ALTERNATIVE FUEL SYSTEMS INC. ANNOUNCES A CLARIFICATION TO THE FINANCIAL POST ARTICLE OF MARCH 26, 1998
CALGARY, March 27 /CNW/ - Alternative Fuel Systems Inc., (''AFS'' or the
''Company'') announced to day that the Financial Post article of March 26,
1998 included certain statements which requires further clarification.
AFS has a firm contract with Convertidores Cataliticos Mexicanos
(''CCM'') for 1,080 Sparrow Conversion Systems valued at approximately
$2,000,000
CCM is the exclusive supplier of conversion equipment to Combustibles
Ecologicos Mexicanos S.A. de C.V.(''CEM'') which is owned equally by MEG
International, a joint venture of Hydro-Quebec and Gaz de France and Pan
American Enterprises, a company controlled by the major shareholder of CCM.
CEM's mandate is to build and operate compressed natural gas (''CNG'')
filling stations in Mexico and convert 300,000 cars and 48,000 mini-buses to
CNG during the next ten years. The first two filling stations each capable of
fueling up to 1,600 vehicles will be in operation in the summer of 1998. AFS
is expecting a follow up contract for more conversion systems in order for
these stations to operate at optimum capacity.
AFS and CCM entered into a letter of intent on January 13, 1998 which
stipulates the delivery of minimum 10,000 conversion systems per year for the
next ten years solely within the Valley of Mexico.
ON BEHALF OF THE BOARD OF DIRECTORS
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Gerhard O. Klopp
President |
