Eurocontrol Technics Inc.

Eurocontrol Technics Inc.

March 03, 2008 07:07 ET

Eurocontrol Achieves Commercial Revenues From Petromark™ Sales


TORONTO, ONTARIO--(Marketwire - March 3, 2008) - Eurocontrol Technics Inc. (TSX VENTURE:EUO), a Canadian public company specializing in the acquisition, development and commercialization of innovative authentication, verification and energy security technologies, is pleased to announce that it has released its financial results for the quarter and nine months ended December 31, 2007.

Quarterly Highlights

- Gross sales of $340,178 for Petromark™ were achieved during the quarter with a gross margin of 77%

- Awarded Ugandan Ministry of Energy and Mineral Development fuel marking tender in October, displacing an incumbent competitor

- Implemented a 4 year Ugandan contract with revenue of approximately $1million per year

- Revenue growth in Eastern Europe with expanding European multinational

- Expansion of agreement with GWEST, LLC to include U.S. and Canada

- Subsequent to the quarter end Eurocontrol formed a JV to market Petromark™ in Russia, China, South Korea, India, Libya and Algeria

- Advanced selling and marketing activities in many jurisdictions across the globe

"The third quarter of fiscal 2008 has produced great advances in the Eurocontrol business plan cementing our position as the world's emerging leader in hydrocarbon authentication. Most significantly, our first commercial revenues from the sale of our leading fuel authentication technology Petromark™ were generated during the third quarter from three deployed projects in Eastern Europe and Africa," stated Bruce Rowlands, President & CEO of Eurocontrol. Mr. Rowlands added "Our Petromark™ technology is creating high levels of interest across the globe with both oil companies and government energy regulators. We currently have over a dozen advanced opportunities we are pursuing with either our logistical partner Inspectorate International or our joint venture partner Argentiere Ltd.

The Company recorded a net loss of $319,884 during the quarter ended December 31, 2007 compared to a net loss of $910,558 for the comparable quarter ended December 31, 2006, a decreased loss of $583,649. For the nine months ended December 31, 2007, the Company recorded a net loss of $897,953 compared to $1,794,278 for the nine months ended December 31, 2006. The primary reason for the decreased loss is the result of newly generated revenues during the current quarter ending December 31, 2007. During the comparable quarter in 2006 there was no revenue generated. On gross sales of $340,178, the Company achieved a gross margin of 77%. The Company anticipates achieving continued revenue growth as the Company implements its Petromark™ technology.

"We are gratified by the acceptance and tender successes that have been accomplished with our Petromark™ energy security technology throughout 2007 and now into 2008," stated Hon. Pierre S. Pettigrew, Chairman of Eurocontrol Technics Inc. "With the ever increasing significance and value of the global trade in hydrocarbons, and its strategic influence on international geopolitics, our growing pipeline of business is positioning Eurocontrol as an important partner to oil companies and governments around the world," added Mr. Pettigrew.

About Eurocontrol Technics Inc.

Eurocontrol Technics Inc. through its wholly owned subsidiary Global Fluids International S.A. ("GFI") is one of the world's pioneers in developing and implementing innovative molecular marking systems for the oil industry. Through its proprietary Petromark™ integral system, GFI has developed a 4-part solution consisting of a molecular marker, injection, monitoring and control components. Oil industry cost realities along with GFI's 5-year R&D efforts to create its industry-leading marking solutions, along with access to capital provided by Eurocontrol Technics Inc. allows management to pursue numerous anticipated oil marking opportunities in fiscal 2008 and in years to come.

Cautionary Note Regarding Forward-looking Information

Except for statements of historical fact contained herein, the information in this press release constitutes "forward-looking information" within the meaning of Canadian securities law. Such forward-looking information may be identified by words such as "plans", "proposes", "estimates", "intends", "expects", "believes", "may", "will" and include without limitation, statements regarding the future operating and financial performance of the Company, the execution of this agreement and its implementation and the impact of this agreement on the performance of the Company. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially, include, among others, competition risks, execution risks, country risks, and lack of a history of profitability. Most of these factors are outside the control of the Company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the Company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.


Contact Information

  • Eurocontrol Technics Inc.
    W. Bruce Rowlands
    President and Chief Executive Officer
    (416) 861-5883