vehicle control systems, and power quality markets with their line of regulation solutions. Together, these platforms solve a wide range of electrical system challenges in global markets for utility, governmental, commercial, industrial and residential end customers. A developer and manufacturer of its modular, scalable and environmentally friendly power systems ("ZESS POWR™"), ZBB Energy was founded in 1998 and is headquartered in Wisconsin, USA with offices also located in Perth, Western Australia. For more information visit www.zbbenergy.com.

Safe Harbor
Certain statements made in this press release contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended that are intended to be covered by the "safe harbor" created by those sections. Forward-looking statements, which are based on certain assumptions and describe our future plans, strategies and expectations, can generally be identified by the use of forward-looking terms such as "believe," "expect," "may," "will," "should," "could," "seek," "intend," "plan," "estimate," "anticipate" or other comparable terms. Forward-looking statements in this press release may address the following subjects among others: statements regarding the sufficiency of our capital resources, expected operating losses, expected revenues, expected expenses and our expectations concerning our business strategy. Forward-looking statements involve inherent risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements, as a result of various factors including those risks and uncertainties described in the Risk Factors and in Management's Discussion and Analysis of Financial Condition and Results of Operations sections of our most recently filed Annual Report on Form 10-K and our subsequently filed Quarterly Reports of Form 10-Q. We urge you to consider those risks and uncertainties in evaluating our forward-looking statements. We caution readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. Except as otherwise required by the federal securities laws, we disclaim any obligation or undertaking to publicly release any updates or revisions to any forward-looking statement contained herein (or elsewhere) to reflect any change in our expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

Contact Information:
Helen Brown
Investor Relations
ZBB Energy Corporation
T: 262.253.9800
Email: Email Contact


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