"We are delighted with the recognition" says Joe Grimes, COO of XsunX, "for the efforts we have made to work with state and local governments, local utilities and community colleges as well as being an advocate for continued growth in the solar sector." 
Mayor David Fuller states " Wood Village is a city that believes in strong partnerships with its local businesses.  We are very pleased with the cooperation that exists between XsunX, City staff and the Council of Wood Village.    We are pleased to receive the Business Development Success Story award and thank the Portland Development Commission's nomination of Wood Village for this prestigious award.  We see a bright future with XsunX adding significant jobs and growth to the local economy.”





Press Release
Date: 11/9/2006

 XsunX Achieves Milestone in Development of Power Glass Thin Films
Development Efforts Produce Laser Scribed Modules on Plastic Films

XsunX, Inc. (OTCBB: XSNX), provider of technologies for solar energy infrastructure and developer of Power Glass™, an innovative thin-film solar technology that is intended to allow glass windows to produce electricity from the power of the sun, today announced that the Company produced its first series connected solar modules on Polyethylenenapthalate, or PEN, based thin film plastics using proprietary laser scribing techniques.

This product development progress bolsters the Company’s three primary projects: the development of semi-transparent thin film solar cells for use on transparent substrates, the development of high performance thin film nano-crystalline 4-Terminal solar cells, and, the assembly of a hybrid manufacturing system for the delivery of these new cell types.

The Company’s process uses transparent PEN based plastic as a substrate to deposit the Power Glass solar cell into a monolithically appearing sheet of tinted film. The new laser scribing processes allow the Company to segment only the various layers of the solar cell without harming the plastic substrate. This segmentation process allows the positive and negative layers of the cell structure to interconnect during the manufacturing process. Much like placing the batteries correctly in a flashlight this connection of positive and negative layers is necessary to allow the energy produced by the solar cell to flow through the solar module and deliver power.

“Our concurrent efforts to develop new types of thin film solar cells and complete the assembly of our first production system continue to make significant progress,” stated Tom Djokovich, XsunX’s CEO. “This latest milestone in the effort to develop a method to employ the use of lasers to segment and allow for the interconnection of the individual solar cells into monolithically appearing sheets of tinted plastic films is exactly where we needed to go. Getting this process to work on PEN films has not been an easy task but the results provide us with minimally apparent interconnects between the individual solar cells. This was part of our overall product design to improve esthetics and increase the active or working area of the module to as close to 100% as possible,” concluded Djokovich.

The Company will next work to fine tune these new laser scribing methods and integrate these processes into its manufacturing systems.

About XsunX

Based in Aliso Viejo, Calif., XsunX is developing and commercializing innovative new thin film photovoltaic (TFPV) solar cell technologies and manufacturing processes to service expanding global energy demands. The Company has focused its efforts on lowering the cost per watt of solar power and making solar cell technology easier to use in a wide variety of applications. XsunX calls this dual improvement to cost and efficiency the XFactor™. The XFactor delivers licensee’s solar cell designs that break the bounds of crystalline silicon dependency, rigid and limited-use form factors, and rapid efficiency loss. Equally important, the XFactor provides new manufacturing techniques that can significantly lower production costs and allow for easier additions to production capacities and technology upgrades without having to re-build and re-tool. Together, XsunX design and production innovations offer manufacturers of solar products exciting new application opportunities and reductions to the cost per watt of solar power. More information can be found at the Company’s website: https://XsunX.com.

XsunX, Inc. Investor Relations, (888) 797-4527

Safe Harbor Statement: Matters discussed in this press release contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words “anticipate,” “believe,” “estimate,” “may,” “intend,” “expect” and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company.