Encore Energy Systems Issues Stockholder Update

BRIGHTON, Mich., Sept. 25 /PRNewswire-FirstCall/ — Encore Energy Systems, Inc. (Other OTC: ENCS), a rapidly growing diversified energy company issued a stockholder update. The company has and will continue to release frequent updates on its progress:

Jack Tarry, CEO said: “We remain on a rapid and strong path of growth and expansion. We will continue updating stockholder on our progress. We have many exciting developments to report in the coming days and weeks. This update further demonstrates our ability to set goals and deliver accordingly.”

Current Operations

The company has four business units: American Geothermal, DeMarco Energy Systems, and Encore Energy UK, and Encore Bulgaria. The company intends create or acquire one or more complementary businesses to expand both our operational and executive depth.

   Accomplishments and Updates    — The Lake Travis project is completed with nearly 140 DeMarco Energy      Miser Units delivered.   — Combined USA sales projections of $225,000,000 spanning numerous small      and large clients including national corporations with multiple      locations.  We recently announced the initial results of that sales      pipeline with our new client: Prairie Hills Motorsport Club facility      featuring the longest track in the Western Hemisphere located in Lake      Village, Indiana.( http://www.prairiehillsmc.com/ )   — The company anticipates a $0.05 EPS by calendar year-end 2008 based on      a successful execution of 50% of the current aggregate sales pipeline.   — We recently announced our planned international expansions. The      Distribution Agreements will provide exclusive territory rights to      import our solutions and our patented DeMarco Energy Miser System.  By      connecting directly to municipal water supply the company’s      international partners gain a decided cost advantage over any other      rival geothermal operators who would otherwise have to drill multiple      wells or dig trenches to access water for a heat sink.   — We have expanded our product depth and announced a partnership with      a prestigious engineering firm.   — Our UK operations, Encore UK, formed a strategic alliance with one of      the UK’s leading energy conservation engineering companies, ISO Energy      Ltd,( http://www.isoenergy.co.uk/ ) to jointly design solutions and commission      energy related technology in new-build developments throughout the UK      market.   — New residential installations are underway at our Lake Flato project      resulting in six additional DeMarco Energy Miser Units ordered for      installation. ( http://www.lakeflato.com/ )   — The company has acquisitions under consideration that, if completed,      could further increase 12-month revenues by $5,000,000, or more.   — The company will neither modify its capital structure nor affect any      form of reverse or forward split.   — Management strives to maintain accurate and timely public information.      The company intends to post financial information to the OTCiq filing      system (http://www.otciq.com/) in order to maintain important investor      disclosures and financial transparency.  Stockholders can view the most      recent and accurate company data at http://www.pinksheets.com/.   

Stockholders are directed to read various RISK FACTORS (and are incorporated herein by reference) in regard to the business by reading the version of this press release as posted on the company’s web site. This web- site version of this press release contains important disclosures that you should read before any investment decision.

About the Company

Encore Energy Systems grows through energy-related acquisitions, marketing its patented geothermal water-air heating/cooling systems, and sales of energy conservation solutions.

The company’s geothermal marketing unit, DeMarco Energy Systems of America, Inc. (http://www.demarcoenergy.com/), has geothermal installations in Oregon, Pennsylvania, Washington, Montana, South Dakota, Mississippi, California and Texas. Encore’s primary focus is to provide energy efficient technologies to commercial and institutional markets that result in significant energy and cost savings. To learn more about the company’s wholly owned subsidiary, American Geothermal, visit: http://www.amgeosystems.com/ . For more information on Encore, visit http://www.encoreenergyinc.com/.

Safe-Harbor Statement

This press release contains statements (such as projections regarding future performance) that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to those detailed from time to time in the Company’s filings with the Securities and Exchange Commission.

Encore Energy Systems, Inc.

CONTACT: Encore Energy Systems, Inc., Investor Relations,+1-888-234-0963, info@encoreenergyinc.com

Web site: http://www.encoreenergyinc.com/http://www.amgeosystems.com/