Valence Technology Announces It is Supplier of Lithium Phosphate Battery Packs for the OEMtek 100 MPG Toyota Prius Plug-In Hybri

  
    
  
  
    
      Valence Technology, Inc. (NASDAQ: VLNC) today announced by the end of 
      February, it plans to ship an additional 600 custom modules of Valence’s 
      safe, Lithium Phosphate energy storage systems for installation and 
      conversion of Toyota Prius hybrid vehicles into Plug-In Hybrid Electric 
      Vehicles. Valence previously supplied OEMtek with 300 modules which are 
      now being shipped to customers.
    
    
      OEMtek’s plug-in hybrid will average 90 miles 
      per gallon at freeway speeds of 60 miles per hour for an average 
      distance of 47 miles on a single charge. For urban driving the vehicle 
      and will average more than 150 mpg at speeds under 35 mph for 30 miles 
      on a single charge.
    
    
      “Valence has been a supportive partner in the 
      development and production of our custom modules, providing OEMtek the 
      quality and consistency we mandate from a battery cell manufacturer. We 
      spoke with a number of other battery companies and Valence was 
      responsive and capable to meet our delivery needs,” 
      said Cindi Choi, vice president of business development for OEMtek. “We 
      are also very excited about Valence’s 
      promising future technology developments that could allow OEMtek to 
      deliver a system to our customers that has increased energy capacity and 
      reduced size and weight.”
    
    
      “We are extremely pleased to see OEMtek 
      starting to perform conversions using the custom modules we have worked 
      together on for the past year,” said Robert L. 
      Kanode, president and CEO of Valence Technology. “OEMtek 
      is one of more than 100 companies we have been working with for an 
      extended period of time to increase Valence visibility as a major force 
      in the battery industry.”
    
    
      The OEMtek battery system, called BREEZ™ 
      (Battery Range Extender EZ) fits over the tire in the trunk of the 
      Prius, but does not use any of the trunk space. The OEMtek BREEZ system 
      is comprised of safe, Lithium Phosphate cells, providing a capacity of 
      277 volts and 34 amp hours, and a weight of about 209 pounds.
    
    
      Initially the OEMtek product will only be available in California, where 
      more than 500,000 Toyota Prius vehicles have been sold. OEMtek plans to 
      install about 40 BREEZ systems in Toyota Prius’s 
      starting in March and will ramp up to 100 monthly conversions by the end 
      of 2008. OEMtek plans to start Ford Escape Plug-In Hybrid conversions in 
      late 2008.
    
    
      About Valence Technology, Inc.
    
    
      Valence Technology developed and markets the industry's first 
      commercially available, safe, large-format family of lithium phosphate 
      rechargeable batteries. Valence Technology holds an extensive, worldwide 
      portfolio of issued and pending patents relating to its lithium 
      phosphate rechargeable batteries, the only intrinsically safe lithium 
      rechargeable battery. The company has its headquarters in Austin, Texas, 
      and facilities in Las Vegas, Nevada, Mallusk, Northern Ireland 
      and Suzhou, China. Valence is traded on the Nasdaq Capital Markets under 
      the ticker symbol VLNC and can be found on the internet at www.valence.com.
    
    
      About OEMtek
    
    
      OEMtek is a Silicon Valley-based venture that designs, integrates and 
      distributes components, advance electronics and systems for electric and 
      plug-in hybrid vehicles. OEMtek is located in Milpitas, California. www.oemtek.com.
    
    
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