First Commercial Order

MicroFuze International plc 20 April 2006 20 APRIL 2006 Doug Parrish, CEO, MicroFuze International plc 020-7016-5100 Tim Wall, Finance Director, MicroFuze International plc 020-7016-5100 Henry Gewanter, PR, Positive Profile 020-7489-2028 FIRST COMMERCIAL ORDER FOR MICROFUZE INTERNATIONAL PLC (MFZ) MicroFuze International plc has won its first commercial order following its AIM flotation in February 2006. Diffusion Technologies, Inc. of Saraland, Alabama is to use MicroFuze's US subsidiary, Tesla USA Inc., to chrome diffuse 80,000 studs for use in the pulp and paper industry. The studs are welded into the black liquor cooling panels to reduce corrosion and erosion in heat exchange boilers. Diffusion Technologies is an industry leader in the maintenance of black liquor boilers for energy extraction and a tier one supplier to the pulp and paper industry. Diffusion Technologies is already testing Tesla's microwave treated products and finds significant advantages in using microwave treated products over conventional diffusion. The microwave diffusion of chrome for studs takes place within a few hours, replacing conventional processes that take several days, and make products that are more consistent in quality and superior in welding characteristics. Tesla will process the order through its existing microwave installation in Chattanooga, Tennessee starting immediately. MicroFuze is confident that this order will be followed by several more, increasing in size as the new, larger and more efficient commercial production microwaves are commissioned. Doug Parrish, Chief Executive Officer of MicroFuze, added: 'I'm delighted to sign our first contract so soon after our recent flotation. This exciting new technology has already attracted the attention of some of the world's leading multinational companies in key industries including automotive, chemical, defence, health, power generation, textiles and aviation and I'm looking forward to announcing more contracts and the commission of new microwaves soon.' Fred Pace, Vice President of Diffusion Technologies, said, 'We've already tested Tesla's early prototype studs and know that these products are easier to weld. Micrographic analysis confirms less porosity and decarburisation, which gives us confidence that diffused studs from a microwave will exhibit superior wear characteristics. I am looking forward to increasing my order with Tesla once they bring on larger commercial microwaves.' END. Notes to Editors: MicroFuze International MicroFuze is a metals technology company which owns, through its 85% owned subsidiary Tesla USA, Inc. (TUI), the sole licence to commercialise the US Department of Energy's patented process for Microwave Diffusion Treatment ('MDT') discovered by their Oak Ridge, Tennessee Nuclear Research Facility. The US Department of Energy retains a 10% interest in TUI and Harley Grant, the Oak Ridge inventor of the process, holds the remaining 5% of TUI shares. Because MDT is quicker, cheaper and cleaner than all known existing surface treatments of metals, it provides significant physical, economic and environmental advantages. MDT can make cheap steel nearly impenetrable and has endless potential uses for parts, components and accessories which require hardening, lubricity, wear resistance and corrosion protection. Industries that will benefit from MDT include power generation, automotive, aeronautical and general manufacturing in a global market worth US$6 billion annually. Diffusion Technologies Diffusion Technologies, Inc is an industry leader in the maintenance of black liquor boilers for energy extraction and a tier one supplier to the pulp and paper industry. Diffusion is a specialist in installation and repair of studs in black liquor boilers and supplies multi-national corporations in southern USA. This information is provided by RNS The company news service from the London Stock Exchange
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