TSX-V: ACT

Proprietary Rights of ActiveMine(TM) Technology Are Secured

As Intrinsically Safe Certification Anticipated

TORONTO, March 18 /CNW/ - Active Control Technology Inc. (TSX-V:ACT) today announced that it has entered into a reseller agreement with MeshDynamics Inc., the developers and suppliers of ActiveMine's third generation mesh network nodes. The agreement includes a prepayment of USD $1.6 million in exchange for certain exclusive rights to mesh network nodes that incorporate MeshDynamics' proprietary patented and patent-pending Wi-Fi technology. The rights include the right to exclusively sell the nodes to certain specified companies, including coal mines, non-coal mines and coal suppliers that are potential customers for the ActiveMine system and further guarantee ACT a supply of a minimum of 1,000 nodes. ACT has the option to acquire up to 2,000 additional nodes upon further payments. ACT will outsource the manufacturing of the nodes directly using the MeshDynamics technology. The agreement with MeshDynamics will result in a savings to ACT on a per node basis and will secure ACT's access to MeshDynamics' proprietary Wi-Fi technology during the two year term of the reseller agreement.

Management estimates that 40 nodes are required on average per underground coal mine in the U.S. The outsourced California-based contract manufacturer of the mesh nodes has the capacity to produce up to 3,000 nodes per month.

"We are very pleased with our partnership with MeshDynamics and we are grateful for all of their support," said Steve Barrett, President and CEO, Active Control. "We also anticipate that ActiveMine's superior tracking, voice, video and data transmission capabilities will continue to garner sales in the USA and internationally. Solidifying our relationship with MeshDynamics will ensure continuity of supply for this key component of the ActiveMine system."

Concurrently, ACT is moving to convert its international patent application covering aspects of the ActiveMine system into national patent applications in Australia, China, Canada and South Africa. ACT already has such a patent application before the US patent office and ACT may elect to pursue other national patent applications at a later date. The national patent applications will make reference to certain preliminary findings in a written opinion by the international patent office that were favorable towards ACT's prospects of securing a patent over various aspects of the ActiveMine system.

ActiveMine's communications, data and tracking system enables monitoring of production, personnel and equipment in all types of surface and underground mining environments, including coal and base metal mines. The system is designed to:

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    -   Operate on a 100 percent wireless Wi-Fi network backbone.
    -   Be less susceptible to water and mechanical damage of all sorts,
        including rock fall.
    -   Use open-standards technology.
    -   Comply with relevant U.S. state and federal regulations, including
        MINER Act requirements for wireless systems as established in MSHA
        policies.
    -   Provide four-day intrinsically safe battery back-up and power supply.
    -   Provide a wireless communications and data network above-ground to
        extend underground networks.

    About Active Control Technology

    ACT designs and markets wireless network control and communication systems
for buildings and extreme environments. Located in Burlington, Ontario,
Canada, the company trades publicly on the TSX Venture Exchange under the
symbol ACT. For more information, visit the company's website at
www.activecontrol.com.

                         We make wireless work.(TM)
    >>

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responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward-Looking Statements: This press release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as changes in demand for and prices for the products of the Company or the materials required to produce those products, labour relations problems, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements. The reader is cautioned not to put undue reliance on such forward-looking statements.

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SOURCE: Active Control Technology Inc.

Steve Barrett, President & C.E.O., Active Control Technology Inc., Tel.: (905) 670-5500 ext. 202, Fax: (905) 592-9691, Email: [email protected], Website: www.activecontrol.com; Don Hogarth, Hogarth Communications Inc., Tel.: (416) 565-8920, Email: [email protected]