09/22/2009

ELK GROVE VILLAGE, Illinois–(September 22, 2009)–Lime Energy Co. (the “Company”) (NASDAQ: LIME), a provider of consulting, energy engineering and implementation solutions and services, announced today the pricing of its public offering of 5,000,000 shares of its common stock at $5.50 per share, before the underwriting discount.   The Company has granted the underwriters a 30 day option to purchase up to an additional 750,000 shares of the Company’s common stock to cover over-allotments, if any. The Company expects to receive net proceeds of approximately $25.45 million after underwriting discounts and commissions and estimated offering expenses, exclusive of any exercise of the underwriters’ over-allotment option, and intends to use the proceeds to repay indebtedness and for working capital and general corporate purposes.  The offering is expected to close on September 25, 2009.

Wedbush Securities Inc. is acting as the sole book-running lead manager of the offering and Canaccord Adams Inc. is acting as co-manager.

A copy of the final prospectus related to the offering may be obtained from Wedbush Securities at 1-800-422-4309 or 1000 Wilshire Boulevard, Los Angeles, CA 90017.  The prospectus is also available on the Securities and Exchange Commission website at http://www.sec.gov.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.   Any offer or sale of these securities will be made only by means of the written prospectus forming part of the effective registration statement for the offering.

About Lime Energy Co.

Lime Energy is a provider of integrated energy engineering, consulting and implementation solutions specializing in improving the energy efficiency of our clients’ facilities, reducing their operating costs and carbon emissions.  We focus on two specific markets: the commercial and industrial market, including utilities, and the public sector market, working primarily with energy service companies (“ESCOs”).  Our clients include commercial and industrial businesses, property owners and managers, utilities, and ESCOs serving U.S. government and educational institutions.  We focus on deploying solutions to reduce the energy-related expenditures of our client’s facilities and the impact of their energy use on the environment, including energy efficient lighting upgrades, energy efficiency mechanical and electrical retrofit and upgrade services, water conservation, weatherization and renewable project development and implementation.  We provide energy efficiency solutions across all of our clients’ facilities, ranging from high-rise office buildings to manufacturing plants, retail sites, mixed use complexes and large, government sites to small, local facilities.  The company's stock is traded on NASDAQ under the symbol LIME. Additional information is available at the company's website at www.lime-energy.com or by calling 847-437-1666.

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Contacts:

Investor Relations

Glen Akselrod

Bristol Capital Ltd.

(905) 326-1888

glen@bristolir.com