Tanfield Regulatory News (TAN)

22 Jan 2007 07:01

Tanfield Group PLC22 January 2007 Tanfield Group PLC ('Tanfield' or 'the Group') Trading Update Tanfield to Launch Electric Vehicle for North America; Strengthens Supplier Partnership Agreement with Enova Smith Electric Vehicles, a trading division of The Tanfield Group Plc (TAN), ispleased to announce that it has entered into a significant production supplyagreement with Enova Systems (AMEX: ENA and AIM: ENV and ENVS); a leadingdeveloper of proprietary electric, hybrid and fuel cell digital powermanagement systems. Tanfield has worked in partnership over several months with Enova, to developtwo high performance electric drive train systems for a Smith Electric Vehicleszero emission van and truck respectively. Under the agreement, Enova will exclusively supply a minimum of 200 electric drive trains to Tanfield during2007. Tanfield will integrate a 120kw electric drive system into the SmithNewton, the world's first zero emission 7.5t truck. A 90kw electric drive systemwill be installed in the Smith Edison, the world's first all-electric 3.5t van. Enova will also work in partnership with Tanfield to develop an electric drivetrain for a 12 ton version of the Smith Newton, specifically designed for theNorth American market. Darren Kell, Chief Executive of The Tanfield Group Plc, said: "We are developinga US-version of Newton ahead of schedule in order to fully exploit growingdemand for our zero emission vehicles in North America. "Tanfield is already in negotiations with a US-based global consumer brand,along with several global logistics operators, over the supply of Newtonvehicles into their North American urban delivery fleets." "The Enova components contribute towards a best-of-breed solution for our class-leading electric vehicles. "We will work closely with Enova on the development of future products in theSmith Electric Vehicles portfolio, for both Europe and North America." Mike Staran, Enova's Executive Vice President, said: "This production agreementwith Tanfield consolidates our position as a market leader for electric drivetrains. "But more importantly, the development of a solution for Smith Newton for NorthAmerica offers a truly enormous opportunity for further volume sales, throughthe supply of solutions for Smith vehicles in the USA and Canada. Tanfield israpidly establishing its position as the world's leading commercial electricvehicle manufacturer and Enova is convinced that there is significant untappeddemand for battery-powered vehicles worldwide - and that Tanfield's vehiclescan exploit this opportunity. "The volume potential and market size, with a customer such as Tanfield, issignificant in both the short and long term. We are delighted that Tanfield hasselected us as their partner and we look forward to further optimizing our relationship with them." Enquiries: Darren Kell, Chief Executive,The Tanfield Group Plc Tel. 0845 1557 755 Tom JenkinsDaniel Stewart & Company Plc Tel. 020 7776 6550 Media Enquiries: Dan JenkinsThe Tanfield Group Plc Tel. 0845 1557 755 ENDS This information is provided by RNS The company news service from the London Stock Exchange