Xynergy Holdings, Inc. ("Xynergy" and the "Company") (PINKSHEETS: XYNH) is pleased to announce its subsidiary Hydrofuel, Inc. most recent continuous driving tests, with its second generation hydrogen cell, resulted in a "Company Best" of 36 miles per gallon. The Company has continued to improve the interface between the hydrogen cell, truck and the electronics, thus, increasing the overall MPG results, which initially averaged 25 MPG; after the latest improvements to the system, the average increased to 33 MPG. Further tests have resulted in a "company best" of 36 MPG for Xynergy's test vehicle, a 1999 Ford 7.3 liter diesel truck. Xynergy Holding's CEO, JC Ley, comments, "We have been working hard since the cell's inception to arrive at this point. We still have more work to do, but believe that we may have crossed a major milestone. We have and will continue to fine tune the efficiency of the cell. Every component of the system is imperative to obtaining these gains, such as the integration between the second generation hydrogen cell, the electronics involved in regulating the hydrogen production output capacity of the cell, and engine efficiency. Our latest test results demonstrate a significant average gain, to the tune of 33 MPG. This is equivalent to an average of 2.2 times gain, which is more than double the average mileage over the available published data for a 1999 Ford 7.3 liter Power Stroke diesel truck engine."

The Company intends to polish up the system and is making plans to file for a temporary patent on the second generation cell. Additionally, plans are currently being developed for a third generation cell designed for larger commercial vehicles and other commercial applications.

About Xynergy Holdings, Inc. Xynergy Holdings, Inc. is committed to meeting the world's growing energy needs while also promoting environmentally conscious business practices, sustainability and commerce. Xynergy Holdings, Inc. is focused on promoting global commerce within the realm of a global economy.

Safe Harbor This press release includes statements that constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Reform Act"). Xynergy Holdings, Inc. claims the protection of the safe-harbor for forward-looking statements contained in the Reform Act. These forward-looking statements are often characterized by the terms "may," "believes," "projects," "expects," or "anticipates," and do not reflect historical facts. Specific forward-looking statements contained in this press release include, but are not limited to: our successful integration of diversified growth companies, impact of the company's expansion plan, and new business development success, future financial results, development and acquisition of new product lines and services, the impact of competitive products or pricing from technological changes, the effect of economic conditions and other uncertainties. The forward-looking statements contained herein involve risks and uncertainties that could cause actual results to differ materially from the expectations contained in any such, forward-looking statements. These risks include, but are not limited to: failure to manage operating expenses or integrate new companies and/or technologies, each of which could have a material impact on our business, our financial results, and the company's stock price. These risks and other factors are detailed in the Company's filings with the U.S. Securities and Exchange Commission and the Pink Sheets. Most of these factors are difficult to predict accurately and are generally beyond the Company's control. Forward-looking statements speak only as to the date they are made and Xynergy Holdings, Inc. does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.

Contact Xynergy Holdings, Inc. 305-819-0452

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