Active Control Signs $1.6 Million Exclusive Supply Agreement With MeshDynamics Inc.



    TSX-V: ACT

    Proprietary Rights of ActiveMine(TM) Technology Are Secured
    As Intrinsically Safe Certification Anticipated

    TORONTO, March 18 /CNW/ - Active Control Technology Inc. (TSX-V:ACT)
today announced that it has entered into a reseller agreement with
MeshDynamics Inc., the developers and suppliers of ActiveMine's
third generation mesh network nodes. The agreement includes a prepayment of
USD $1.6 million in exchange for certain exclusive rights to mesh network
nodes that incorporate MeshDynamics' proprietary patented and patent-pending
Wi-Fi technology. The rights include the right to exclusively sell the nodes
to certain specified companies, including coal mines, non-coal mines and coal
suppliers that are potential customers for the ActiveMine system and further
guarantee ACT a supply of a minimum of 1,000 nodes. ACT has the option to
acquire up to 2,000 additional nodes upon further payments. ACT will outsource
the manufacturing of the nodes directly using the MeshDynamics technology. The
agreement with MeshDynamics will result in a savings to ACT on a per node
basis and will secure ACT's access to MeshDynamics' proprietary Wi-Fi
technology during the two year term of the reseller agreement.
    Management estimates that 40 nodes are required on average per
underground coal mine in the U.S. The outsourced California-based contract
manufacturer of the mesh nodes has the capacity to produce up to 3,000 nodes
per month.
    "We are very pleased with our partnership with MeshDynamics and we are
grateful for all of their support," said Steve Barrett, President and CEO,
Active Control. "We also anticipate that ActiveMine's superior tracking,
voice, video and data transmission capabilities will continue to garner sales
in the USA and internationally. Solidifying our relationship with MeshDynamics
will ensure continuity of supply for this key component of the ActiveMine
system."
    Concurrently, ACT is moving to convert its international patent
application covering aspects of the ActiveMine system into national patent
applications in Australia, China, Canada and South Africa. ACT already has
such a patent application before the US patent office and ACT may elect to
pursue other national patent applications at a later date. The national patent
applications will make reference to certain preliminary findings in a written
opinion by the international patent office that were favorable towards ACT's
prospects of securing a patent over various aspects of the ActiveMine system.

    ActiveMine's communications, data and tracking system enables monitoring
of production, personnel and equipment in all types of surface and underground
mining environments, including coal and base metal mines. The system is
designed to:

    
    -   Operate on a 100 percent wireless Wi-Fi network backbone.
    -   Be less susceptible to water and mechanical damage of all sorts,
        including rock fall.
    -   Use open-standards technology.
    -   Comply with relevant U.S. state and federal regulations, including
        MINER Act requirements for wireless systems as established in MSHA
        policies.
    -   Provide four-day intrinsically safe battery back-up and power supply.
    -   Provide a wireless communications and data network above-ground to
        extend underground networks.

    About Active Control Technology

    ACT designs and markets wireless network control and communication systems
for buildings and extreme environments. Located in Burlington, Ontario,
Canada, the company trades publicly on the TSX Venture Exchange under the
symbol ACT. For more information, visit the company's website at
www.activecontrol.com.

                         We make wireless work.(TM)
    

    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.

    Cautionary Note Regarding Forward-Looking Statements: This press release
contains forward-looking statements that involve risks and uncertainties,
which may cause actual results to differ materially from the statements made.
When used in this document, the words "may", "would", "could", "will",
"intend", "plan", "anticipate", "believe", "estimate", "expect" and similar
expressions are intended to identify forward-looking statements. Such
statements reflect our current views with respect to future events and are
subject to such risks and uncertainties. Many factors could cause our actual
results to differ materially from the statements made, including those factors
discussed in filings made by us with the Canadian securities regulatory
authorities. Should one or more of these risks and uncertainties, such as
changes in demand for and prices for the products of the Company or the
materials required to produce those products, labour relations problems,
currency and interest rate fluctuations, increased competition and general
economic and market factors, occur or should assumptions underlying the
forward looking statements prove incorrect, actual results may vary materially
from those described herein as intended, planned, anticipated, or expected. We
do not intend and do not assume any obligation to update these forward-looking
statements. The reader is cautioned not to put undue reliance on such
forward-looking statements.

    %SEDAR: 00007946E




For further information:

For further information: Steve Barrett, President & C.E.O., Active
Control Technology Inc., Tel.: (905) 670-5500 ext. 202, Fax: (905) 592-9691,
Email: sbarrett@activecontrol.com, Website: www.activecontrol.com; Don
Hogarth, Hogarth Communications Inc., Tel.: (416) 565-8920, Email:
don@hogarthpr.com

Organization Profile

ACTIVE CONTROL TECHNOLOGY INC.

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890