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Press Releases
» December,
1998
Through the introduction of a computer aided design capability, AET
has been able to accelerate the process of determining the design parameters
for production models of the OX2 engine. A number of engines are currently
being produced with engine components being manufactured under contract
by specialist engineering companies. As production style engines are
built, each will undergo a test program that will monitor all aspects
of engine operation, demonstrating the full potential of the OX2 engine.
In October 1996 AET entered into a Licensing
Agreement with OX2 Engine (Distribution) LTD, hereinafter referred
to as the "Grantor",
for the right to manufacture, distribute and market the OX2 engine.
Page two items 2.1, 2.1.1 and 2.1.2. of the Agreement deals specifically
with the issuance of AET common shares to the Grantor. To date, 20,000,000
shares have been issued, however, the Agreement calls for an additional
19,000,000 shares to be issued after certain events take place.
It is now the Grantor’s opinion that this issuance of additional
shares could have a negative effect on AET’s ability to commercialize
the OX2 engine. The Grantor feels that AET and its public shareholders
could incur financial harm if these additional 19,000,000 shares were
issued.
In consideration for the excellent performance
by AET in it’s
effort to commercialize the OX2 engine and for the strong support shareholders
of AET have given the company, the Grantor has made a decision to rescind
that portion of the Licensing Agreement, calling for the future issuance
of additional 19,000,000 shares.
AET has received an executed amendment to the
1996 Licensing Agreement, effectively canceling AET’s commitment
to issue the additional 19,000,000 shares as called for in article
2.1.2 of the Licensing Agreement between AET and the Grantor in consideration
for a sum of $100 US.
The amendment to the Licensing Agreement has been accepted by AET
and the consideration of US$100 has been paid.
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