AFG FlameGuard Ltd.

AFG FlameGuard Ltd.

July 27, 2012 21:19 ET

AFG FlameGuard Ltd.: Extensive Testing and Certification Program Near Completion; Summer Marketing Campaign Targets New Markets for DSPA Technology

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 27, 2012) - AFG FlameGuard Ltd. (CNSX:AFG) ("AFG" or the "Company") is a life safety technology focused company providing innovative fire suppression and prevention products and services. AFG is pleased to provide the following update regarding product testing and certification, as well as new marketing developments for its fire suppression and prevention products.

Based on the success of our initial development phase, AFG has gained the support of property owners, insurance companies and fire service professionals who have witnessed the effectiveness of DSPA technology. Building on the recognition and support gained from this initial phase, AFG has entered the commercial phase and is now targeting a wider market demographic including residential and commercial customers for its introductory DSPA-5 product and will soon commence actively marketing DSPA fixed installation systems.


AFG is pleased to announce that an extensive testing and certification program commissioned by DSPA.NL is nearing completion at the world renowned independent testing agency, KIWA Netherlands (Kiwa N.V. and Kiwa Nederland B.V., KIWA is accredited to certify the performance of DSPA fixed installation models in accordance with worldwide standards: European Committee for Standardization (CEN) -CEN / TR 15276-1, International Organization for Standardization (IOS) - ISO / DIS 15779-1 and Underwriters Laboratories (UL) - UL 2775. The tests include, among other attributes, the durability, reliability and measurement of the effectiveness of our DSPA installed unit.

The results of the KIWA tests will pave the way for the recognition that DSPA fixed systems meet international standards which includes North American standards. This recognition should facilitate the future sales of DSPA fixed systems to reach the large fire protection and suppression market worldwide. These fixed systems will be marketed for use in circumstances where installed fire suppression systems are used or required. DSPA systems offer a cost effective alternative solution when compared to traditional fire suppression systems. AFG intends to market these systems in Canada and its other territories through agents and national distributors that already market and install fixed fire suppression systems. The Company is now seeking additional agents and distributors.

"The costs of conventional fire suppression systems represent between 1% and 1.5% of typical construction budgets. With size of the Canadian construction market according to CanaData construction industry forecasts estimated to grow to $300 billion a year by 2014, the fire prevention and suppressions systems market as it relates to new construction in Canada is a multibillion dollar industry. Fire safety protection, utilizing AFG's innovative aerosol technology when compared to conventional systems is the most cost effective solution," stated Thomas Bell, AFG's President and CEO.


AFG is pleased to announce that as a result of product testing already completed by KIWA, the service life of the DSPA-5 generators has been increased from five years to fifteen years based on the UL standard aging test conducted in 116 days using a chamber that was at the consistent temperature of 90°C. Further test results are expected within thirty days.

Thomas Bell, commented, "Tripling the lifespan to fifteen years is an impressive achievement for DSPA technology and surpasses the ten year benchmark set by a competing aerosol based suppression system. This makes the DSPA line of merchandise the longest lasting aerosol fire suppression products on the market today."


The Company has continued its initiative to introduce and market DSPA fire suppression technology to fire departments across Canada. DSPA-5 hand-held portable unit are now in use in over 175 fire departments in eastern Canada. The successful use of this revolutionary fire suppression technology has assisted firefighters in saving structures and preserving contents that could have easily been lost due to the devastating impact of fire.

For example, on July 24, 2012 the Grimsby Fire Department in Ontario responded to a butane gas basement fire in a semi-detached home. According to Deputy Fire Chief Bill Thomson the basement fire was at a very dangerous stage when the firefighters arrived. The decision was made to deploy two DSPA-5 units, one in the front basement window and another in the back basement window. As a result, the flames were completely knocked down and the temperature dropped allowing the firefighters to enter the building. Only 100 litres of water was used on the smoldering debris. The use of the DSPA-5 resulted in over $300,000 savings to the structure and contents.


AFG is also pleased to report that it has entered the consumer market phase for the DSPA-5 units and is now marketing this product to private citizens. Initially AFG is targeting property owners within the Muskoka region of Ontario. Muskoka is a region that consists of high value, remote properties with little limited access to fire services. AFG is offering DSPA-5 units that are contained in Remote Response Station Lock Boxes equipped with two DSPA-5 units and other fire suppression and safety equipment. AFG is also approaching marina and boat owners, as well as campgrounds operators, resorts, nursing homes and has been meeting with surrounding First Nations communities. These sales and marketing efforts are being facilitated through local agents, presentations and through email and direct mail campaigns to various cottage, marina and campground owners associations. Further, two live fire demonstrations and training exercises are to be held in August 2012 in Rosseau, Ontario.


DSPA utilizes environmentally friendly waterless aerosol technology to rapidly suppress fire. The use of DSPA technology significantly reduces air, water and soil contamination caused by excessive amounts of water used in conventional methods of firefighting. Water is often not readily available or accessible in sufficient quantity and may take valuable time in getting transported to the site of a fire which may result in the total loss of property and life. DSPA technology can buy valuable time to assist firefighters prior to using conventional methods and is a valuable resource for people looking to protect their property from fire.

For more information, please visit AFG's website at and view AFG's disclosure record on the CNSX website at and on SEDAR at

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Except for statements of historical fact contained herein, the information presented in this news release constitutes "forward-looking statements" or "information" (collectively "statements"). These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. In some cases, forward-looking statements can be identified by terminology such as "anticipate", "believe", "continue", "estimate", "expect", "forecast", "intend", "likely", "may", "outlook", "plan", "potential", "predict", "should", "will", or the negative of these terms or other comparable terminology. The reader should not place undue reliance on forward-looking statements and information because they involve assumptions, known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Corporation to differ materially from anticipated future results, performance or achievements expressed or implied by such forward-looking statements and information. Factors that could cause actual results to differ materially from those set forth in the forward-looking statements and information include, but are not limited, risks related to our limited operating history and history of no earnings, competition from other companies in various consumer industries, changes to government regulations, dependence on key personnel, general economic conditions, local economic conditions, including the marketing of similar products and services in close proximity to licensed territories of the Corporation, timely introduction of these newly licensed Corporation's products or services; the uncertainties in acceptance of such products or services by the market, approvals the Corporation may require in having the agreements and interests being assigned to them, interest rates, availability of equity and debt financing, increased development costs, including costs of labor, equipment and environmental compliance and other risks factors described from time to time in the documents filed by the Corporation with applicable securities regulators and the CNSX, including in the Form 2A Listing Statement under the heading "Risk Factors", which is filed on the CNSX website.

Neither the Canadian National Stock Exchange (the "CNSX") nor its Regulation Services Provider (as that term is defined in the policies of the CNSX) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • AFG FlameGuard Ltd.
    Thomas Bell
    President and Chief Executive Officer
    604-638-8106 (FAX)