August 10, 2006 14:44 ET

Active Control Announces Financing with Institutional Investor

TORONTO, ONTARIO--(CCNMatthews - Aug. 10, 2006) - Active Control Technology Inc. (the "Company")(TSX VENTURE:ACT) is pleased to announce a non-brokered private placement offering of $300,000, by way of selling 3,000,000 units of the Corporation at a price of $0.10 per unit. Each unit will consist of one common share of the Corporation and one share purchase warrant with each warrant entitling the holder to acquire an additional common share at a price of $0.15 for two years from the date of issuance. The Corporation will pay a finder's fee of 7% cash, plus 7% brokers' warrants priced at $0.15 to Research Capital Corp.

The private placement is with the Northern Rivers Innovation Fund LP, a fund managed by Northern Rivers Capital Management Inc. Steve Barrett, the Company's President & CEO commented: "We are delighted that the Company has garnered the support of high calibre institutional investors. We will be aggressively ramping up our operations to meet our order book of over $280,000 and growing demand for our multiple CLiK64™ technology platform based products, which we continue to private label manufacture for large multinational OEM's in the access control business. In addition, we will pursue the commercialization of ActiveMine™, a wireless communication and locating technology".

ActiveMine™ is the Company's new proprietary wireless real-time personnel tracking and two-way communication solution designed for the underground mining industry. The Company completed a site survey last month, and tested the maximum communication range between receivers in an underground coal mine environment. The specified signal strength between receivers was accomplished.

Based on these positive findings from the site survey, the Company is moving forward with the pilot test in an operational coal mine in the United States. The pilot test will be completed within the next 30 days. Upon a successful outcome, the ActiveMine™ solution will be submitted to the Mining Safety and Health Administration (MSHA) for commercialization approvals.

In January of this year, the State of West Virginia amended Bill 247, to stipulate that all underground coal mines must promptly implement real time tracking of miners, as well as two-way communications. In addition, on June 15, 2006, President George W. Bush signed the MINER (Mine Improvement and New Emergency Response) Act that directs, among other things, the same tracking and communication technology requirements be implemented throughout the entire
United States underground mining industry.

The use of proceeds from this private placement will be used to fund ongoing operations and new business opportunities.

The offering is subject to approval from the TSX Venture Exchange.

Active Control Technology Inc. designs and markets wireless radio frequency (RF) devices for the commercial security/access control industry and wireless communication and tracking systems for the mining sector. Located in Mississauga, Ontario in Canada, the company trades publicly on the TSX Venture Exchange under the symbol ACT.

We make wireless work.™

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

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