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For Immediate Release |
TSX-V: WEE |
EDMONTON, Alta October 17, 2006/ Wavefront Energy
and Environmental Services Inc., a provider and licensor of proprietary
technology for improved oil recovery and groundwater remediation is pleased to
announce that it has reached a favorable resolution of its lawsuit against ASR.
In its lawsuit, Wavefront alleged that ASR tortiously interfered with the
Company’s existing and prospective business relationships with Oxy. Wavefront
alleged that ASR made bad faith infringement statements to Oxy concerning
Wavefront’s technology and ASR’s patents, one of which had expired, and that
ASR’s tortious interference caused Oxy to cancel the pilot study, resulting in
monetary harm to Wavefront. Wavefront sought a declaration that it did not
infringe US Patent 5,586,602, 6,015,010 and 6,899,175. Furthermore, Wavefront
alleged that ASR engaged in unfair competition in violation of the Lanham Act
and Texas common law.
In the Court’s Memorandum of Opinion and Order filed on May 1, 2006, the case
arose as a result of an email sent by William Stern of ASR to Occidental of Elk
Hills Inc. (“Oxy”) in which Mr. Stern informed Oxy that he believed Wavefront
was infringing ASR’s patents. The Wavefront tool charged with infringement that
was to be installed at Oxy is known as the “Dragonfly” tool, which is a downhole
tool that acts as a fast opening valve to release fluid that has been pumped and
pressurized from a surface pump. Seven days after receipt of the email from Mr.
Stern, Oxy terminated its relationship with Wavefront, and canceled a pilot
study of the “Dragonfly” tool at one of Oxy’s project sites. Wavefront’s lawsuit
followed shortly thereafter.
In a news release dated May 24, 2006 Wavefront reported that ASR filed a
counterclaim against Wavefront claiming infringement of ASR’s United States
Patent No. 6,899,175. ASR sought unspecified damages as a result of the alleged
infringement.
In an order signed by United States District Judge for the Eastern District of
Texas Leonard Davis, it was ordered, adjudged, and decreed that:
1. Wavefront’s “Dragonfly” tool, either alone or in combination with any other
component or process or manner of use, does not infringe any claim of the ASR
patents under any theory of infringement, including but not limited to direct or
indirect infringement, and induced or contributory infringement; and,
2. Each of the counterclaims asserted by ASR was dismissed with prejudice.
Wavefront President and CEO Brett Davidson commented, “We are pleased to have
reached a favorable resolution of this matter. Management has always maintained
that it did not infringe any ASR patents. The court ordered judgment supports
Wavefront’s position. We look forward to moving ahead with our business plan
without the specter of patent infringement and given the judgment, we reserve
the right to seek monetary damages from ASR for its actions at a later date.”
About Wavefront Energy and Environmental Services Inc.
Wavefront offers a patented fluid flow technology that improves oil production,
oil well stimulation, and optimizes groundwater remediation. Within the energy
sector, the Wavefront’s strategy is to license the technology to service
providers, provide site licenses to oil producers and to acquire or earn working
interests in mature oilfields. In the environmental sector Wavefront’s patented
process is licensed to service providers who implement the technology to reduce
long-term liabilities associated with contaminated sites.
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Investor Contact: |
Brad Paterson, CFO and
Director 780-486-2222 ext. 224 Tel investor.info@onthewavefront.com |
ON BEHALF OF THE BOARD OF DIRECTORS
WAVEFRONT ENERGY AND ENVIRONMENTAL SERVICES INC.
“D.
D.
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Cautionary Disclaimer – Forward Looking Statements |
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Certain statements contained herein regarding the Company and its operations constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995. All statements that are not historical facts, including without limitation statements regarding future estimates, plan, objectives, assumptions or expectations or future performance, are “forward-looking statements”. We caution that such “forward-looking statements” involve known and unknown risks and uncertainties that could cause actual results and future events to differ materially from those anticipated in such statements. The Company expressly disclaims any obligation to up-date any “forward-looking statements”. |
THE TSX VENTURE EXCHANGE NEITHER APPROVES NOR DISAPPROVES THE CONTENTS OF THIS RELEASE WHICH WAS PREPARED SOLELY AT THE DISCRETION OF MANAGEMENT.