QuadTech International Reports on Progress Pursuing Growing Opportunity for Its Mine-Safety Solution in the $1.3 Trillion Mining Industry
Wednesday, August 23rd 2006
QuadTech International, Inc. , a global provider of leading-edge technology solutions for the mining industry, today reported on the company’s progress pursuing growing opportunity for its breakthrough mine-safety solution in the $1.3 trillion mining industry. QuadTech has identified significant potential for adoption of its iPMine wireless communication solution among mining companies in China and the United States, successfully demonstrated the product’s effectiveness at China’s seventh largest coal mining operation, established distribution discussions with Shanghai Sendy Automation Technologies, launched a Chinese-language website, established a technical advisory board led by a respected technology visionary, and begun trading internationally on the Frankfurt Stock Exchange.
QuadTech’s iPMine is a real time, 2-way wireless communications solution to track, monitor, and communicate with miners and equipment under and above ground. A miner’s location information is collected and displayed in real time on viewing monitoring stations against a background of the mine’s terrain map. iPMine’s software and hardware components operate together to form an inter-connected safety net that can help mining operators predict disasters, manage hazards and dispatch rescue workers.
QuadTech is targeting the global metals and mining industry which generated $1.3 trillion in revenue last year and has expanded 118% since 2001. The company has identified major potential for its mine-safety solution in China, where 80% of the world’s coal mining accidents have occurred. The Chinese mining industry grew 26.7% to $352.1 billion last year. However, an escalation in tragic, highly visible mining accidents is drawing international attention and prompting the government to take action. On July 15th, 89 miners lost their lives in three separate accidents in Chinese mines, with an explosion at the Linjiazhuang coal mine marking the third accident of escalating magnitude in as many months. Last year the Chinese State Administration of Work Safety mandated $6.3 billion to be spent over three years to improve safety at all state-owned mines. The government is also offering mining enterprises a 15 percent tax credit incentive to upgrade mine safety technologies.
In June QuadTech successfully demonstrated iPMine’s capabilities to the seventh largest coal mining operation in China, state-owned Shanxi Jincheng Anthracite Coal Mining Group. The product demonstration was conducted at 540 feet below ground in one of Jincheng’s six large-scale mines, the Phoenix mine located in Jincheng City, Shanxi Province, with approximately 6,000 miners.
The trip and onsite demonstration were hosted by Shanghai Sendy Automation Technologies (Sendy), a subsidiary of Jincheng. QuadTech is in discussions with Sendy to conclude an agreement that will allow Sendy to sell iPMine to Jincheng’s six existing mines and two new mines projected to be in full production over the next 18 months. Sendy’s customer base includes more than 1,000 customers, most of them state-owned mining operations that have expressed interest in deploying iPMine.
QuadTech is also working to penetrate the US mining market where 19 miners lost their lives between January and May of this year. A national outcry after January 2nd’s underground explosion in the Sago Mine in West Virginia spurred the US Department of Labor to enact legislation to improve mine safety. Signed into law in June, the MINER Act requires wireless two-way communications and electronic tracking systems, such as QuadTech’s iPMine, in all US mines within 3 years, among other mandatory safety provisions. The company is focusing on significant opportunities with several potential customers in the US.
The company has appointed Benjamin Moglin to chair QuadTech’s newly formed technical advisory board and oversee the implementation of its scientific research and experimental development protocols. A highly regarded visionary and inventor of emerging technologies, Moglin brings more than a decade of experience in scientific R&D with extensive international experience in intellectual property creation, protection and commercialization. Prior to joining QuadTech, he performed in innovative think tanks and product collaboration for Intel, Phillips and GE, and collaborated in core technology integration with AMD, Hewlett-Packard and Asia Telecom.
As part of its international marketing activities, QuadTech has launched a Chinese language version of its web site. The site communicates iPMine’s unique capabilities and benefits, provides general information about QuadTech’s Chinese distributors and related sales activity and can be accessed at www.quadtechint.cn
In addition, QuadTech has begun trading on the Frankfurt Stock Exchange, the world’s third largest securities exchange. Listing on the exchange enables the company to communicate its value and growth to the international investment community and gain access to global capital markets.
QuadTech CEO John Meier commented: “The mining industry is experiencing rapid growth worldwide. The downside of this accelerated growth is a marked increase in mining accidents. As mines and miners are pushed to the limits, high visibility mining tragedies are forcing government agencies to take action, mandating safety measures and allocating funds for safety solutions like ours. iPMine offers proven, highly advanced technology to enable mine operators to track, monitor and communicate with miners and equipment in real time. We are thrilled with the progress QuadTech has made to date and excited to pursue the tremendous opportunities for growth we see before us.”
Mr. Meier continued, “QuadTech is a company dedicated to sourcing and commercializing leading edge technology solutions. In addition to our work in the mining industry we are engaged in acquiring additional technologies that we feel can gain significant market share in their respective industries. We have identified an excellent opportunity to diversify our range of offerings and promote growth and increased value for shareholders and we look forward to bringing our efforts to fruition.”
About QuadTech International, Inc.
QuadTech International, Inc. is a global provider of leading-edge Internet and IP-based technology solutions. It owns the exclusive worldwide sales and marketing rights for iPMine and is working to create value for shareholders by establishing iPMine as the world’s leading mine-safety product. QuadTech also develops partnerships and acquires control in high-growth, small to medium sized companies and solutions that support its technology driven business focus. For more information, please visit www.quadtechint.com.
This press release includes forward-looking statements that involve risks and uncertainties, including but not limited to, product delivery, the management of growth, market acceptance of certain products and other risks. These forward-looking statements are made in reliance on the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. For further information about these factors that could affect QuadTech International, Inc. future results, please contact the Company directly. Prospective investors are cautioned that forward-looking statements are not guarantees of performance. Actual results may differ materially from management expectations.
Contact: Panascope Capital