CAMBRIDGE, ON, May 5, 2016 /CNW/ - exactEarth Ltd. (TSX: XCT) ("the Company") announces that it has won a competitive procurement process for a contract (the "Contract") with the Government of Canada ("GoC") for the provision of AIS maritime data services. The initial length of the Contract covers the period to March 31, 2017, with two one-year options, which, if exercised by the GoC, extends the term to almost three years.
The Contract is a Complex Services contract under which certain services are ordered through task authorizations. For the initial contract period the GoC has issued task authorization for Global Service coverage of the contracted service. At the awarded contract value, this service represents a revenue level that is approximately $600,000 per month lower than the revenue level generated by exactEarth for satellite AIS data services that were provided to the GoC for their domestic use last year.
"While we are always pleased to win competitive tenders, our solution to the GoC requirements in this case required only a small fraction of our satellite AIS capabilities, which was below our expectations," said exactEarth CEO Peter Mabson. "With the procurement selection process complete we can now begin dialogue and implementation under this contract with the GoC end-users. We look forward to continuing to work with this longstanding customer to provide advanced maritime domain awareness capabilities that enable them to meet their objectives for maritime security, safety and arctic monitoring."
About exactEarth Ltd.
exactEarth is a leading provider of global maritime vessel data for ship tracking and maritime situational awareness solutions. Since its establishment in 2009, exactEarth has pioneered a powerful new method of maritime surveillance called Satellite-AIS ("S-AIS") and has delivered to its clients a view of maritime behaviours across all regions of the world's oceans unrestricted by terrestrial limitations. exactEarth has deployed an operational data processing supply chain involving a constellation of satellites, receiving ground stations, patented decoding algorithms and advanced "big data" processing and distribution facilities. This ground-breaking system provides a comprehensive picture of the location of AIS equipped maritime vessels throughout the world and allows exactEarth to deliver data and information services characterized by high performance, reliability, security and simplicity to large international markets. For more information, visit exactearth.com.
This news release contains statements that, to the extent they are not recitations of historical fact, may constitute "forward-looking statements" within the meaning of applicable Canadian securities laws.
Forward-looking statements may include financial and other projections, as well as statements regarding exactEarth's future plans, objectives or economic performance, or the assumptions underlying any of the foregoing, including statements regarding, among other things, the intentions of the parties, the use of any intellectual property, further investments that may be made by exactEarth and new markets that may be exploited by either party. exactEarth uses words such as "may", "would", "could", "will", "likely", "expect", "anticipate", "believe", "intend", "plan", "forecast", "project", "estimate" and similar expressions to identify forward-looking statements. Any such forward-looking statements are based on assumptions and analyses made by exactEarth in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors exactEarth believes are appropriate under the relevant circumstances. However, whether actual results and developments will conform to exactEarth's expectations and predictions is subject to any number of risks, assumptions and uncertainties. Many factors could cause exactEarth's actual results, historical financial statements, or future events to differ materially from those expressed or implied by the forward-looking statements contained in this news release. These factors include, without limitation: uncertainty in the global economic environment; fluctuations in currency exchange rates; delays in the purchasing decisions of exactEarth's customers, including the GoC; the exercise of options under the Contract by GoC; the provisions of task authorizations by GoC; the competition exactEarth faces in its industry and/or marketplace; the further delayed launch of satellites; the reduced scope of significant existing contracts and the possibility of technical, logistical or planning issues in connection with the deployment of exactEarth's products or services.
SOURCE exactEarth Ltd.
Image with caption: "exactEarth has won a competitive procurement process to provide AIS maritime data services to the Government of Canada (CNW Group/exactEarth Ltd.)". Image available at: http://photos.newswire.ca/images/download/20160505_C8550_PHOTO_EN_683190.jpg