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The RoundEngine was born out of vision – a desire to see technology grow beyond its current boundaries. The reciprocating combustion engines which were invented in the late 1800’s had fundamental weaknesses including torque and reciprocating masses, which then led many individuals and organizations to try to develop a rotary engine. In 1995, Mr. Rudy Pekau, an expert and teacher in thermodynamics, began developing a new rotary engine that is now known as the RoundEngine.

In an effort to fund Mr. Pekau’s visionary research, and to ultimately commercialize the technology, VGT Technologies Inc. was founded as a privately-held company based in Calgary, Alberta, Canada. VGT’s principal asset is its 100% ownership of Mr. Pekau’s patents of the RoundEngine technology.

In the last decade Mr. Pekau has completed various phases of design, engine development and testing. An independent study on 'Variable Geometry Toroidal Engine Performance' was completed by combustion engine specialists from University of Calgary. Mr. Pekau is currently involved in the development of the air hybrid vehicle as a technical advisor.

As the research continues VGT is beginning to commercialize RoundEngine technology through licensing to various manufacturers of combustion engines, hydraulic motors, compressors and generators.

VGT does not intend to issue exclusive licensing agreements. However, in the early stages of our commercialization efforts, VGT will consider exclusive licensing in one or more market segments, particularly those where the emissions generated represent a relatively small component of total emissions generated by combustion engines. Rev. January 30, 2007 /tw