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Coates International, Ltd. Phase Two of the Coates Hydrogen Reactor Project Is Rapidly Moving Successfully Forward

STOCKHOLDER'S UPDATE

WALL TOWNSHIP, NJ -- (Marketwired) -- 01/16/14 -- Coates International, Ltd. ("the Company") (OTCQB: COTE) -- Phase two of the Coates Hydrogen Reactor Project is moving forward with great success.

  • Mr. Coates explains, "There are literally thousands of people and scientists researching the energy contained in water H2O all encountering the same obstacles or laws of science (energy in, less energy out). Here at Coates R&D plant we have come up with a new invention that weakens the quantum electromagnetic covalent bond of the atomic structure of molecules in water H2O. In water molecules the oxygen atom attracts the electrons in an OH covalent bond, the hydrogen has no inner shell of electrons to shield the nucleus and there is an electrostatic interaction between the hydrogen proton and the single pair of electrons on the oxygen atom in the associate molecules. Each oxygen atom has two associates pairs of electrons and can make hydrogen bond to two different hydrogen atoms. The strengths of hydrogen bonds are about one tenth of the strengths of normal covalent bonds. Hydrogen bonding does have significant effects on physical properties. It accounts for the unusual properties of water and for the relatively high boiling point of H2O, HF, and NH3 compared with H2S, HC1 and PH3.

    We have come up with a new device that weakens the covalent bond in water H2O molecules making it much easier to split water into hydrogen in larger quantities in a shorter time period. This new apparatus does not include more energy in to produce hydrogen it requires less energy in to split water into hydrogen. No new energy is required to weaken the covalent bond of the water molecules. We expect to have the new reactor ready for testing in the next two weeks. We already have CSRV® engines operating on water split into hydrogen so we know it works."

  • The Chinese New Year starts today. We believe it will go on for two weeks. We are ready to go when they are. Letters of Intent, preliminary agreements and nondisclosure agreements have all been signed and will be posted on our EDGAR filings.
  • The Company is continuing talks with financers here in the USA for funding the start up of production here in America.
  • Orders are still coming for our natural gas industrial CSRV® engine generators from the oil and gas industry. We are now requesting 50% deposits with five months delivery time.
  • We are hoping to have our products out in the market place in 2014. This will enhance the Company value and benefit our shareholders and all involved.

There can be no assurance that the Company will be successful in any of the above endeavors.

Safe Harbor Statement:

This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Please see our filings with the Securities and Exchange Commission. Our public filings with the SEC may be viewed and printed on the website maintained by the SEC at http://www.sec.gov.

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