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ENERGY RECOVERY INC. TO DELIVER UNMATCHED POWER EFFICIENCY AT MASSIVE DESALINATION PLANT EXPANSION IN AUSTRALIA

SAN LEANDRO, Calif., February 2, 2010—Energy Recovery, Inc. (NASDAQ: ERII), a leader in the design and development of energy recovery devices for desalination, today announced that ERI PX Pressure Exchanger™ (PX™) devices will be implemented at the desalination plant currently under construction in Port Stanvac, Australia. The AdelaideAgua consortium—a joint venture between McConnell Dowell Constructors, Abigroup Contractors, ACCIONA Agua and United Utilities Australia—is building the plant, one of the largest of its kind in the world. It will provide 300,000 m3 (74 million gallons) of fresh water per day to 1.1 million residents in Adelaide. Energy Recovery anticipates delivery of its PX devices in the first half of the year.

“ERI has been a part of the AdeliadeAqua project since the beginning, and we are proud to continue ensuring energy-efficient desalination operations through this expansion,” said Borja Blanco, senior vice president of Energy Recovery, Inc. “It is also an honor to work again with ACCIONA Agua, and in the company’s first Australian project, to help alleviate the nation’s water shortages with affordable fresh water.”

Once running, the Adelaide facility will save more than 30,420 kW of energy and offset more than 16,000 tons of CO2 annually by using ERI’s PX energy recovery devices. Adelaide is the fourth desalination plant in Australia to include the PX technology, with ERI also holding contracts at three major facilities including Perth Cape Preston and Melbourne. In total, Energy Recovery is helping to produce more than one million cubic meters per day (264 million gallons) of fresh water per day across Australia. The Adelaide plant is also the seventh project in which ERI and ACCIONA Agua collaborate to provide clean, affordable water. Additional projects include plants in Algeria, Venezuela, and several in Spain. Together, ACCIONA Agua and ERI provide 667,000 cubic meters (176 million gallons) of fresh water every day.

“We have experienced tremendous results in terms of conserving energy and resources when implementing the Energy Recovery PX devices in our desalination plants,” said Luis Castilla, managing director of ACCIONA Agua. “AdelaideAqua marks our entry into the Australian market, and we are committed to its success as a world-leading facility in terms of energy efficiency, environmental sustainability and overall performance. Energy Recovery’s PX devices are essential to ensuring this success.” 

Energy Recovery's PX devices operate at up to 98 percent efficiency and reduce the energy consumption of SWRO systems by up to 60 percent, making desalination a cost-effective solution for clean water supply. PX devices also reduce the carbon footprint of desalination, saving more than 890 MW of energy and reducing CO2 emissions by more than 4.7 million tons per year worldwide. More than 8,000 PX devices are currently deployed or under contract to be installed at desalination plants across the globe. For more information about Energy Recovery's PX Pressure Exchanger technology, visit http://www.energyrecovery.com or send an email to info@energyrecovery.com.

About Energy Recovery, Inc.
Energy Recovery, Inc. (NASDAQ:ERII) designs and develops energy recovery devices that help make desalination affordable by significantly reducing energy consumption. Energy Recovery’s PX Pressure Exchangerä (PXä) device is a rotary positive displacement pump that recovers energy from the high pressure reject stream of seawater reverse osmosis systems at up to 98 percent efficiency. The company is headquartered in the San Francisco Bay Area with offices in key desalination centers worldwide, including Madrid, Shanghai, Florida and the United Arab Emirates. For more information about Energy Recovery, Inc. and the PX technology, please visit www.energyrecovery.com.