Fuel Tech Inc. : Jan. 20 2012 Fuel Tech Awarded Air Pollution Control Orders Totaling $2.2M

CONTACT: David S. Collins

Chief Financial Officer

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Tracy H. Krumme

Vice President, Investor Relations

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FUEL TECH AWARDED AIR POLLUTION CONTROL ORDERS TOTALING $2.2M WARRENVILLE, Ill., Jan. 20, 2012 - Fuel Tech, Inc. (NASDAQ: FTEK), a world leader in advanced engineering solutions for combustion and emissions control systems for utility and industrial applications, today announced receipt of multiple air pollution control orders totaling $2.2 million.

In China, an award was received from an existing utility customer for two ULT RA™ systems for retrofit coal-fired units. Fuel Tech's ULTRA process provides for the safe and cost-effective on-site conversion of urea to ammonia for use as a reagent in the selective catalytic reduction of NOx, eliminating the hazards associated with the transport, storage and handling of anhydrous or aqueous ammonia. Equipment deliveries are currently scheduled within the first half of this year.
In Europe, an award was received for the provision of the engineering design and equipment supply for a conventional NOxOUT-SCR ®system for an industrial boiler. The order was sold to a Dutch customer, working for an Italian general contractor, for ultimate delivery to the end user in China. The design includes an SCR reactor, catalyst supply, and ammonia injection grid, each of which is critical for optimal SCR performance. Equipment deliveries are currently scheduled within the first half of this year.
Douglas G. Bailey, Chairman, President and Chief Executive Officer, commented, "We are pleased to begin the year with these international awards. Fuel Tech continues to grow its Air Pollution Control business in China, particularly with our ULTRA technology, and we are pleased to advance our penetration of this large and fast-growing market."

About Fuel Tech

Fuel Tech is a leading technology company engaged in the worldwide development, commercialization and application of state-of-the-art proprietary technologies for air pollution control, process optimization, and advanced engineering services. These technologies enable customers to produce
both energy and processed materials in a cost-effective and environmentally sustainable manner.

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The Company's nitrogen oxide (NOx) reduction technologies include advanced combustion modification techniques - such as Low NOx Burnersand Over-Fire Air systems- and post-combustion NOx control approaches, including NOxOUT ® a nd HE RT ™ SNCR systems as well as systems that incorporate ASCR™ (Advanced Selective Catalytic Reduction), CASCADE™, U LT RA™ and NOxOUT- SCR ®processes. These technologies have established Fuel Tech as a leader in NOx reduction, with installations on over 680 units worldwide, where coal, fuel oil, natural gas, municipal waste, biomass and other fuels are utilized.
The Company's FUEL CHEM ®technology revolves around the unique application of chemicals to
improve the efficiency, reliability, fuel flexibility and environmental status of combustion units by controlling slagging, fouling, corrosion, opacity and operational issues associated with sulfur trioxide, ammonium bisulfate, particulate matter (PM2.5), carbon dioxide and NOx. The Company has experience with this technology, in the form of a customizable FUEL CHEM program, on over 110 combustion units burning a wide variety of fuels including coal, heavy oil, biomass, and municipal waste.
Fuel Tech also provides a range of combustion optimization services, including airflow testing, coal flow testing and boiler tuning, as well as services to help optimize selective catalytic reduction system performance, including catalyst management services and ammonia injection grid tuning. In addition, flow corrective devices and physical and computational modeling services are available to optimize flue gas distribution and mixing in both power plant and industrial applications.
Many of Fuel Tech's products and services rely heavily on the Company's exceptional Computational Fluid Dynamics modeling capabilities, which are enhanced by internally developed, high- end visualization software. These capabilities, coupled with the Company's innovative technologies and multi-disciplined team approach, enable Fuel Tech to provide practical solutions to some of our customers'
most challenging problems. For more information, visit Fuel Tech's web site at www.ftek.com.

This press release may contain statements of a forward-looking nature regarding future events. These statements are only predictions and actual events may differ materially. Please refer to documents that Fuel Tech files from time to time with the Securities and Exchange Commission for a discussion of certain factors that could cause actual results to differ materially from those conta ined in the forward-looking statements.