SOURCE: Composite Technology Corporation

November 24, 2008 08:05 ET

Composite Technology's DeWind Signs UK Turbine Deal

Contract to Deliver Wind Turbines for UK Retailer Distribution Centers

IRVINE, CA--(Marketwire - November 24, 2008) - Composite Technology Corporation (CTC) (OTCBB: CPTC) is pleased to announce that its DeWind subsidiary has signed an agreement for the sale of three 1.25 megawatt DeWind D6 wind turbines to Perpetual Energy Limited for use at the distribution centers of the largest grocery retailer in the UK. This project is the pilot for the placement of wind turbines on land surrounding large regional retail distribution centers. The power will be used directly by the retail giant at the site of the distribution center.

The pilot contract is valued in excess of $3.84 million with scheduled delivery of the turbines set for December 2008. The contract provides for delivery of three nacelles, towers and blade sets. Perpetual Energy is working with the retailer for use and construction permits. A number of large industrial and retail companies have explored the use of wind turbines on properties they own, especially large warehouse sites or logistics centers where substantial amounts of land are available or the site is located in a remote location.

"DeWind has delivered over 250 D6 turbines since their introduction nearly 10 years ago. The D6 turbine is extremely reliable, with over 11 million operating hours logged. We are very pleased that Perpetual Energy has chosen this workhorse for the distribution sites," commented Robert Rugh, President of DeWind. The contract specifies milestone payments including amounts due on contract execution, which have been paid by the retailer through Perpetual Energy.

"We are excited to work with this large retailer for this high profile application of wind turbine power at their locations. This project provides renewable energy at their distribution centers, reducing their dependence on local grid resources and presenting an opportunity for them to show their concern for the environment and reduce greenhouse gases through reduced demand from the grid," commented David Coyne, Managing Director of Perpetual Energy.

About Perpetual Energy:

Perpetual Energy Ltd., a world leader in the development, construction and operation of renewable energy solutions, is a 5-year-old, international, privately owned, renewable energy company with more than 1,500 MW of utility wind in construction or late development. Its strategy is to grow the business principally through organic development in regions with deregulated power markets, acceptable wind resources and favorable legislative and economic incentives.

Perpetual Energy is the preeminent worldwide renewable energy systems integrator working with Fortune 100 companies across multiple countries and technologies. The company has expertise in large scale solar PV, MW-class onsite wind, biomass CHP, geothermal heating and cooling, small hydro, and other renewable onsite power, heat, and cooling technologies.

About CTC:

Composite Technology Corporation, based in Irvine, California, USA, develops, manufactures and sells innovative high performance electrical transmission and renewable energy generation wind turbines 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 high
    voltage generator that synchronizes directly with 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.
    

*ACCC is a trademark of CTC Cable Corporation

For further information visit our website: www.compositetechcorp.com. Investor Relations Contact: James Carswell, +1-949-428-8500.

This press release may contain forward-looking statements, as defined in the Securities Reform Act of 1995 (the "Reform Act"). The safe harbor for forward-looking statements provided to companies by the Reform Act does not apply to Composite Technology Corporation (the "Company"). However, actual events or results may differ from the Company's expectations on a negative or positive basis and are subject to a number of known and unknown risks and uncertainties including, but not limited to, competition with larger companies, development of and demand for a new technology, risks associated with a startup company, the ability of the company to convert quotations and framework agreements into firm orders, our customers' fulfillment of payment obligations under the respective supply agreement, our ability to deliver reliable turbines on a timely basis, general economic conditions, the availability of funds for capital expenditure by customers, availability of timely financing, cash flow, securing sufficient quantities of essential raw materials, timely delivery by suppliers, ability to produce the turbines and acquire their components, ability to maintain quality control, collection-related and currency risks from international transactions, the successful outcome of joint venture negotiations, or the Company's ability to manage growth. Other risk factors attributable to the Company's business may affect the actual results achieved by the Company, including those that are found in the Company's Annual Report filed with the SEC on Form 10-K for fiscal year ended September 30, 2007 and subsequent Quarterly Reports on Form 10-Q and subsequent Current Reports filed on Form 8-K that will be included with or prior to the filing of the Company's next Quarterly or Annual Report.

Contact Information

  • Investor Relations Contact:
    James Carswell
    +1-949-428-8500