June 30, 2010 Dyesol (ASX: DYE), a world leader in the commercialisation of dye solar cell (DSC) technology, and CSIRO announced completion of transaction documents for a collaboration to develop higher performing dyes in a two year project that will be funded by an investment of up to $1.17 million from CSIRO’s Australian Growth Partnership (AGP) programme.

Under the terms of the collaboration, Dyesol will project manage a specialised team of experienced scientists from CSIRO to work with the Company on an agreed development program leveraging Dyesol's deep knowledge of ruthenium based dyes and CSIRO’s extensive modelling and research capability. The program will target the creation of new intellectual property (IP) that the Company expects will further reinforce its market leadership position in the DSC photovoltaic market. Under the terms, Dyesol can exclusively access the project IP.

Ruthenium based dyes, known as organo-metallic dyes, are at the core of DSC technology. DSC requires the deposition of nano-particulate titania, ruthenium dyes and an electrolyte, sandwiched between suitable substrates, capturing light and, through an electrochemical process, converting it into energy. DSC is particularly suited to building integrated photovoltaic (BIPV) applications offering an energy solution to the built environment which is the largest consumer of electrical power globally.

Dyesol Australia’s Acting CEO, David Bundy said: “This project builds on the foundations of Dyesol's commercialisation strategy in which partnerships with global companies such as CORUS (Tata Steel) and the collaboration with Pilkington NA, are complemented by programs with technology leaders like the CSIRO providing us both with access to valuable IP in higher performing materials as well as powerful access to high value markets.”

The transaction involves the purchase of a Dyesol laboratory solution by CSIRO, a direct investment into Dyesol via the AGP program and in-kind contributions from both CSIRO’s Energy Transformed Flagship and Dyesol itself.

Should the program outcomes be achieved, the terms of the financing facility provides Dyesol with flexibility in respect to its preferred repayment options including the issue of equity to CSIRO and/or royalty stream participation.

Dyesol believes that once executed, this world-class partnership will add to those already in place, offering it an exceptional opportunity to leverage the R&D capability of its collaborators with the application development experience of its commercial partners to support the business model that will deliver DSC products to the world market.


For further information contact Viv Hardy at Callidus PR on +61 (0)2 9283 4113 or on +61 (0)411 208 951.
In Europe contact Eva Reuter, Investor Relations, Dyesol Europe on +49 177 6058804



Note to editors
About the Technology – DYE SOLAR CELLS
DSC technology can best be described as ‘artificial photosynthesis’ using an electrolyte, a layer of titania (a pigment used in white paints and tooth paste) and ruthenium dye deposited on glass, metal or polymer substrates. Light striking the dye excites electrons which are absorbed by the titania to become an electric current many times stronger than that found in natural photosynthesis in plants. Compared to conventional silicon based photovoltaic technology, Dyesol’s technology has lower cost and embodied energy in manufacture, it produces electricity more efficiently even in low light conditions and can be directly incorporated into buildings by replacing conventional glass panels or metal sheets rather than taking up roof or extra land area.

About the Commonwealth Scientific and Industrial Research Organisation and AGP
The Commonwealth Scientific and Industrial Research Organisation, CSIRO, is Australia’s premier research organisation which provides scientific solutions to industry, governments and communities around the world.  The CSIRO’s role is to deliver great science and innovative solutions for industry, society and the environment.   The organisation works on new ways to improve quality of life, as well as the economic and social performance of a number of industry sectors through research and development.  Australian Growth Partnerships (AGP) is a competitive, merit-based pilot funding program managed by CSIRO. CSIRO has been allocated funds by the Commonwealth Government to provide funding to high potential, technology-receptive small and medium enterprises in order that they can access CSIRO research and development capability and intellectual property.

About the Company – DYESOL Limited
Dyesol is located in Queanbeyan NSW (near Canberra) and in August 2005 was listed on the Australian Stock Exchange (ASX Code ‘DYE’). Dyesol manufactures and supplies a range of dye solar cell products comprising equipment, chemicals, materials, components and related services to researchers and manufacturers of DSC. The Company is playing a key role in taking this third generation solar technology out of the laboratory and into the community.


More detail about the company and the technology can be found at: http://www.dyesol.com
For more information, visit http://www.csiro.au/AGP


DISCLAIMER
CSIRO does not take responsibility for this announcement nor can it make any representation or warranty as to the accuracy or completeness of any statement contained in it.