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ACTIVEMINE NETWORK RECURRING REVENUES ESTABLISHED
10/6/2009 (BAYSTREET NEWSWIRE) TORONTO, October 6, 2009 - Active Control Technology Inc. (TSX-V:ACT) today announced that several months after its first Room & Pillar coal mine installation of the MSHA approved ActiveMine system, it has now established a baseline to forecast recurring expansion revenues in excess of $250,000 annually at its first mine installation. This is a new mine and has an estimated life span of 25 years.
ActiveMine’s wireless Wi-Fi mesh network equipment was granted final US Mine Safety and Health Administration (MSHA) approval in April 2009 and the company’s first MSHA-approved network was installed in May of this year. Subsequently, the customer has been ordering additional network Wi-Fi nodes as their network grows to accommodate mining advancement.
“After several months of production scale hardening, our first customer is confident in ActiveMine and has begun rolling out our system in their additional mines. We thank our customer for their confidence in us and we look forward to contributing to their success through providing ActiveMine’s excellent voice quality, high-bandwidth data capabilities and accurate tracking,” said Steve Barrett, President and CEO of Active Control.
Typically, using a single continuous mining machine, a coal mine ‘face’ can be advanced 300 or more feet per day across several entries. Coal mines have at least one active face, and some mines can have several active faces being mined simultaneously. Our first customer is at present mining one active face, and an additional active face is anticipated to be brought on-stream in the future.
The Company has an order backlog of over $3 million and to date has installed ActiveMine in three underground coal mines. ACT has nine coal mine customers and aggressively continues to market its solution.
For further discussion of ActiveMine’s revenue model and node expansion in particular, please refer to the company’s Annual Information Form (‘AIF’) which was recently filed at www.sedar.com.
About Active Control Technology
Active Control Technology is a mining services company specializing in advanced wireless productivity and safety systems. The company’s MSHA-approved ActiveMine system provides two-way wireless voice communication, real-time tracking of personnel and assets, and high bandwidth data applications such as streaming video and operational data from mining machinery, over a robust wireless Wi-Fi network. Located in Burlington, Ontario, Canada, Active Control trades publicly on the TSX Venture Exchange under the symbol ACT. For more information, visit www.activecontrol.com.
Get more out of your mine.TM
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For further information, contact:
Steve Barrett, President & CEO
Active Control Technology
Tel.: 905-635-3130
Email: sbarrett@activecontrol.com
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Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements: This press release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as changes in demand for and prices for the products of the Company or the materials required to produce those products, labour relations problems, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. The reader is cautioned not to put undue reliance on such forward-looking statements.
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