PROVO, Utah, March 20 /PRNewswire/ -- Galtech Semiconductor Materials Corp. (OTC Bulletin Board: GTSM) today announced the following information regarding its progress in commercial development of compound semiconductor materials. Building on progress reported in our last press release and outlined in the "White Paper" posted on Galtech's website http://www.galtech-corp.com. Galtech is conducting pilot production of Cadmium Zinc Telluride(CZT). This pilot production program will lead to the commercial production compound semiconductor material. The company, to begin a targeted rollout of its CZT substrate material, has established contact with a selected aerospace company for the purpose of becoming a qualified supplier. Due to the very limited number of suppliers of large area CZT substrate material Galtech's inquiries were met with enthusiasm and this company is actively encouraging the companies efforts to become qualified. Since the "White Paper" on Galtech's website, http://www.galtech-corp.com, was posted late last year, we have received a number of very positive reviews and contacts with potential customers in both the United States and Europe. All of these companies have expressed keen interest in Cadmium Zinc Telluride(CZT) instead of the Cadmium Telluride (CT) grown last year and discussed in the white paper. Based on these inquiries and our own assessment of the potential markets involved, we have decided to accelerate our development of CZT substrates. The decision to accelerate development of CZT was due to four important reasons: 1) The market for CZT is many times larger than the market for CT, 2) all request for samples from potential customers have been for CZT, 3) the equipment and processes are the same for both, 4) CZT has a number of desirable characteristics that CT does not have, and thus has a wider field of application possibilities. Accordingly, Galtech is concentrating on two major efforts, one related to market research and the other related to crystal growth. The companies requesting CZT substrates for evaluation have indicated desires for different levels of doping, Cad-Zinc ratios, and other characteristics. While we are assessing each potential opportunity (e.g. costs, margins, sales, etc.) we are going forward with our efforts to grow a crystal specifically for gamma-ray detectors as requested by the national laboratory. Therefore based on the company's past success with the national laboratory and their stated material preference, our current crystal growth is focused on CZT that is designed to meet their specifications. The flexibility and robust nature of the company's plant and equipment has allowed us to accommodate these process and product changes without further modifications. Further, to pave the way for future growth, Galtech is actively developing relationships with important target industry groups. Galtech's stated long term goal is to supply devices based on CZT as detectors for use in dynamic digital radiography (DR) in medical imaging. To this end, the company has begun the business development study required to enter this important marketplace. Initial results of this effort are very favorable and support our belief that devices, based on Galtech produced substrates can open up a large and untapped market in this industry group. In other developments, the Company is pleased to announce that the Securities and Exchange Commission has given final approval to Galtech's SB2 request. This will allow Galtech to obtain additional funding for current and future development efforts. Additionally, Galtech was the subject of a very favorable magazine article in the Jan-Feb 2001 issue of Compound Semiconductor Magazine. The article can be seen on the Company's website at http://www.galtech-corp.com. For general information on Galtech Semiconductor Material please go to the company's website or contact William Tunnell at (623)825-2550. This document includes forward looking statements that involve risks and uncertainties. It is not a solicitation to purchase or sell securities of Galtech Semiconductor Material Corporation. Readers should consult with their own independent tax, business or financial advisors with respect to any investment in this company.
SOURCE Galtech Semiconductor Materials Corp.