Funding for Hydrogen Production Certification

December 29, 2003 [] Las Vegas, Nevada-based Alternate Energy Corporation (AEC) has received US$530,000 via a private placement with institutional investors. The proceeds are expected to be used to fund interim working capital requirements and for certifying AEC’s Hydrogen Production System. The financing includes the issuance of 1.06 million shares of restricted shares at $0.50 per share and 318,000 warrants exercisable over a 3-year period to purchase the company’s common stock at $0.85 per share. The company shall have the option of calling any unexercised warrants once the registration statement is effective and the company’s common stock price exceeds $2 per share for 30 trading days. The company has agreed to register the shares with the Securities and Exchange Commission. AEC’s Chairman Blaine Froats said that the proceeds from this financing would help AEC certify their hydrogen technology through testing before governmental entities and leaders in the alternative energy field.