PENNINGTON, N.J., June 20, 2005 (PRIMEZONE) -- The CEO of WorldWater and Power Corporation, Quentin T. Kelly, will issue an update of the Company's progress at its Annual Shareholder Meeting June 22. In the report to be presented at the meeting at Hopewell Valley Golf Club, he will outline the Company's course in establishing itself as a leader in the market for high horsepower solar systems and large solar net metering projects, declaring that "WorldWater is on its way to its fourth consecutive year of strong revenue growth."
Year Revenue Backlog ---- -------- ------- 2001 $241,000 2002 $644,000 2003 $1,280,000 2004 $5,837,000 2005 (6 months) $12,600,000
"In the first six months of 2005, WorldWater & Power has a contract backlog of $12.6 million in sales scheduled for completion this year, representing a 110 percent increase over 2004," Mr. Kelly continues. "This impressive and continuous growth in annual revenues and contract backlog reflects the increasing demand for our products and services in the energy marketplace and is a testimony to the hard work and dedication of our employees."
Other highlights of the report:
Technology: WorldWater & Power has continued to expand and strengthen its intellectual property portfolio, and believes it has valuable proprietary technology in important niches of the alternative energy market. In the past four years, the Company has obtained patents and continuations-in-part for its newly developed electronics systems and filed for protections of its patents in the Philippines. The Company currently has six patents approved, pending, or in process.
Markets: Since 2002, when WorldWater launched its AquaMax(tm) product line representing the world's most powerful solar pumping systems, the Company has become a recognized energy provider to three high priority markets - agriculture/irrigation, food processing, and water utilities.
Agriculture/Irrigation - WorldWater & Power has installed America's two largest solar powered irrigation pumping systems - a 200 hp system at Seley Ranch and a 50 hp system at Locke Ranch, both in California. The system at Locke Ranch has been operating successfully for more than 2 1/2 years, and has kept the irrigation system pumping through electrical blackouts, and the customer has gone on record recommending the Company's products. The Seley system has been running successfully for seven months, and the owner has allowed the Company to use his ranch as a showcase to demonstrate the system to other potential customers, and has entered into a marketing representation relationship to expand into the dairy industry.
Food Processing - WorldWater & Power has installed the largest solar powered hydrocooling system on a farm in California, a 350 hp compressor pump used to cool potatoes during processing. The owner reports that the system has effectively eliminated electricity costs for his operation.
Water Utilities - WorldWater and Power is currently working on its first two solar installations for municipal water utilities, for the Idyllwild Water District in California and for the Atlantic County Utilities Authority (Atlantic City) wastewater treatment plant in New Jersey. In April, the Company was selected for special attention by the Association of California Water Agencies (ACWA), the largest such association in the country, representing 447 California water utilities. WorldWater is one of only two companies chosen as Preferred Solar Partners recommended to ACWA's members. California represents a large market for WorldWater's products and services, and the Company is working aggressively to follow up on ACWA's endorsement and the many leads it has already generated.
General Solar Energy Market - In addition to niche markets that utilize the Company's expertise in high horsepower solar systems and water management, WorldWater has also established itself as a leader in large commercial solar installations providing electricity to the grid. Last year, WorldWater implemented the largest solar installation on a community college campus. The 1,132,200 KW systems at Cerro Coso Community College in California provides 60 percent of the college's energy and, according to the college, is saving more than $300,000 per year in electric bills. The Company will continue to pursue aggressively this rapidly growing market, and believes that its proprietary technologies can offer high horsepower capability and seamless switching technology for emergency backup systems that competitors cannot duplicate.
The Company also has several contracts for residential solar energy projects in New Jersey and in California, and last week announced the creation of a new Residential Sales Division to take advantage of the large residential rebate incentives in New Jersey and the Million Solar Roofs Bill now awaiting action by the California State Assembly.
Overseas Markets - WorldWater & Power believes that the market for their products and services in developing countries, which have large populations not tied to the electric grid, represents revenue potential as large as or larger than even the burgeoning domestic market. Because of the financial constraints in developing countries, this market has taken longer to develop. The Company has made important progress in several regions that it believes will in the long run be significant markets. WorldWater & Power has established strategic partnerships with large companies in China, India and Iraq, and is working on securing financing for water and electric infrastructure projects in Sri Lanka, Somalia, and the Philippines. While efforts in overseas markets will continue, largely through strategic partnerships, the Company has made the domestic market its clear priority and the majority of the Company's resources are allocated to the domestic U.S. market.
Worldwide Solar and Water Needs - The need for and cost of water worldwide are growing rapidly. Based on estimates by the United Nations Development Programme and the World Bank, $8 billion annually is currently being spent to provide safe drinking water in developing countries, and the cost of bringing clean water to the two billion people who are without access to safe drinking water will be approximately $50 per person, or $100 billion total, over the next five years. Governments may be forced to re-allocate their funding resources to address what the World Bank says will be a major problem of the 21st century - water shortages.
The challenge of how to bring safe drinking water and electricity to rural households in need is one focus of WorldWater's proprietary solar technology. Solar energy supplies more energy in one hour than the world uses in one year, so it is an abundant resource well suited to the dispersed communities off the electrical grid, without the negative pollution attributes of fossil fuels. WorldWater & Power Corp. is well positioned to service this growing demand for sustainable potable water supplies using efficient, cost effective, non-polluting technology.
WorldWater & Power continues to believe that the solar energy market, particularly as it applies to large industrial electricity and water projects, presents an enormous market opportunity and that the Company is uniquely positioned to succeed in this market. The photovoltaic (PV) industry has more than doubled in the past few years, and by 2020, worldwide annual PV direct sales are estimated to be $27 billion and related sales are estimated to be more than $50 billion per year, as stated by the U.S. National Renewable Energy Laboratory report, "Photovoltaic: Energy for the New Millennium," January 1, 2000. Advances in PV technology and corresponding reduction in costs, in addition to enhanced state and federal rebate programs, continue to fuel the increasing demand for PV power. Great potential for PV technology also lies in developing countries, where two billion people lack electricity and sufficient clean water access. Applications range from remote pumping, irrigation, telecommunications and lighting to complete community power systems.
The task of bringing new technologies to large industrial markets is not an easy one. First, many bright people must persevere for years in order to develop these innovations to the point where they can be commercialized; WorldWater's team of researchers and engineers has done this. Second, it must be demonstrated to a skeptical market that the technology functions well and reliably, and that the economics are viable; WorldWater has done this as well by installing industry landmark systems and keeping customers satisfied. Only after accomplishing both of these can a company achieve broad market acceptance and concurrent rapid sales growth with increased margins. WorldWater & Power believes that, thanks to the hard work of dedicated staff and to the support of their shareholders, they are at this stage now.
For more information about WorldWater & Power Corp., visit their website at www.worldwater.com.
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Forward Looking Statement
Except for historical information contained herein, this document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks and uncertainties that may cause the Company's actual results or outcomes to be materially different from those anticipated and discussed herein. Further, the Company operates in industries where securities values may be volatile and may be influenced by regulatory and other factors beyond the Company's control. Other important factors that the Company believes might cause such differences are discussed in the risk factors detailed in the Company's 10-KSB and its quarterly reports on Form 10-QSB both as filed with the Securities and Exchange Commission, which include the Company's cash flow difficulties, dependence on significant customers, and rapid development of technology, among other risks. In assessing forward-looking statements contained herein, readers are urged to carefully read all cautionary statements contained in the Company's filings with the Securities and Exchange Commission.