May 7, 2002
REGI U.S., INC. / REG TECHNOLOGIES, INC COMPLETES LICENSE AGREEMENT WITH ROTARY POWER GENERATION, INCORPORATED
For Immediate Release: May 7th, 2002 -Vancouver, B.C. - Reg Technologies, Inc. (RRE.V / OTC BB: REG RF) and its U.S. subsidiary REGI U.S., Inc. (OTC BB: RGUS) wish to announce an exclusive worldwide license to Rotary Power Generation, Incorporated, (RPGI) for the Rand Cam Technology for Power Generation applications.
RPGI agrees to the following terms and conditions for the exclusive license
To complete a 12 month duration study of the design, analysis, manufacturing cost, risk assessment and marketing analysis;
To pay REGI U.S. $100,000 (US) within 1 year in order to maintain the exclusive license rights for the Power Generation application;
To pay a 6% royalty on the sales of Rand Cam engines, parts and service annually;
To pay 50% of all sublicense fees and royalties received on the license agreements received from all future partners and sub-licensees;
To pay REGI U.S. a minimum of $500,000.00 (US) annual payment after 5 years from the date of this agreement; and
To pay REGI U.S. $150 per hour for the engineering consulting work on the Power Generation project.
Pat Badgley, V.P. of the Engineering department for REGI U.S. states "The Rand Cam Power Generation technology will have a lower installed cost, lower exhaust emission than the micro turbines used today, and our generation efficiency will be about 40% which is better than the 30% claimed for microturbine generators."
The management of REGI U.S. is pleased to work with Robert Stoddard, President of RPGI and current corporate marketing director for REGI U.S., who has extensive experience in government relations and advanced technologies marketing for the Power Generation project.
