Coates International, Ltd. (the "Company") signed a firm purchase order to manufacture a hydrogen powered industrial CSRV electric power engine generator to operate on a special type of hydrogen fuel derived from splitting water molecules. It is referred to as "hydroxy-gas".
The purchaser will be responsible for the water splitting technology to the CSRV engine generator ("Gen Set") after they receive delivery of the power unit from the Company.
The Company expects to deliver the first power unit during the second quarter of 2013. Work on this power unit has already started.
Management considers this project to be important to its business plans, because this technology can be adapted on a large scale and if so, it could contribute to the reduction of the need in America to import foreign oil. There are no emissions from the Gen Set with the hydroxy-gas technology, only water vapor. The Company is bound by a confidentiality agreement which prohibits us from disclosing the names of the other parties involved in this project. The engine generators can be produced on the same assembly line as the natural gas Gen Sets in large quantities.
There can be no assurance that this project will be successful.
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Our public filings with the SEC may be viewed and printed from the website maintained by the SEC at http://www.sec.gov.