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Deutsche Morgan Grenfell Add to Orbital Investment

31 December 1997

Deutsche Morgan Grenfell Add to Orbital Investment

    PERTH, Australia, Dec. 31 -- Global investment bank Deutsche
Morgan Grenfell (DMG) has injected further funding of A$6.5 million towards
Orbital Engine Corporation's motorcycle, marine and recreational product
programs.
    DMG has now provided A$118.5 million to Orbital to be used over the next
two years to increase the prospect, rate and timing of high volume penetration
of its technology in the non-automotive markets.  The package allows the two
companies to exploit the opportunities arising from Orbital's recent
developments in the motorcycle, marine and recreational product ranges.
    The terms of the new agreement are similar to last month's A$12 million
investment where Orbital was not required to establish or increase loan
facilities or issue new equity.  With this transaction, however, DMG will earn
a return on its investment through partial access to profits earned from the
supply of fuel systems to non-automotive markets.
    DMG is part of Deutsche Bank AG one of the world's largest banking groups
with worldwide assets of around DM1,000 billion.  One of the key industry
initiatives of DMG worldwide is a focus on the technology sector, and this
commitment is reflected in their ongoing support of Orbital's unique direct
fuel injection technology.

SOURCE  Orbital Engine Corporation Limited