Environmental Construction Products International Announces Joint Venture with Korean Engineering Company
DENVER, Jul 3, 2000 /PRNewswire via COMTEX/ -- Environmental Construction Products International (OTC Pink Sheets: ECPI) announced that it has reached a definitive agreement to form a joint venture company with DAE-KWANG Engineering & Construction LTD of YangSan-City KyungNam, Korea for the purposes of utilizing the Econ Panel System technology to fulfill Korean construction contracts obtained by DAE-KWANG Engineering currently valued in excess of $248,000,000. The joint venture company will be called ECP Korea and an initial funding of $300,000 has been completed. Under the terms of the agreement, ECPI will grant a license for its proprietary construction panel technology to the joint venture and will provide a machine to manufacture the panels. It is anticipated that a machine will be shipped to Korea from California within the next two weeks. A panel shipment has already been delivered to Pusan, Korea and the first model home in one of the projects will commence construction before August 1st. DAE-KWANG's contribution to the joint venture will consist of an existing manufacturing facility and adjoining properties along with working capital and projects. In addition to profits generated by ECP Korea, ECPI will receive a royalty fee for the joint venture's use of ECPI's licensed technology. Frank Glinton, CEO of ECPI commented, "This joint venture is a monumental accomplishment for the Company and paves the way for our entrance into the vast Far East construction market. Immediately beginning panel production in Korea is a top priority for both parties to this agreement and each of us is expediting fulfillment of our respective responsibilities." Mr. Glinton also remarked, "With respect to the trading of ECPI's common stock, we are working diligently to meet our SEC filing requirements and are optimistic that this will be achieved soon. Upon meeting those requirements, the Company will aggressively pursue its relisting." This press release may contain forward looking statements that involve risks and uncertainties that could cause actual results to differ materially from the statements contained herein. Such risks and uncertainties include but are not limited to changes in the performance of the financial markets, changes in the demand for and market acceptance of the Company's products and services, changes in the Internet industry, and the impact of competition, and other risks disclosed from time to time in the Company's regulatory reports and filings. For more information, contact Chris Hanneman, Investor Relations, 1-888-226-6588. SOURCE Environmental Construction Products International CONTACT: Chris Hanneman, Investor Relations for Environmental Construction Products International, 1-888-226-6588 (ECPI) |