SOURCE: Composite Technology Corporation

January 31, 2008 08:05 ET

Composite Technology's DeWind Announces Sale of 40 Turbines

80 Megawatts of Turbines for Projects in Czech Republic

IRVINE, CA--(Marketwire - January 31, 2008) - Composite Technology Corporation (CTC) (OTCBB: CPTC) announced today that its subsidiary DeWind has received an order from S&M CZ s.r.o. to buy a total of 40 DeWind turbines without towers for 61,440,000 Euros (approximately $90 million). The Turbine Sales Agreement consists of 40 DeWind 2.0 megawatt D8 turbines for installation at multiple sites in the Czech Republic. The D8 turbines will be assembled at the TECO Westinghouse facility in Round Rock, Texas. Towers will be provided by the customer. The delivery schedule requires 10 turbines to be shipped in the fourth quarter of 2008 and 30 turbines delivered throughout 2009. Subject to the terms and conditions of the agreement the entire purchase price is guaranteed by the customer's bank. This is a repeat order from S&M CZ, who purchased and received two D8 turbines from DeWind in 2007 and will take delivery of seven DeWind D6 turbines in the coming weeks.

Benton Wilcoxon, CEO of CTC, stated, "We are pleased to continue our history of selling high performance turbines to the European market. With our manufacturing capability and established supply chain, DeWind is poised to move forward in several geographic markets."

S&M CZ s.r.o., a project development company, is located in Jevicko, Czech Republic, and has wind farm projects in Zipotin, Anenska Studanka, Ostry Kamen, Vychodni Cechy, Morava and Olomucko. Since its formation in March 2003, S&M CZ has been actively working in the Czech Republic renewable energy sector, with its first wind turbine installed in 2004.

About CTC:

Composite Technology Corporation, based in Irvine, California, USA develops, manufactures and sells innovative high performance electrical transmission and renewable energy generation products through its subsidiaries:

--  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 50Hz and 60Hz; 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 with a synchronous AC generator connected
    directly to the grid at high voltage without the use of power conversion
    electronics. The first 60Hz D8.2 is now being installed at a site in
    Sweetwater, Texas, and will initially be used for demonstration. DeWind
    D8.2 turbines are now being assembled at TECO Westinghouse Motor Company in
    Texas, for our North and South American customers.
    
--  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
    enable 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 rod is
    delivered to qualified conductor manufacturers worldwide for local ACCC
    conductor production and resale into local markets.
    

For further information visit our website: www.compositetechcorp.com.

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 (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 its 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