American Security Resources Hydra Unit Proposes 20 Fuel Cell Installations for Columbia, SC Fuel Cell Challenge

Houston, TX (BusinessWire) October 10, 2006 -- American Security Resources Corporation [OTCBB: ARSC] today announced that its Hydra Fuel Cell subsidiary has submitted a proposal in response to Columbia, South Carolina’s Fuel Cell Challenge www.fuelcellchallenge.com . The Greater Columbia Fuel Cell Challenge seeks firms and service providers to partner with the City of Columbia and the University of South Carolina to assist in the design and implementation of a groundbreaking plan involving unprecedented integration of hydrogen fuel cell technology into multiple aspects of the City and the University of South Carolina.

Hydra proposes fuel cell applications for police, fire and public safety; local government communications; utilities; and academic sporting and entertainment facilities among others.

“The City of Columbia is aggressively promoting the development and use of hydrogen fuel cells and as a member of the University of South Carolina’s Fuel Cell Consortium we are pleased to respond to this challenge,” said Bob Farr, President and COO of ARSC.  “This is an excellent opportunity for our HydraStax™ 1000 and HydraStax™ 5000 systems to be chosen for use by an innovative municipality,” Farr continued. “We expect a response to our proposals this quarter.”

The Challenge is managed by a coalition consisting of the City of Columbia, The University of South Carolina, The South Carolina Research Authority and EngenuitySC.

The HydraStax™ fuel cell is a proprietary technology developed by ARSC’s wholly-owned subsidiary, Hydra Fuel Cell Corp. ( www.hydrafuelcell.com ), that increases both the efficiency and useful life of electric generating hydrogen fuel cells.  The HydraStax™ units are designed to be commercially mass produced. 

American Security Resources Corporation, “ARSC” is a holding company acquiring and developing technologies that will advance clean energy technology. ARSC, through its Hydra subsidiary, has developed high efficiency, mass producible hydrogen fuel cells.

For more information, please see: www.americansecurityresources.com

Safe Harbor Statement:
This news release contains certain “forward looking statements” within the meaning of Section 27a of the Securities Act of 1933 and Section 21e of the Securities Exchange Act of 1934.Although the Company believes the expectations reflected in such forward looking statements are reasonable, it can provide no assurance that actual results will meet or exceed such expectations.

For more information, please contact:

Frank Neukomm or Bob Farr
American Security Resources Corporation
713-465-1001
info@amsrcorp.com