Fiber Optic Systems Technology, Inc.

Fiber Optic Systems Technology, Inc.

April 05, 2006 09:00 ET

FOX-TEK Signs Contract For Pipeline Facilities Monitoring

TORONTO, ONTARIO--(CCNMatthews - April 5, 2006) - Fiber Optic Systems Technology, Inc. (TSX VENTURE:FOX) (the "Company" or "FOX-TEK"), a developer of patented fiber optic sensing products, announced today that a major North American liquids pipeline company has purchased an additional FT System. This new system will be installed at one of the company's major terminals.

Gary Jolly, FOX-TEK's President and CEO said "This contract represents another application of FOX-TEK's system in an entirely new area - monitoring pipelines in transfer terminals. Transfer terminals are crucial structures that are common in pipeline networks around the world. The addition of this market significantly expands FOX-TEK's opportunities in the oil and gas industry."

The customer will utilize information from FOX-TEK's non-intrusive monitoring system to gain knowledge of corrosion rates in a transfer pipe at one of its major terminals. These terminals transfer, store, and direct products to other parts of the network or to an end point such as a refinery. The contract value of this one application of the FOX-TEK system within the transfer station is approximately $45,000. FOX-TEK will supply the monitor and sensors, assist in installation, and provide ongoing analysis of the data produced by monitoring.

About Fiber Optic Systems Technology

Established in 2000, FOX-TEK has developed patented fiber optic sensing products that deliver a cost-effective solution for companies to continually monitor their critical infrastructure. The company's primary market is the global oil and gas industry, for the monitoring of pipelines and refineries. In addition to its monitoring systems, FOX-TEK delivers a full range of professional services to its customers, including engineering design services, training, supervision of on-site installation and turnkey fiber optic sensing systems. FOX-TEK is headquartered in Toronto, Ontario and is traded on the TSX Venture Exchange under the symbol "FOX".

This press release contains forward-looking statements based on assumptions, uncertainties, and managements' best estimates of future events. Actual results may differ materially from those currently anticipated. Investors are cautioned that such forward-looking statements involve risks and uncertainties. Important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements are detailed from time to time in FOX-TEK's periodic reports filed with the Ontario Securities Commission and other regulatory authorities. FOX-TEK has no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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

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