Projected to save the city more than $1 million in energy costs

HOUSTON, Dec. 3, 2012 -- American Electric

Technologies, Inc. (Nasdaq:AETI) a leading global provider of power
delivery solutions for the energy industry, announced today that it
supplied Siemens Industry, Inc. with a 1.0 megawatt (MW) Integrated
Solar Inversion Station (ISIS) as part of a Power Purchase Agreement
(PPA) with the City of Atwater, CA. The Siemens-owned and -operated
20-year solar project, which powered up in October, 2012, is projected
to save the city more than $1 million in energy costs. Contract terms
were not disclosed.

The 1.0 MW ISIS, along with bundled installation and commissioning
services, provided Siemens with a fully integrated product and service
offering to help meet their project timelines. With AETI's
capabilities, Siemens will enable the City of Atwater to reduce costs
and meet increased energy demands associated with their new wastewater
treatment plant adjacent to the solar project site. The complete solar
system will generate 2,221,738 kWh of clean renewable energy annually,
and realize significant greenhouse gas emissions savings.

AETI's ISIS platform is the world's first 1000V 1MW solar inverter
witness-tested to UL1741 by a nationally recognized test lab (NRTL),
TUV of North America. The ISIS system deployed at the Atwater site
incorporates an integrated DC master re-combiner, control power
transformer, and grid-tie transformer, and was installed by an AETI
services team with over 2GW of grid-tie projects to date.

"We are pleased to have been selected by Siemens for their solar
project in Atwater, California," said Kent Breaux, global director of
renewables, AETI. "Partnering with a reputable solar project developer
like Siemens allowed us to deliver the customer a superior level of
quality service while helping them reduce high energy costs and meet
renewable energy goals."

American Electric Technologies, Inc. (Nasdaq:AETI) is a leading global
provider of power delivery solutions to the energy industry. AETI
offers M&I Electric(TM) power distribution and control products,
electrical services, and E&I Construction services, as well as American
Access Technologies zone enclosures, and Omega Metals custom
fabrication services. South Coast Electric Systems L.L.C., a
subsidiary, services Gulf Coast marine and vessel customers.

AETI is headquartered in Houston and has global sales, support and
manufacturing operations in Beaumont, Texas, Keystone Heights, Florida
and Bay St. Louis, Mississippi. In addition, AETI has minority
interests in three joint ventures in Xian, China, Singapore and

Macae,
Brazil. AETI's SEC filings, news and product/service information are
available at www.aeti.com.