Orbital secures Mitchell Corp contract

Orbital Corporation has won a contract from Mitchell Corp Australia to develop and manage the road transport company's existing liquefied natural gas truck fleet.

The announcement is below:

Orbital Corporation Limited ("Orbital") (ASX: OEC, OTCBB: OBTMY) is pleased to announce that it has won a multi-phase LNG engine management systems development contract from Mitchell Corp Australia Pty Limited.

Orbital has been engaged by Mitchell Corp to provide engine management expertise and development support for their existing LNG truck fleet. Funding for the first phase has been awarded, with the total project (all phases) potentially valued at more than $1.0 million. The goal of the project is to significantly improve the natural gas substitution rate on Mitchell's existing LNG fleet.

Orbital Chief Executive Officer, Terry Stinson, said the relationship between Mitchell Corp and Orbital would be mutually beneficial, with both companies' objectives well aligned.

"The use of LNG in transport reduces the level of harmful greenhouse gas emissions, is less expensive and will complement Western Australia's growing natural gas industry," Mr Stinson said.

"We view this as the beginning of a long term, strategic relationship and one that will improve Mitchells over-all profitability, competiveness and fits well with Orbital's alternative fuels strategic growth plans."

"We are pleased to be working with Orbital on this project and see this as an opportunity to improve the environment while creating opportunities for growth, with more emission friendly advanced technology in Western Australia," said Mitchells Managing Director, Ian Kent.

With success, this project will develop into a broader Orbital LNG Systems supply business for future Mitchells applications and for other Australian transport customers. This opportunity has the potential to create a local Australian based industry that can provide natural gas alternatives to the transport industry and has the potential for expansion in domestic and export LNG transport markets.