Environmental Solutions Worldwide, Inc: Receives Orders for XtrmCat™ Locomotive Diesel Engine Emission Reduction Catalysts
CONCORD, Ontario--Environmental Solutions Worldwide Inc. (OTCBB: ESWW) (Frankfurt Stock Exchange FWB: EOW) announced today that the Company’s wholly owned subsidiary ESW Canada Inc. (ESWC) has received sales orders amounting to $266,000 for five XtrmCat™ Locomotive Diesel Oxidation Catalysts (DOCs) from Advanced Global Engineering in Atlantic Beach, FL. and West Coast Express (TransLink) in Vancouver, BC.
On October 6, 2008, the XtrmCat™ became the first DOC to be added by the Environmental Protection Agency (EPA) to its Emerging Technology’s list for marine Electro Motive Diesel (EMD) two-stroke diesel engines. The XtrmCat™ is also being sold for installation on EMD powered locomotives. EMD diesels are the most widely used engines in marine and locomotive applications in North America and account for a demographic population of over 40 thousand units currently in service. ESWC is presently in the process of EPA verification of the XtrmCat™ for both marine and locomotive retrofits, funded in part by a $731,000 grant received from the Texas Environmental Research Consortium (TERC) and the Houston Advanced Research Center (HARC).
In March of 2008 the EPA finalized new stringent emission standards for locomotives and marine diesel engines opening the door for this regulated retrofit market opportunity. (1.) EPA figures show there are 18,512 rail units in operation in the US with a requirement for 5% or 925 units a year to be remanufactured using Best Available Retrofit Technology. Due to the long total EMD engine serviceable life spans, annual replacement rates of existing locomotives with newly build units is very low. (2)
Mr. David J. Johnson, ESW's President and CEO commented, “We are excited to see these first sales of the XtrmCat™ into the rail community, and look forward to the product being applied to passenger, switcher and freight locomotive engines. We believe a successful retrofit program will involve the application of a durable proprietary catalyst substrate coupled with a simplistic, yet robust packaging solution like the XtrmCat™ in order to gain significant industry acceptance. We are looking forward to future sales through our growing distribution channels into this very challenging sector of the diesel emission reductions retrofit market.”