ENERGY RECOVERY, INC. : Energy Recovery's Year in Review: 2012

        ENERGY RECOVERY, INC. : Energy Recovery's Year in Review: 2012

                    Energy Recovery's Year in Review: 2012

  10 Reasons Why Energy Recovery Matters - From Recapturing $1.2 Billion in
 Energy Savings and Building for Future Growth to Leaping into the Oil & Gas
                          Industry with a New Brand

SAN LEANDRO, Calif., January 31, 2013-Energy Recovery Inc. (NASDAQ: ERII), the
leader in harnessing reusable energy from industrial fluid flows and pressure
cycles, examines the Company's most significant milestones in 2012. The
original goals to improve operational efficiency, solidify the core business
and make inroads into new markets such as Oil & Gas were all recognized during
a transitional year. Here's the list of major milestones:

1. Realized Strong Revenue Growth in a Challenging Economic Environment.
While the global economy is still undergoing recovery from the 2008 financial
crisis, we were able to persevere and prosper during challenging times, and we
increased revenue by a meaningful percentage when compared to 2011.

2. Invested More Money Than Ever in Research and Development.
Since 2008, we've been looking inwards, researching new markets and developing
new technologies to service those markets. In the past year we invested
approximately $5 Million in R&D, allowing us to further advance our
industry-leading technologies, expand our reach into the Oil & Gas sector, and
design smarter solutions for our customers.

3. Transformed Our Brand's Look and Feel.
With the turning of the New Year, we presented our new updated brand to our
customers and shareholders. The rebrand communicates the new activities on the
horizon and our purpose for the future: to transform the world's untapped
energy into reusable energy. While our look has changed, our promise remains
the same: making industrial processes environmentally cleaner and more
profitable by transforming all fluid flows into reusable energy.

4. Blazed New Trails into the Oil & Gas Sector.
Following two years of strategic analysis of our successes as the premium
brand in desalination, we made our boldest move ever and realized our vision
for fulfilling the growing, worldwide demand for energy-saving technologies.
Our latest products and solutions now span the water and Oil & Gas markets,
making it possible to harness energy from almost any high-pressure fluid flow.
In 2012, we secured three Oil & Gas partnerships with energy giants in the
Middle East, Asia and the United States.

5. Won the World's Seven Largest Desalination Projects.
In 2012, Energy Recovery was awarded the seven largest mega-projects
worldwide, for which almost all revenue was recognized in 2012. These
projects all used our award-winning PX technology. While we won numerous
projects on a global scale, most of these projects were in the MENA (Middle
East and North Africa) region, signaling an upward trend in capital spending
for new desalination plants.

6. Improved Operational Efficiency Considerably.
In addition to the highly trained and professional service and sales teams we
maintain around the world, Energy Recovery focused on delivering operational
excellence to match its sales and service capabilities. 2012 marked a
significant manufacturing milestone as we integrated all production operations
at our corporate headquarters in California, while closing our plant in
Michigan. This increased our capacity to enhance and test our solutions as
well as develop and incubate innovative energy recovery technologies.

7. Raised the Bar with Our Most Advanced Energy Recovery Technology to Date.
Our greatest technological advancement, the PX-Q Series, gained widespread
adoption this past year. With the highest guaranteed efficiencies, 25
year-lifetime design, and quietest operations, this technology has become the
new "gold standard" in energy recovery.

8. Brought the Largest Desalination Plant to Full Operating Capacity.
The Wonthaggi Desalination Plant in Melbourne, Australia began operating at
full capacity in 2012, totaling 450,000 cubic meters produced per day of fresh
water. The plant is currently the largest seawater reverse osmosis
desalination plant in the southern hemisphere.

9. Increased Shipments of Our Energy Recovery Devices Worldwide.
Given the increase in projects awarded, more energy recovery devices are now
in operation than ever before. From Algeria to Australia and beyond, 14,000 PX
energy recovery devices are currently deployed or under contract to be
installed at desalination plants around the globe.

10. Helped Save Our Clients Enough Energy to Power a Small Country.
In the last twelve months, we saved 12 billion kilowatt hours of energy for
our clients-that's enough energy to power a country the size of Jordan. In
2012, this translated to $1.2 billion in energy savings-a 20% increase from
the $1 billion saved in 2011.

"2012 was a formative year in repositioning our company for the future. We are
very proud of what we have accomplished with the help of forward-thinking
customers and the hard work and passion of our teams working tirelessly to
develop the most innovative energy recovery solutions on the market today,"
stated Tom Rooney, CEO of Energy Recovery. "We also recognize that our work is
not yet complete. We will work as hard as ever to ensure that we meet our
overall strategic goals for growth and profitability," continued Mr. Rooney.

These critical accomplishments mean that Energy Recovery realized the
strategic imperatives of 2012- moving the company in the right direction and
creating a dramatic shift in the Company's future outlook for 2013 and beyond.
We are now poised for even greater success, with planned forays into new
markets and continued technology development.

About Energy Recovery
Energy Recovery Inc. (NASDAQ: ERII) technology harvests the power of pressure
from high-pressure fluid flows and pressure cycles. Through collaboration with
industry, Energy Recovery helps make industrial processes within water, oil &
gas, and chemical industries more profitable and environmentally
sustainable.With over 14,000 energy recovery devices installed worldwide,
Energy Recovery sets the standard for engineering excellence, cost savings,
and technical services to clients across the globe. Year after year, the
company's clean technologies save clients over $1.2 Billion (USD) in energy
costs. Headquartered in the San Francisco Bay Area, Energy Recovery has
offices in Madrid, Shanghai, and Dubai.

For more information, visit

Media Contact:
Kristan Kirsh
Office: +1.510.746.5012
Mobile: +1.650.814.1273



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Source: ENERGY RECOVERY, INC. via Thomson Reuters ONE
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