LAKE FOREST, Calif., March 20, 2014 /PRNewswire/ -- Quantum Fuel Systems Technologies Worldwide, Inc. (NASDAQ: QTWW), a global leader in compressed natural gas (CNG) storage systems, integration and vehicle system technologies, today announced that it recently delivered several pre-production units of an advanced CNG fuel storage and delivery system, including the control software for the fuel system and engine, to ZHRO (ZHRO™ Solutions LLC, based in Chandler, Arizona) as part of an on-going development agreement between the two companies. These systems are coupled with ZHRO's revolutionary natural gas injection/engine conversion system and are being used as part of a pre-production test fleet at ZHRO and will be used for both on-road testing on heavy duty trucks as well as bench testing.
To date, Quantum has received approximately $6.0 million in development contracts from ZHRO and the delivery of these pre-production units represents a continuation of the work to develop a fully-integrated CNG storage and fuel delivery system for robust and cost-effective aftermarket conversions of heavy duty diesel fleets to run on natural gas. The fuel system module being developed by Quantum includes its industry-leading high capacity ultra-lightweight Q-Lite™ CNG fuel storage tanks, the integration of all the fuel delivery components and the control software to operate the fuel system. In addition, Quantum is overseeing the development of the engine control software in order to operate the engine efficiently with ZHRO's innovative fuel injection system.
The production systems are planned to be delivered to ZHRO in the second half of 2014 and will leverage Quantum's decades of experience developing, validating, and commercializing production fuel systems and control software for natural gas, hydrogen and hybrid-electric OEM vehicles.
ZHRO has developed an operating and marketing model to accelerate the commercial launch of their breakthrough technology and has already contracted with a significant number of North American distributors for sales and installation of ZHRO's fuel injector/engine conversion system.
"We are excited about the delivery of these pre-production units and the overall development efforts as it marks a definitive path toward commercialization with ZHRO Solutions," said Brian Olson, President and CEO of Quantum.
"We are very pleased with Quantum's significant advancements toward the development and commercialization of our fuel system and we are excited to take the next step in testing the pre-production kits and move closer toward commercialization," said John Madrigal, COO of ZHRO Solutions, LLC.
Under a strategic development agreement, Quantum and ZHRO are developing a cost-effective, complete natural gas aftermarket system solution for the nation's estimated 4 million medium and heavy duty trucks currently running on expensive diesel fuel, enabling fleet operators to benefit from lower operating costs and a reduction in exhaust particulate matter and emissions made possible by a dedicated conversion to natural gas from diesel.
Quantum Fuel Systems Technologies Worldwide, Inc. is a leader in the innovation, development and production of natural gas fuel storage systems and the integration of vehicle system technologies, including engine and vehicle control systems and drivetrains. Quantum produces one of the most innovative, advanced, and light-weight compressed natural gas storage tanks in the world, and supplies these tanks, in addition to fully-integrated natural gas storage systems, to truck and automotive OEMs and aftermarket and OEM truck integrators. Quantum provides low emission and fast-to-market solutions to support the integration and production of natural gas fuel and storage systems, hybrid, fuel cell, and specialty vehicles, as well as modular, transportable hydrogen refueling stations. Quantum is headquartered in Lake Forest, California, and has operations and affiliations in the United States, Canada, and India.
ZHRO Solutions, LLC is an innovative Clean-Tech company headquartered in Chandler, AZ that is focused on developing and commercializing proprietary advanced technology for use in the conversion of heavy duty diesel trucks to natural gas.
Forward Looking Statements:
This press release contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. All statements included in this report, other than those that are historical, are forward-looking statements and can generally be identified by words such as "may," "could," "will," "should," "assume," "expect," "anticipate," "plan," "intend," "believe," "predict," "estimate," "forecast," "outlook," "potential," or "continue," or the negative of these terms, and other comparable terminology. Various risks and other factors could cause actual results, and actual events that occur, to differ materially from those contemplated by the forward looking statements. Risk factors include the successful validation and commercialization of the CNG fuel system module by Quantum, the successful validation and commercialization of injection systems by ZHRO, market acceptance of the developed CNG fuel system and the continued cost-effectiveness of natural gas fuel. For a complete description of all risk factors affecting our business, you are encouraged to review the Risk Factors section of our Annual Report on Form 10-K for the year ended December 31, 2013 filed with the Securities and Exchange Commission. Except as otherwise required by law, Quantum undertakes no obligation to update the information in this press release to reflect events or circumstances after the date hereof or to reflect the occurrence of anticipated or unanticipated events.
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SOURCE Quantum Fuel Systems Technologies Worldwide, Inc.