CPTC Composite Technology and TECO-Westinghouse Expand Manufacturing Agreement Long Term Agreement Defines Turn-Key Production
Jun 2, 2008 8:00:00 AM
IRVINE, CA and ROUND ROCK, TX -- (MARKET WIRE) -- 06/02/08 -- Composite Technology Corporation (CTC) (OTCBB: CPTC) and TECO-Westinghouse Motor Company (TWMC) are pleased to announce the execution of an expanded Commercial Manufacturing Agreement between the two companies. The definitive Agreement signed with CTC's DeWind subsidiary extends the manufacturing relationship between CTC and TWMC for ten years and sets the guidelines for production, supply chain management and commercial terms or turn-key manufacturing of DeWind turbines. CTC and TWMC signed a Strategic Alliance Agreement in November 2006 that defined the intentions of the companies in the areas of manufacture, research and development, and future service and maintenance activities within North America.
"The turn-key manufacturing agreement provides stability and security for DeWind customers. With long term manufacturing established, including supply chain management by TWMC, DeWind can proceed with extended turbine supply contracts contemplated with utilities and developers around the world," commented Marvin Sepe, President of DeWind and COO of CTC. "The strength of TWMC and the quality of their manufacturing capabilities is also an important component of the comprehensive warranty program that DeWind offers to its customers," Mr. Sepe added. The agreement covers the manufacture of DeWind D8.2 and D8.0 two megawatt turbines as well as advanced turbines under development.
"This important agreement reinforces the commitment that CTC and TWMC have made to the wind turbine market and specifically to the manufacturing of utility scale wind turbines in Texas," stated Dr. H. C. Meng, President of TECO-Westinghouse Motor Company. The manufacturing line is established in the TWMC facility located in Round Rock, Texas, and is currently designed for a capacity of 400 turbines per year. The line can be expanded as needed to meet market demand. DeWind is committed to the Texas wind industry and operates its D8.2 turbine test site in Sweetwater, Texas.
About CTC:
Composite Technology Corporation, based in Irvine, California, USA, develops, manufactures and sells innovative high performance electrical transmission and renewable energy generation products through its subsidiaries:
-- CTC Cable Corporation produces composite rod for use in its patented ACCC* (Aluminum Conductor Composite Core) conductors, which are "high efficiency conductors" for use in electrical transmission grid systems. ACCC conductors demonstrate less electricity line losses when compared with conventional conductors and when deployed in place of conventional conductors on existing systems, the higher efficiency of ACCC conductors enables power generators to reduce the amount of power they must generate while still delivering the same power to the customers. They have also demonstrated significant savings in upgrade capital costs and operating expenses when substituted in grid systems for other conductors. ACCC conductors enable grid operators to reduce blackouts and brownouts, providing a 'reserve electrical capacity' by operating at higher temperatures without significant thermal sag of the lines. ACCC conductors are an innovative economical solution for reconductoring power lines, constructing new lines and crossing large spans. ACCC composite core is delivered to qualified conductor manufacturers worldwide for local ACCC conductor production and resale into local markets.
-- DeWind Inc. designs, produces, and sells the DeWind series of wind energy turbines, including the new 2 megawatt (MW) D8.2 model available in both 60Hz and 50Hz; the 2MW D8 model in 50Hz; and the 1.25MW D6 model in 50Hz. The new D8.2 has been operating since early 2007 at Cuxhaven, Germany, and utilizes the advanced WinDrive® hydrodynamic torque converter developed by Voith AG in combination with a synchronous AC generator with high voltage output that is connected directly to the grid without the use of power conversion electronics. The first 60Hz D8.2 is now operating at Sweetwater, Texas, where it will initially be used for demonstration to North American customers. DeWind D8.2 turbines are now being assembled at TECO Westinghouse Motor Co., in Texas for our North and South American customers.
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