Chorus Motors and Beckett Elevator International Limited End License Agreement

    GIBRALTAR--Oct. 22, 2002--Chorus Motors plc (CHOMF) announces that a licensing agreement with Beckett Elevator International Limited, announced 26th November 2001, has been terminated by mutual consent.
    The agreement was terminated after it proved impossible to arrive at mutually satisfactory arrangements for intellectual property issues.
    Chorus Motors plc is now continuing with improvements to its core technology, a high phase order AC induction motor with increased torque and efficiency benefits.
    "We are focusing our efforts on building the first commercial-grade Chorus(r) Motor," said Chorus President Isaiah Cox. "This prototype, designed to showcase the latest improvement to the Chorus technology allows for very high low-speed torque without compromising high speed performance. This innovation, called Chorus Meshcon(tm), provides these benefits at no additional cost, meaning that the Chorus Meshcon product will be substantially less expensive than comparable 3-phase and brushless products."
    Ideal applications for Chorus Meshcon include starter-alternators for automotive systems, as well as drive motors for hybrid-electric and fuel cell powered vehicles. Chorus Meshcon should also be highly competitive in applications such as cargo and freight handling, as well as providing an alternative to many hydraulic systems.
    The commercial-grade Chorus Meshcon motor will be rolled out at trade shows in early 2003, complete with head-to-head dynamic comparisons to the equivalent 3-phase product.
    Full details of the Meshcon innovation are available upon request to relevant parties; the information is scheduled to be posted on the web page at the end of 2002.

    Chorus Motors plc is a majority owned subsidiary of Borealis Exploration Limited (BOREF). Borealis is a research and development company founded in 1968 and based in Gibraltar in the European Union. As of the 31st March 2002 audited books, Borealis had 4,982,605 shares outstanding. Borealis' business is reinventing the core technologies used by basic industries, including electric motors, steelmaking, electrical power generation, cooling and refrigeration.

    Forward Looking Statement at http://www.chorusmotors.gi/ForwardLookingStatement.htm