VIASPACE Press Release

VIASPACE Signs Major Distribution Contract and Receives Order from TOKAI Bussan Co., LTD of Japan

12/13/2007

VIASPACE SIGNS MAJOR DISTRIBUTION CONTRACT AND RECEIVES ORDER FROM TOKAI BUSSAN CO., LTD OF JAPAN

PASADENA, CA -December 13, 2007-VIASPACE Inc. (OTCBB: VSPC) announced that Tokai Bussan Co., Ltd. of Nagoya, Japan and VIASPACE have signed a distribution contract under their broad teaming agreement of March 2007 for VIASPACE Energy's line of test equipment. Tokai Bussan has placed its initial order for the HS-1000 VIASENSOR, a laser based, humidity sensor for gas fuel cells. Tokai Bussan's initial focus will be immediate sales to large manufacturers of fuel cells and fuel cell test stations, as well as research of the needs of major automobile corporations in Japan.
 
Tokai Bussan, a publicly listed company on the Nagoya Stock exchange, engages in development and sales of computer and microcomputer applied systems, design, development and sales of software systems, and development, sales, import and export of electronic devices and high-performance materials. 

The HS-1000 uses a razor diode as its sensor in its state of the art design, allowing the highly accurate measurement of the humidity every 1-2 seconds on a continuous basis, significantly faster when compared to other humidity test instruments on the market. The HS-1000 also has no direct interference with the gas stream, so there is no requirement to clean or wipe off the instrument, re-calibrate before use or other maintenance delays.

Dr. Carl Kukkonen, VIASPACE CEO, stated, "Our new distribution contract with Tokai Bussan, our primary teaming partner in Japan, is a perfect example of VIASPACE's global business strategy.  We partner with top companies that have a good reputation and the trust of customers in their own markets.  We have seen a solid increase in orders for the VIASENSOR since its introduction in May of this year, and we have substantial feedback from automobile manufacturers in several countries that there may be additional uses of the instrument in evaluating the humidity level in the combustion engine exhaust stream and monitoring the fuel cell operation in hybrid automobiles. We have recently expanded our patent portfolio to cover these other potential uses."

Tokai Bussan has excellent relations with these major automotive manufacturers in Japan, as well as with major fuel cell test station manufacturers and fuel cell manufacturers. We are honored to expand our relationship with Tokai Bussan, which has strong marketing capabilities, a substantial distribution channel and the trust of many government and commercial customers in Japan."

VIASPACE has previously announced other strategic relationships and contracts in its fuel cell and security subsidiaries. 

About VIASPACE:  Originally founded in 1998 with the objective of transforming proven space and defense technologies from NASA and the Department of Defense into hardware and software solutions that solve today's complex problems, VIASPACE benefits from important patent and software licenses from Caltech, which manages NASA's Jet Propulsion Laboratory.  For more information, please visit our website at www.VIASPACE.com, or contact for Investor Relations, Dr. Jan Vandersande, Director of Communications at 800-517-8050, or [email protected].

Press contact: Carl Kukkonen 626-768-3360
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This news release includes forward-looking statements.  These forward-looking statements relate to future events or our future performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements.  Such factors include the risks outlined in our periodic filings with the U.S. Securities and Exchange Commission, including our Annual Report on Form 10-KSB, as amended, for the fiscal year ended December 31, 2006, and our Quarterly Report on Form 10-Q for the period ended September 30, 2007, as well as general economic and business conditions, the ability to acquire and develop specific projects and technologies, the ability to fund operations, changes in consumer and business consumption habits, and other factors over which VIASPACE has little or no control.