News Update -COATES INTERNATIONAL, LTD. AND COATES POWER LTD. CHINA ARE WORKING ON A DAILY BASIS WITH THE CHINESE TO CONCLUDE A TRANSACTION FOR THE RAMP-UP OF PRODUCTION OPERATIONS IN CHINA – MANAGEMENT EXPECTS TO CONCLUDE THE TRANSACTION IN THE NEXT THREE WEEKS (UPDATE)

Wall Township, NJ – (Marketwired – August 26, 2016) Coates International, Ltd. (OTC PINK: COTE) (the “Company”) is pleased to announce that it is close to concluding the transaction in China in regards to the mass production of its CSRV industrial electrical power green engine generator sets.

Company President and CEO, Mr. George J. Coates, comments:“This is a tremendous deal for the Company, specifically for the manufacturing of our CSRV industrial natural gas generator sets.We will be able to fill existing orders now.This is a big step forward for our Company and will benefit all involved.”