Westport signs new agreement with MAN
VANCOUVER, Feb. 10 -- Westport Innovations Inc. (TSX: WPT) announced today that it has signed a new agreement with MAN Nutzfahrzeuge AG to identify and prioritize commercial opportunities for MAN engines equipped with Westport- Cycle(TM) technology.
Under this new agreement, Westport and MAN will commission an independent market study to examine commercial opportunities for vehicles with Westport- Cycle natural gas fuel systems in markets currently serviced by MAN. In addition, later this month Westport will ship to MAN a 12-liter MAN heavy-duty truck engine equipped with Westport-Cycle technology. MAN expects to complete testing of the engine by September 2003 at its facility in Nurnberg, Germany.
Based on testing conducted at Westport's Vancouver facilities, it appears that this natural gas technology is capable of meeting European Enhanced Environmental Vehicle (EEV) standards. Testing at MAN's facilities is designed to confirm that achievement using European Transient Cycle testing. EEV is a voluntary standard with the most stringent emissions levels established by the European Community. EEV emissions are lower than Euro V truck and bus emissions scheduled for introduction in 2008.
"We firmly believe that the Westport-Cycle technology has outstanding potential," said Roland von Hoerner, Head of Engine Pre-Development for MAN. "We are very impressed with the progress made in the first phase of this project, and we now look forward to testing our engines using this technology."
Wade Nesmith, President and Managing Director of Westport Europe, commented, "We are very pleased with the strong relationship we have built with MAN, one of the largest heavy-duty truck manufacturers in Europe. With this alliance, we look forward to accelerating our marketing efforts into Europe and other geographic areas that are new to Westport."
MAN Nutzfahrzeuge has over 35,000 employees and annual revenues of approximately (euro) 6.7 billion (CDN$11 billion) in 2001. Under the initial cooperation agreement with MAN announced in September 2000, Westport developed the Westport-Cycle natural gas fuel injection system for the MAN 12-litre heavy-duty engine. Westport Cycle technology involves the high-pressure direct injection of natural gas into the engine cylinder and maintains diesel engine performance while sharply reducing emissions.
Westport's strategy is to develop alternative fuel technology for diesel engines through key strategic alliances. In addition to MAN, Westport is currently cooperating on technological development agreements with Isuzu Motor Ltd. of Tokyo, Japan, and BMW AG of Munich, Germany. Westport also has a joint venture arrangement with Cummins Inc. of Columbus, Indiana.
Note: This news release contains forward-looking statements about Westport's business and technology development plans based on the current expectations of management. Westport cautions investors that due to risks and uncertainties, actual events may differ materially from current expectations.
For further information please contact: Moira Chicilo, Communications Manager, Westport Innovations Inc. Phone: (604) 718-2046, Email: mchicilo@westport.com; web: www.westport.com
Source: Westport Innovations Inc.
CONTACT: Moira Chicilo, Communications Manager, Westport Innovations
Inc., Phone: 604-718-2046, Email: mchicilo@westport.com, web:
www.westport.com