SOURCE: Composite Technology Corporation

October 05, 2009 08:05 ET

Composite Technology Announces New ACCC Conductor Order in the U.S.

Order Marks More Penetration Into South Texas

IRVINE, CA--(Marketwire - October 5, 2009) - Composite Technology Corporation (CTC) (OTCBB: CPTC) is pleased to announce a new order for ACCC™ conductor for its subsidiary CTC Cable Corporation. This order is the first order placed by the South Texas Electric Cooperative for ACCC™ conductor and represents another significant step in penetrating the U.S. market.

The order provides approximately 36 miles (57 kilometers) of ACCC™ conductor for the replacement of a 12-mile 138kV power line between Moore and Pearsall, Texas. The conductor will be delivered by early 2010.

This circuit required increased capacity in part to accommodate increased generation from the Pearsall Natural Gas Power Plant, which will produce over 200 MW of power. The existing circuit has H-frame wood poles, which were upgraded to support a Drake size conductor. By using an ACCC™ Drake versus a traditional ACSR Drake, 1766 amps of continuous current can run over the exiting circuit without the need to adjust the tower height of the H-frame structures. The ACCC™ Drake offered the only option that increased ampacity without impacting clearance and requiring additional expensive tower modifications or replacements.

"We are very pleased to add the South Texas Electric Cooperative to the growing number of power providers in the U.S. and around the world that recognize the benefits that ACCC™ conductor brings for capacity and efficiency. Across the country, electric cooperatives provide high quality service at the lowest overall pricing. ACCC™ conductor is an excellent choice for these cooperatives, which often base their procurement decisions on the total cost of ownership of the project. The technical attributes of ACCC™ conductor combined with the financial performance of the project make a very compelling argument for its use," stated Marv Sepe, President of CTC Cable.

About STEC:

South Texas Electric Cooperative was formed in 1944 to provide wholesale electric power to member cooperatives. Presently the South Texas Electric Cooperative serves eight distribution cooperatives: Karnes, Wharton County, Victoria, Jackson, San Patricio, Nueces, Magic Valley and Medina electric cooperatives. These cooperatives provide service to about 170,000 members in 44 South Texas counties. The cooperative's headquarters are located in Nursery, Texas, at the Sam Rayburn generating plant. One hundred and sixty employees are based at the Sam Rayburn plant while another twenty-two are based at the Pearsall generation facility.

About CTC:

Composite Technology Corporation, based in Irvine, California, USA, develops, manufactures and sells innovative high performance energy efficient electrical transmission conductors through its subsidiary, CTC Cable Corporation. CTC Cable produces composite core rod for use in its patented high efficiency ACCC* conductors, that are used in electrical transmission and distribution grids. ACCC™ conductors have less line loss compared to similar diameter conventional conductors and therefore enable power generators to reduce the amount of generation while still delivering the same power to customers. In the United States, ACCC conductors offer an effective solution for companies wishing to comply with recently introduced legislation providing various incentives for use of advanced conductors that reduce line losses by over 25%. Over 8000 kilometers of ACCC conductor have been installed on five continents. The performance and longevity of CTC's ACCC technology have been independently verified by certifying agencies, test centers and power grids around the world. ACCC conductors have demonstrated significant savings in upgrade capital costs as well as operating expenses when substituted in grid systems. ACCC conductors enable grid operators to reduce blackouts and brownouts by providing reserve electrical capacity, since they can be operated at higher temperatures without significant thermal line sag. ACCC conductors are an economical solution for reconductoring power lines, constructing new lines, and crossing large spans. ACCC core is produced by CTC Cable and delivered to licensed qualified conductor manufacturers worldwide for ACCC conductor production and sale into local markets.

*ACCC is a trademark of CTC Cable Corporation

For further information visit our website: www.compositetechcorp.com or contact Investor Relations, 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, resolution of pending and threatened litigation matters of DeWind, resolution of disputes with creditors of DeWind, the final determination of the value of the net assets of DeWind at closing, occurrence of any indemnification events under the asset purchase agreements, competition with larger companies, development of and demand for a new technology, our customers' fulfillment of payment obligations under the respective supply agreement, general economic conditions, the availability of funds for capital expenditure and financing in general by us and our customers, availability of timely financing, cash flow, securing sufficient quantities of essential raw materials, timely delivery by suppliers, 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/A for fiscal year ended September 30, 2008 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