Xavier Dorai Appointed President and CEO of Babcock-Thermo Carbon Capture LLC

January 31, 2011

Dorai to lead commercialization of BTCC’s “Zero Emission Boiler System”’ technology for emission-free combustion of coal and other fossil fuels used in electric power generation.

Worcester, MA, January 31, 2011 – ThermoEnergy Corporation (OTCBB:TMEN) has announced that that Xavier A. Dorai has been appointed President and CEO of Babcock-Thermo Carbon Capture LLC . Babcock-Thermo Carbon Capture LLC (BTCC) is a limited liability company formed by subsidiaries of Babcock Power, Inc. and ThermoEnergy Corporation to develop and commercialize an advanced carbon capture and emissions-free power plant design that utilizes a patented, high-pressure oxy-combustion process. Dorai will lead BTCC efforts to launch its first pilot plant projects with the goal of advancing the technology into commercial-scale operation.

Prior to joining BTCC, Dorai held a number of senior positions within the Babcock Power organization. Dorai was Vice President of Sales & Business Development at Babcock Power Sales, Inc. where he had direct responsibility for the development of major new project bookings from US utility and industrial clients. His responsibilities also included tactical and strategic sales planning in support of large capital project development in the traditional and renewable energy sector. Prior to his position at Baccock Power Sales, Inc., Dorai was responsible for the Engineered Projects & Support Services group at Babcock Power Services, where he served as a key member of the senior management team, assisting with development of strategic direction and company objectives, and providing daily management for this business unit.. Dorai also served as Vice President of Services Projects Execution – Midwest & West Regions for Foster Wheeler Corporation, a leading international engineering, construction and project management contractor and power equipment supplier.

Mr. Dorai received his M.B.A. degree in Finance, International Business and General Management from the Booth School of Business, University of Chicago, and his M.S degree in Mechanical Engineering from Southern Illinois University.

“At a time when so many of America’s coal fired power plants are reaching the end of their life cycle, BTCC’s high-pressure oxy-combustion technology provides a tremendous opportunity to repower and extend the lifecycle of these plants for another 30 years, with virtually zero atmospheric emissions of carbon dioxide, NOx, SO2, mercury, or particulates,” said Dorai. “I am delighted to be part of the team that will commercialize a technology that offers such huge benefits for both the power industry and the environment.”

“Xavier’s comprehensive experience, technical acumen, and leadership skills will be huge assets in achieving our desired timetables for deployment of our first BTCC pilot projects,” said Cary Bullock, CEO of ThermoEnergy Corporation.

“BTCC and the “Zero Emissions Boiler System” technology are positioned to make a large contribution in the reduction of carbon dioxide from coal and fossil fueled power plants around the globe. Xavier’s multi-faceted international experience in sales, engineering and construction management makes him the ideal candidate to bring this technology to commercial-scale,” said Mike LeClair, President and CEO of Babcock Power Inc.

About ThermoEnergy:
Founded in 1988, ThermoEnergy, is a diversified technologies company engaged in the worldwide commercialization of patented and/or proprietary municipal and industrial wastewater treatment and power generation technologies. Additional information on the Company and its technologies can be found on its website at www.thermoenergy.com.

About Babcock Power Inc.
Babcock Power Inc., www.babcockpower.com, through its subsidiaries, is one of the world’s leading suppliers of technology, equipment, and services to the power generation industry. Babcock Power subsidiary companies include; Vogt Power International (Louisville, KY), Thermal Engineering International (USA) Inc. (Santa Fe Springs, CA), Babcock Power Environmental, Riley Power Inc. and Babcock Power Services (Worcester, MA), Boiler Tube Company of America (Lyman, SC), and TEi Construction Services, Inc. (Duncan, SC).

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