October 2010
Octave Reservoir Technology Inc. Signs Joint Development and Marketing Agreement with US Seismic Systems, Inc.
Real-time Efficient Monitoring Optic Sensors Will Target the Exploration and Production Markets
Northridge, CA – October 1, 2010 – US Seismic Systems, Inc. (USSI), a subsidiary of Acorn Energy (Nasdaq: ACFN), announced today that it has signed an agreement with Octave Reservoir Technology, whereby USSI will develop a custom miniature fiber optic geophone (MFOG) for use in Octave’s seismic reservoir monitoring system, which will be sold by Octave to the Exploration and Production (E&P) markets. Octave is a leader in providing Wireless Sensor Network and Auto-ID software solutions that deliver real time data to the E&P markets.
The agreement provides a framework for a long term supply agreement whereby USSI will develop the proprietary MFOG specifically for Octave’s slimhole tool, and will build optical sensor arrays to support their services. The combination of the USSI’s best in class fiber optic sensor technology with Octave’s superior service model will allow Octave to deliver a cost-effective, competitive reservoir surveillance service for both passive microseismic surveys and active projects.
“When considering the lack of monitoring solutions for hot deep plays like the Eagle Ford and Marcellus, USSI’s fiber technology lets us package a superior tool capable of permanent operation at the very high temperatures and pressures being demanded by oilfield operators. For both on and offshore applications, the decision was evident and clear. We share a common vision for the oilfield and look forward to maximizing the value of this strategic relationship for our clients.” stated Scott Taylor, the President of Octave.
“Octave is an ideal channel partner for us,” stated Jim Andersen, CEO of US Seismic Systems, Inc., “They planned to introduce a new service to the E&P industry but after substantial research, determined that the existing sensor technology was not adequate. After participating with us and reviewing the results from joint tests, they selected our technology for their new Mustang Slimhole tool.”
USSI’s new fiber optic sensors, powered only by light, are designed to detect intrusions, pipeline leaks, strain, and seismic waves, replacing the existing 50-year old copper wire-based sensors that are in widespread use throughout the oil Exploration and Production (E&P) industry.
About Octave Technologies Inc. Octave Technology builds leading edge software products for data management and integration of sensor technologies. Octave’s flagship product, the OCTAVEX™ Wireless Sensor Framework, is the world’s most complete and comprehensive software for extracting and analyzing information from any type of wireless sensor. The framework is designed to significantly decrease development time and lower costs and risks for software developers, systems integrators, end users, and original equipment manufacturers (OEMs) who are building wireless sensor solutions. For more information on Octave Technology, please email info@octavetech.com or visit: www.octavetech.com
About US Seismic Systems, Inc.
US Seismic Systems, Inc. (“USSI”) designs, integrates, manufactures, and sells fiber optic sensing systems and solutions for the Energy and Defence markets. USSI utilizes all-optical fiber sensing technology for its state-of-the-art sensors. Use’s proprietary optical fiber and electronics combine to form the sensor system. It is designed to replace the legacy electronic-based sensor systems at a lower cost and with improved performance and reliability. For more information visit the USSI website at: www.ussensorsystems.com
About Acorn Energy
Acorn Energy, Inc. (NASDAQ: ACFN) is a publicly-traded holding company with equity interests in CoaLogix, DSIT, GridSense and U.S. Sensor Systems Inc. These companies leverage advanced technologies to transform and upgrade the energy infrastructure around the world. Acorn companies are focused on three problems in the energy sector: improving the efficiency of the energy grid, reducing the risk for owners of large energy assets, and reducing the environmental impact of the energy sector. Acorn's strategy is to take primarily controlling positions in companies led by great entrepreneurs. For more information visit http://www.acornenergy.com
Safe Harbor Statement
This press release includes forward-looking statements, which are subject to risks and uncertainties. There is no assurance that US Seismic Systems, Inc. or Acorn Energy, Inc. will continue to grow their respective businesses, execute the initiatives described above or meet the expectations described above. A complete discussion of the risks and uncertainties which may affect Acorn Energy's business generally and the businesses of its subsidiaries is included in "Risk Factors" in the Company's most recent Annual Report on Form 10-K as filed by the Company with the Securities and Exchange Commission.
Investor Contact:
Paul Henning
Cameron Associates
(212) 245-8800
Paul@cameronassoc.com
