PERTH, Australia, April 30 /PRNewswire-FirstCall/ -- Orbital Corporation
Limited (ASX: OEC - "Orbital") and Chongqing Changan Automobile Co., Ltd of
China ("Changan") are pleased to announce that they have entered into a
development contract to jointly develop a concept engine.
The development will be carried out on Changan's current gasoline engine
platform with an objective to achieve a significant fuel economy benefit
utilising Orbital's FlexDI(TM) technology. The program is focused on fuel
economy improvement while achieving Euro IV emissions level. Orbital was
selected as the technology with the best potential to meet the aggressive
targets required for the program. If successful, it is planned to take the
FlexDI(TM) concept engine to mass production in a Changan vehicle. Changan
will pay Orbital AU$2.4 million to carry out the proof of concept development
work in Orbital's engineering facility in Perth over the next 18 months.
Orbital's FlexDI(TM) is a patented direct injection technology utilising low
pressure and air assist which is currently applied in non automotive
applications including outboard engines, motorcycles, autorickshaws and ATV's
achieving fuel economy and emissions reductions.
Terry Stinson, Orbital's Chief Executive Officer, commented "Changan are
highly regarded in the Chinese automotive market and we are extremely pleased
to work with Changan in this joint development program. We are confident of
achieving the required technical outcome."
Mr. Zhan Zhangsong, Vice President of Changan Auto Research Institute, added
"The Orbital FlexDI(TM) system provides a significant fuel economy benefit in
a gasoline engine application. We believe that this project, if successful,
will provide Changan a competitive advantage in the Chinese market."
About Orbital
Orbital is an international developer of innovative technical solutions for a
cleaner world. Orbital provides innovation, design, product development and
operational improvement services to the world's producers, suppliers,
regulators and end users of engines and engine management systems for
application in motorcycles, marine and recreational vehicles, automobiles and
trucks. Orbital's principal operations in Perth, Western Australia, provide a
world class facility with capabilities in design, manufacturing, development
and testing of engines and engine management systems. Headquartered in Perth,
Western Australia, Orbital stock is traded on the Australian Stock Exchange
(OEC) and the OTC Bulletin Board (OBTLY).
About Changan
Chongqing Changan Automobile Co., Ltd. was established in October, 1996. The
Company with its merged subsidiary and its jointly owned or operated
corporation are mainly engaged in the manufacture and sales of automobile
(including sedan), automotive engine series and automotive parts & components.
Its main business is involved in the development, manufacture and sales of
passenger cars and commercial cars, and its current products mainly include:
mini-vehicle such as Changan Star series, Changan brand mini-commercial
vehicle, Changan sedan such as Benni, Jiexun and Zhixiang; Changan Suzuki's
Alto, Gazalle, Swift and SX4; Changan Ford Mazda's Mondeo, Focus, Mazda 3,
SMAX and Volvo S40 sedan; and Jiangling Holding's Landwind MPV, etc. Moreover,
the Company also manufactures and sells various types of Jiangling brand
engines.
Forward Looking Statements
This release includes forward-looking statements that involve risks and
uncertainties. These forward-looking statements are based upon management's
expectations and beliefs concerning future events. Forward-looking statements
are necessarily subject to risks, uncertainties and other factors, many of
which are outside the control of the Company, that could cause actual results
to differ materially from such statements. Actual results and events may
differ significantly from those projected in the forward-looking statements as
a result of a number of factors including, but not limited to, those detailed
from time to time in the Company's Form 20-F filings with the US Securities
and Exchange Commission. Orbital makes no undertaking to subsequently update
or revise the forward-looking statements made in this release to reflect
events or circumstances after the date of this release.
SOURCE Orbital Corporation Limited
Mr Terry Stinson, CEO, +61 8 9441 2462, Info@orbitalcorp.com.au
