BAT's Subsidiary, Ultra Force Battery Company, Files International SEALER Patents
14 March 2000
BAT's Subsidiary, Ultra Force Battery Company, Files International SEALER Patents and Begins Shipping Sample Fiber Nickel Electrode Batteries to U.S. Markets
CHULA VISTA, Calif.--March 14, 2000--BAT International's (OTCBB:BAAT) (www.baat.com) subsidiary, Ultra-Force Battery Co. (UFBC), has filed international patents for the SEALER battery technology in eight countries in Europe.The International Branch of the U.S. patent office, in response to UFBC's amendments for international patents, has allowed the claims and has noted in correspondence that the technology represents an innovative step from prior art. UFBC's SEALER technology (patent pending) allows for manufacturing of sealed, maintenance free batteries at a much lower cost, while also providing battery thermal management and charge control features. The technology can be used on nickel metal hydride, nickel cadmium, nickel zinc and lead acid batteries. It is expected to lead to a sharp reduction in the cost of deep cycle lead acid, nickel metal hydride and nickel cadmium batteries while improving cycle life and reducing damage from inadequate charging control.
UFBC believes the technology will be in strong demand in battery markets because UFBC will be able to manufacture a high amperage, high energy density battery that requires no maintenance at a lower cost for industrial, telecommunication and automotive markets. Furthermore, SEALER provides other features such as:
-- diminishing heating problems during charge and quick charge
-- providing a mechanism to manage the charge and equalization of a string of cells
-- providing diagnostic capabilities to determine the condition of specific cells
-- allowing for more careful control of the battery management process
These features will improve the reliability and extend the life of batteries while also eliminating the need for battery maintenance. These will make the product very desirable in established and emerging battery markets.
In related news, UFBC has also begun to ship sample batteries from the joint venture plant in India to undergo testing and evaluation in the U.S. The battery plant, which is producing fiber nickel electrode batteries, uses a production process that was developed and licensed from DAUG, a joint venture research and development consortium of Volkswagen and Daimler-Chrysler . The battery plant, Ultra-Force Battery Ltd. (UFBL) is jointly managed by UFBC and HBL and is 51% owned by UFBC. UFBC's joint venture partner, HBL Ltd., is the largest manufacturer of NiCd and other specialty batteries in India. HBL has already started test marketing sealed cell batteries to an established customer base in South Asia. Market response to initial sample batteries has been very positive. UFBC will be responsible for the marketing of batteries outside of South Asia. UFBC will be targeting initial distribution efforts at existing military, industrial, rail and telecommunication markets where the lower cost, longer life and superior performance of its sealed, maintenance free batteries is expected to result in strong interest.
UFBL has been making progress on completing final steps to allow mass production of batteries in the near future. A nickel hydroxide electrolyte production facility is now being set at the UFBL facility to allow for production of the electrolyte in India. Initial pilot production of the electrolyte has been successful and efforts are underway to install a high volume production capacity for nickel hydroxide electrolyte. This capacity is expected to be on line in approximately six weeks. A total of 2 million amp-hours of production capacity will be put into production in the first phase, with additional room for 2 million amp-hour lines as production demand increases. Production will initially focus on nickel cadmium (NiCd) sealed cells, with future production plans for NiMH sealed cells and NiCd and NiMH batteries that incorporate SEALER technology. Several different types of sealed cell batteries are being produced ranging in size from 60-140 Ah. The plant can also produce power electronics systems and supply a fully integrated package that includes both battery and battery control systems.
UFBC anticipates strong market interest in battery and power electronic products in a variety of rapidly growing markets. The use of advanced nickel electrode technology from DAUG results in a battery that is fully sealed and maintenance free. The fiber plates have greater surface area contact with the electrolyte, which leads to a battery that can achieve high power and be rapidly discharged if needed. In addition, extensive independent testing has confirmed a very long cycle life. This makes the technology ideal for several high growth markets such as hybrid electric vehicles and as a "peaking" battery for fuel cells. Hybrid electric vehicles need a battery that is maintenance free for the life of the vehicle and can provide the bursts of power needed for acceleration and high speed travel. Fuel cells have similar requirements for a high power battery. The long life of the battery and ability to operate in all temperature extremes (no degradation at 65 Degrees C, 70% capacity at -40 Degrees C makes them ideal for military, automotive, industrial and telecommunication markets where high reliability in all weather conditions is a very important factor in battery selection.
BAT International is organized as a holding company with major ownership positions in a set of subsidiary or affiliated companies now commercializing advanced automotive technology products developed by BAT over the last seven years. This includes electric bicycles and scooters, super-efficient or high power engines, advanced batteries and lubricant additives, (for information, see www.baat.com). Information about trading prices and volume can be obtained at several Internet sites including www.stockmaster.com and www.bloomberg.com under the ticker symbol "BAAT".
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