VYCON Announces Purchase of the VYCON REGEN System by PSA Korean Port Operation Incheon Container Terminal (ICT)

February 26, 2006

This sale is the first to utilize a reduced output diesel engine which doubles the return on investment.

Los Angeles – VYCON, a leader in the design and manufacture of green tech, high cycling energy storage flywheel systems, today announced that the Incheon Container Terminal (ICT) in Korea has purchased a REGEN unit to maximize fuel savings on their Rubber Tired Gantry (RTG) cranes. This marks the first installation of the REGEN system in Asia. The increasing price of diesel fuel in Korea gave ICT the impetus to conclude discussions and purchase the REGEN system. Over the past 6 months Korea has experienced an increase in diesel fuel costs of 30%. 

For ICT, the goal of this initial purchase is to integrate the REGEN system with a reduced output diesel engine to measure and verify fuel savings. Based on positive results from this integration, ICT plans on retrofitting an additional 7 existing RTG’s at their site, and will be purchasing 8 new RTGs in 2008 that will have the REGEN system installed by the manufacturer prior to delivery. 

Fuel savings are achieved through the REGEN’s ability to harness the power generated during the lifting operations and use it during the crane’s peak lifting cycles. Because of the duty cycle of the RTG crane, the reduced output diesel engine will provide additional fuel savings during idling. Exclusively with the support of the REGEN system, an RTG crane can be retrofitted with a lower output diesel engine. Expected fuel savings are in the range of 30 to 45% with this design. 

“This application is the next step in the introduction of our REGEN system into the shipyard crane market. As operators overhaul their diesel engines, they will have the opportunity to replace them with smaller engines at the same cost of overhaul and 12880 Moore Street Cerritos, CA 90703 Phone: +1-562-293-1360 Website: www.vyconenergy.com achieve double the fuel savings with the REGEN system. This also reduces the operators’ return on investment time period, which should be even more attractive to port operators around the world” said Louis Romo, Vice President Business Development, VYCON. 

VYCON has successfully launched the REGEN system in the ports of Southern California as an emission reduction system, offering up to 67% decrease in Particulate Matter (PM) emissions. Using the REGEN system will allow operators to install smaller output diesel engines and not only improve on the emission reduction but also increases the fuel savings from 20-25% with the REGEN alone to 30-45% in combination with the smaller engine. 

About VYCON, Inc.

Established in 2002, VYCON is an innovator in the design and manufacture of technologically advanced, green tech, high cycling flywheel based energy storage systems. The company strives to address the needs of the crane, power quality, rail, and uninterruptable power supply (UPS) markets. VYCON’s products provide a cost effective, reliable energy solution for a variety of applications. For more information, visit . Media inquiries: Victoria Rierdan Hurley, Grabiner/Hall, Victoria@grabinerhall.com or 310 993 1840 

About Incheon Container Terminal

Incheon Container Terminal Co.,Ltd(ICT) shall be the first foreign port investment in Incheon, South Korea. ICT has been developed to offer world class container terminal facilities so as to better serve the Greater Seoul Region into the future. We are managed directly by PSA International Pte. Ltd., a world renowned port operator from Singapore that has extensive experience and reputation in this industry.