Vancouver, Canada
April 29, 2008

Dynamotive Reports 4th Quarter & Year-End 2007 Results

VANCOUVER, BC, April 29, 2008 - Dynamotive Energy Systems Corporation (OTCBB: DYMTF), a leader in ligno-cellulosic biomass based fuels technology, today reported its fourth quarter and full year 2007 results.

The Company’s Comprehensive Loss (including foreign currency adjustment of $6.2 million), was $8.0 million for the Year 2007. Excluding the foreign currency adjustment, the company’s 2007 Net Loss was $14.2 million, or $0.08 per share, compared with a net loss of $14.3 million, or $0.09 per share, for 2006.  Excluding Stock based compensation, the Company’s Net Loss for 2007 was $10.6 million (2006 $9.9 million). (All figures are in US dollars)

For the three months ended December 31, 2007, the company reported a loss of $4.3 million or $0.02 per share, compared with a loss of $4.1 million or $0.02 a share for the same period a year earlier.  Net of Non-cash compensation, the Company had a Net Loss of $3.3 million during the forth quarter compared to $3.1 million during the fourth quarter of 2006.

As at December 31, 2007, the Company had cash and cash equivalents of $1.8 million.  This reflects the Company’s cash balance at the beginning of 2007 of $9.3 million plus equity issuance of $23.1 million less capital expenditures of $21.0 million and operating expenditures of $9.6 million (which includes changes in working capital balances and miscellaneous non-cash charges).

CEO Commentary

Andrew Kingston, president and chief executive officer, said, “During the year Dynamotive completed construction of a state-of-the-art, modular 200-ton-per-day BioOil plant in Guelph, Ontario and also expanded and upgraded the West Lorne, Ontario plant, which is currently re-starting operations.  Additionally, we strengthened Dynamotive’s management team and positioned ourselves to capitalize on world-wide market opportunities, most specifically in Canada, U.S., and Latin America.  The Company faced many challenges during 2007, as we worked to bring our biofuel facilities to operating status, as well as expand business operations in North and South America. We fully expect 2008 to be a year of achieving significant milestones.”

2007 Highlights

Financial

• Significant cash infusions from $23.1 million in equity financings and warrant exercises used to fund operations and to complete the Guelph and West Lorne plants.
• Minimal debt
• Invested $2.0 million in R&D ($4.2 million in 2006).
• Incurred $3.6 million in non-cash compensation expenses ($4.3 million in 2006).

Operational

• Launch of higher energy content biofuel – BioOil Plus
• Signed Contract with Ontario Power Authority to Supply Power to Grid
• Established First Resources Corporation to develop partnerships with First Nations
• Signed agreements with provincial government in Argentina to develop up to six biofuel plants
• BioOil production start-up at Guelph 200 tpd plant
• Signed comprehensive Letter of Agreement with Mitsubishi  Corporation
• Announced key agreements for our first commercial plant in the USA, in Willow Springs, Missouri.

Summary financial results are presented as follows:

Consolidated Statement of Loss
(expressed in 000’s of US Dollars)
	Years Ended December 31		Three Months Ended December 31
	2007	2006	2007	2006
	$	$	$	$
Expenses
Marketing and business development	1,602	1,768	546	374
Research and development	2,040	4,248	297	1,197
General and administrative	11,026	7,763	3,805	2,481
Depreciation and amortization	144	124	45	40
Interest expense	22	505	9	58
Exchange gain	(419)	(89)	(90)	(337)
Total Expenses	14,415	14,319	4,612	3,813
Other income and (expenses)	207	494	83	128
Loss on settlement of AP	(111)	(98)	(3)	(98)
Gain (loss) on purchase/sale of subsidiary	-	(420)	230	(420)
Loss before minority interest	14,319	14,343	4,302	4,203
Non-controlling interest	99	91	3	91
Loss for the period	14,220	14,252	4,299	4,112
Comprehensive Loss	8,008
Weighted avg. number of common shares outstanding (in thousands)	189,573	153,686	205,329	168,463
Loss per Common Share for the Period	$0.08	$0.09	$0.02	$0.02

About Dynamotive

Dynamotive Energy Systems Corporation is an energy solutions provider headquartered in Vancouver, Canada, with offices in the USA, UK and Argentina. Its carbon/greenhouse gas neutral fast pyrolysis technology uses medium temperatures and oxygen-less conditions to turn dry, waste cellulosic biomass into BioOil for power and heat generation. BioOil can be further converted into vehicle fuels and chemicals. Photographs of the Guelph and West Lorne plants may be seen on the company's website www.dynamotive.com .

About BioOil® Biofuel

BioOil® is an industrial fuel produced from cellulose waste material. When combusted it produces substantially less smog-precursor nitrogen oxides (‘NOx’) emissions than conventional oil as well as little or no sulfur oxide gases (‘SOx’), which are a prime cause of acid rain. BioOil® and BioOil Plus™ are price-competitive replacements for heating oils #2 and #6 that are widely used in industrial boilers and furnaces. They have been EcoLogo certified, having met stringent environmental criteria for industrial fuels as measured by Environment Canada’s Environmental Choice Program. BioOil® can be produced from a variety of residue cellulosic biomass resources and is not dependent on food-crop production.

Contacts:
Brian Richardson, Chief Financial Officer, 604-267-6004
Nathan Neumer, Director of Communications, 604-267-6042
Switchboard (604) 267-6000
Toll Free (North America) 1-877-863-2268
Fax (604) 267-6005
Email: info@dynamotive.com
Website: www.dynamotive.com

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