Outstanding Performance of Evercel, Inc. Rechargeable Battery Technology
22 October 1999
Outstanding Performance of Evercel, Inc. Rechargeable Battery Technology Independently Verified by Leading Taiwanese Manufacturer
DANBURY, Conn.--Oct. 22, 1999--Evercel, Inc. , a manufacturer of advanced rechargeable batteries, today reported that Formosa Plastics Group, a leading Taiwanese manufacturer focused on HEV automobile production in the future, has independently verified the performance of Evercel's patented nickel-zinc rechargeable battery technology. Successful completion of this cycle life test further demonstrates Evercel's technical claims and patents in the only cyclable nickel-zinc technology in the world.
Under strict Formosa Plastics Group testing conditions Evercel's nickel-zinc technology has achieved 500 charge and discharge cycles and has therefore fulfilled the cycle life requirements of the Formosa / Evercel license agreement (EV/HEV Four Wheel Traction Devises). In duplicate testing conducted by Evercel's internal laboratory the Evercel patented nickel-zinc rechargeable battery has also exceeded 500 cycles. Formosa Plastics and Evercel are looking forward to a long term manufacturing partnership that may include the use of nickel-zinc batteries for EV, E-Bike and E-scooter applications as well as developing nickel-zinc batteries for HEV applications.
Robert L. Kanode, president and CEO of Evercel, stated: "For over 35 years modern battery developers have recognized the value of nickel-zinc's potential for high performance batteries at a competitive cost. However, not until Evercel's patented nickel-zinc entered the market has anyone achieved 500 charge and discharge cycles with this chemistry. This is truly a breakthrough battery technology development. We look forward to a long, mutually profitable relationship with Formosa Plastics Group, an outstanding global company."
Evercel's patented nickel-zinc technology is characterized by high power density, lightweight and low cost. In addition to Evercel's nickel-zinc performance advantages Evercel batteries are environmentally friendly, with no heavy metals restrictions according to the U.S. EPA regulations. Nickel-zinc batteries have long been known as good performance batteries with limited life. The first serious attempt to commercialize nickel-zinc was undertaken by Drumm during the late 1920's and early 1930's. These batteries were used to a limited extent in Ireland as a power supply for train lighting and propulsion. The Drumm battery exhibited a severely limited life. During the 1960's and 1970's interest in the nickel-zinc system was again aroused as a possible substitute for other existing technologies. By the 1970's Energy Research Corporation (now FuelCell Energy) began working on developing nickel and zinc electrodes with a higher energy density, but which still suffered from short cycle life. Energy Research Corporation's Battery Group, led by Allen Charkey, now Evercel Exec. V.P. & COO, continued research through the 1980's and 1990's and, Evercel believes, solved the cycle life problem with a patented Evercel solution.
The Formosa Plastics Group License Agreement, entered into in February 1998, is part of Evercel's strategy to launch its patented technology into the global marketplace. In addition to its alliance with Formosa Plastics Group, Evercel has formed a joint venture with China's Xiamen Three Circles Battery Company. The joint venture company, Xiamen Three-Circles ERC Battery Company, recently began producing batteries in Xiamen for the electric bicycle market in China.
Evercel, Inc., is a leading manufacturer of high-performance, environmentally safe and cost-effective nickel-zinc rechargeable batteries for a wide range of applications, including bicycles, scooters, electric vehicles, trolling motors for boats, lawn mowers, electric wheelchairs and golf carts. The Company, based in Danbury, Connecticut, operates manufacturing facilities in Danbury and in Xiamen China. In China, the Company operates as Xiamen Three Circles - ERC Battery Corp., Ltd., a joint venture in which Evercel is the majority owner.
This press release contains forward-looking statements, including statements regarding the Company's plans and expectations regarding the development and commercialization of its battery technology. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that could cause such a difference include, without limitation, general risks associated with product development, manufacturing, rapid technological change, and competition, as well as other risks set forth in the Company's filings with the Securities and Exchange Commission. The forward-looking statements contained herein speak only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company's expectations or any change in events, conditions or circumstances on which any such statement is based.