Last checked at 9 Mar 2015 07:00
9 March 2015 Transense Technologies PLC ("Transense" or the "Company")
First Rental Contract Win for iTrack
Transense Technologies plc (AIM: TRT), the provider of sensor systems for the transportation and industrial markets, is pleased to announce that Translogik, its trading division providing tyre management solutions, has won a contract through its Australian distributor, Brownfield Engineering and Maintenance PTY LTD ("Brownfield") to supply 23 iTrack mining tyre monitoring systems for large haul trucks to the Ravensworth mine, owned by Glencore Mining ("Glencore").
These systems are to be supplied on a rental and service basis to Glencore via Brownfield. This is the first contract won on this basis, which has only recently been offered as an option to address the capital expenditure budget restrictions which appear to be affecting the mining industry. By offering iTrack on an operating expense basis it allows mining companies to benefit from the productivity gains and overhead savings provided by using the system without any of the associated capital cost, while providing Translogik with a recurring revenue stream.
Although Translogik will still be supplying the sensors on a straightforward sale basis, the rest of the system will be supplied for an initial setup fee, followed by monthly service/rental payments.
Darryl Crowder, CEO of Brownfield said:
"Glencore has been conducting intensive trials of iTrack and 3 other competing systems at its Ravensworth mine. Following the conclusion of these trials, the decision by Glencore to install iTrack on its entire fleet of Caterpillar 797 haul vehicles at this mine confirms our view that the iTrack system has several significant advantages over competing products, not least of which are the array of tools to ease installation and its extremely reliable connectivity. Glencore is one of the largest miners in Australia and we look forward to their use of iTrack expanding further during the coming year. We are also currently engaged in promising trials of iTrack with other mining companies in Australia."
Graham Storey, CEO of Transense, said:
"We are delighted to welcome Glencore, through our distributor Brownfield, to our list of clients. Continuing our initial sales success with iTrack has proven challenging during the current downturn in the mining Industry. This contract marks the first success of our new 'OpEx' scheme, through which users can pay on regular monthly basis. The positive market response we have received to this new option from Glencore and other prospects in the sector offers encouragement that this sales model is starting to overcome the delays in purchase decisions caused by constraints on capital expenditure within the mining industry. We are very pleased with this first success by Brownfield who have demonstrated a strong commitment to the product during these and other ongoing trials."
For more information, please contact:
Transense Technologies plcGraham Storey, Chief Executive | Tel: +44 1869 238 380
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N+1 Singer (Nominated Adviser and Broker)Aubrey Powell, Alex Wright, Thomas Smale | Tel: +44 20 7496 3000
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IFC Advisory (Financial PR)Tim Metcalfe, Graham Herring | Tel: +44 20 3053 8671 |
About Brownfield Engineering and Maintenance PTY
Brownfield provides maintenance and operational support to major mining companies, with three facilities strategically positioned in the Bowen Basin, Hunter Valley & Perth - Australia's premier mining locations.
Brownfield was formed with a focus on supporting the working assets of the mining sector and has been integrated into three key services offerings:Products: mining and associated productsEngineering: engineering services to the mining industryMaintenance: mining maintenance services
http://www.brownfield.com.au/home/
About Translogik
Translogik, a trading division of Transense Technologies plc, is a provider of innovative tyre management solutions for the OTR (Off-the-Road) and commercial vehicle markets
The product portfolio includes wireless tyre temperature & pressure monitoring systems, tread depth, pressure and temperature data collection tools for truck, bus and OTR vehicle tyre inspections, and RFID (Radio Frequency Identification) tags, patches and UHF readers for tyres and general asset tracking.
The Products have been designed to operate in the most hostile and demanding environments, such as mining, earth-moving and construction.
www.trans-logik.com
About iTrack
Translogik's iTrack system provides a rugged and reliable solution with a range of features that allows mine operators to track their vehicle's tyre temperature and pressure, speed, braking and location in real-time and receive early warning of potential problems or hazards.
The availability of live tyre and vehicle data allows swift remedial action to be taken, which can be the difference between safe mine operation and a major incident. By ensuring the vehicle's tyres are operating within recommended temperature and pressure limits, iTrack brings increased levels of safety to both the vehicle drivers and the technicians that work on them. In addition, the system allows for multiple concurrent geo-fence zones to be defined to ensure that vehicles are only operating in approved areas, further increasing the safety of the mine.
From a commercial perspective, by ensuring that tyres are correctly inflated and managed, tyre life is extended, fuel economy is improved and costly down-time from repairs and intervention is reduced, improving productivity. TKPH (Ton Kilometre Per Hour) calculations using loaded/unloaded weights and real-time route cycling allows tyres to be run at higher efficiency based on their TKPH rating (based on size, construction type, rubber compound and hours usage) without overheating or causing premature deterioration.
Alarms trigger when user configurable operational threshold levels, such as tyre temperature, are exceeded, providing early warning of potential tyre or vehicle failure.
About Transense Technologies
Based in Oxfordshire, UK, Transense has developed patent-protected sensor systems and supporting technology for use in a variety of diverse high growth markets. Transense's Surface Acoustic Wave (SAW), wireless, battery-less, sensor systems offer significant advantages over legacy wireless sensor systems. Transense is targeting the global electrical Smart Grid applications market, the transport and mining industries, and the global torque, temperature and pressure sensing markets, via its three trading divisions, IntelliSAW, Translogik and the newly established SAWSense, respectively.
Transense's shares are admitted to trading on AIM, a market operated by the London Stock Exchange (AIM: "TRT").
www.transense.co.uk