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Coates International, Ltd.: Coates Signs Letter of Intent With Marathon Electric to Supply Generators

^{Published on 2009-03-10 11:11:36, Last Modified on 2009-03-10 11:12:31 - Market Wire}
 

WALL TOWNSHIP, NJ--(Marketwire - March 10, 2009) - Coates International, Ltd. (OTCBB: [ COTE ]) announced today that it signed a letter of intent with Marathon Electric Manufacturing Corp. to supply generators and components for production of its Natural Gas Fueled Industrial CSRV Electric Power Generators. Marathon is one of the Regal Beloit Corporation family of companies.

George J. Coates, President and CEO added:

-- We entered into an agreement with Cummins Power Systems (part of Cummins Inc.) to supply Industrial Engine Blocks and components to the Company for our manufacturing activities.

-- We anticipate that we will be sourcing components and manufacturing parts from approximately 40 other suppliers for our initial production ramp-up.

-- We have also approached training centers and colleges in the geographical area where we are currently contemplating establishing our manufacturing operations. These academic institutions have expressed interest in assisting us with the task of training and developing new plant workers which we will be recruiting in anticipation of the commencement of production. Included in a written proposal from state officials that have been actively working to secure our commitment to establish our manufacturing operations within their state is a discussion of available business and tax incentives that would defray a portion of the cost of these training programs. The academic institutions that have expressed such an interest in training and developing our new employees include:

 -- Northeast Technology Center (NTC) -- Northeastern Oklahoma A&M College -- Northeastern Oklahoma College 

The industrial complex we are considering for our initial manufacturing operations consists of an approximately 1,415,000 square foot manufacturing plant and an additional 34 acres which could be used for potential outdoor storage.

Additional information about the Company, including photos and videos are available at our Coates News website, [ www.mostadvancedengine.com ]. Readers may also visit our corporate website at [ www.coatesengine.com ].

About Coates International, Ltd.: Coates has been developing, over a period of more than 15 years, a patented spherical rotary valve CSRV Internal Combustion Engine, invented by George J. Coates and his son Gregory. The CSRV system is adaptable to combustion engines of many types. This technology is currently adapted to a number of practical applications, including industrial generators powered by engines incorporating the CSRV technology and designed to run on flare-off gas from oil wells, landfill gas and raw natural gas. The Company is actively engaged in preparing for the commencement of manufacturing of products for this technology.

This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. By their nature, forward-looking statements and forecasts involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the near future. There are a number of factors that could cause actual results and developments to differ materially from forecasted results. These risks and uncertainties include market conditions, regulatory approvals, and other risks inherent in our operations. For a discussion of these risks and uncertainties, please see our filings with the Securities and Exchange Commission. Our public filings with the SEC may be viewed and printed on the website maintained by the SEC at [ http://www.sec.gov ].