NEWSCENTER

PRESS RELEASE:

POWER TECH CORPORATION INC.

POWERTECH SIGNS TWO NEW DISTRIBUTION AGREEMENTS

The Company concludes agreements with Toromont Industries and Thiessen Equipment, two renowned players in their respective business sectors

Terrebonne (Quebec), October 03, 2006 – Mr. Carol Murray, president and chief executive officer of Power Tech Corporation Inc., “PowerTech” or the “Company” (TSX-V: PWB), is pleased to announce the signing of two new distribution agreements with the companies Toromont Industries Ltd. and Thiessen Equipment Ltd., two renowned players in their respective business sectors.

The agreement concluded with Toromont, a major dealer of Caterpillar heavy equipment, will enable PowerTech to market its products in the provinces of Ontario, Manitoba and Newfoundland. For its part, Thiessen is a world-renowned mining equipment specialist that distributes its products notably in Canada and the United States. By adding PowerTech’s PicBucket to its product catalogue, Thiessen can offer its clientele a new and innovative solution for highly specialized mining sector applications. The PicBucket is a multifunctional percussion bucket that allows for great efficiency improvements for a variety of work, such as excavation and demolition.

“Toromont is a powerful ally for PowerTech. Solidly established in English Canada, particularly in Ontario, Toromont will give us access to a vast network of construction entrepreneurs via its extensive network of branches. Meanwhile, the agreement with Thiessen will allow us to develop a major niche market throughout Canada and the United States. With these two agreements, PowerTech has reached an important milestone in its commercialization plan,” stated Mr. Murray.

The PicBucket: Conclusive tests by distributors

“PowerTech is a dynamic team that possesses high-level expertise and marketing know-how in addition to an innovative technology. We believe that the technology developed by PowerTech meets a pressing need in various market segments, such as: excavation entrepreneurs, municipalities and companies specialized in public utilities projects. Following on-site trials of the PicBucket, we anticipate a very positive reaction from our clients to this equipment, which has no equivalent on the market,” said Mr. Bob Mennie, Allied Product Manager at Toromont.

“The first time that I saw the PicBucket in action, I immediately understood the potential of this innovative percussion bucket for our mining industry clients. We are convinced that our clients will come to the same conclusion and will want to quickly benefit from the advantages offered by the PicBucket’s efficiency and exceptional performance,” said Mr. Scott Trainor, General Manager of Thiessen Equipment.

In addition to these new alliances with Toromont and Thiessen, PowerTech has also signed distribution agreements with the company Finning Canada, a major Caterpillar equipment dealer in Western Canada, as well as with sister companies Low Country Machinery and Central Georgia JCB, which operate in the State of Georgia in the United States. “With the support of these first-rate partners, PowerTech intends to expand its presence in several promising markets in Canada and the United States. In addition, we are backed by an internal business development team made up of three seasoned regional managers who cove r the entire Canadian market. Today, we can affirm that PowerTech has brought together all the necessary ingredients to enable the Company to achieve accelerated growth in the coming months,” said Mr. Yves Sicotte, Vice President, Sales and Marketing.

About Toromont

Toromont Industries Ltd. is one of the world’s largest Caterpillar dealerships by revenue and geographic territory in addition to industry leading rental operations. Toromont employs approximately 4,400 people in more than 115 locations. Toromont represents Caterpillar and other equipment lines, maintaining dealerships in Manitoba, Nunavut, Ontario, Newfoundland and Eastern Labrador, and through Battlefield Equipment Rentals is one of Canada's premier construction equipment rental companies.

About Thiessen

Thiessen Team, a company based in Langley, British-Columbia, provides mining equipment, mining tools, mining machinery and mining supplies to the resource industry. We are an international company with offices in Canada, the USA, Africa, South America and Australia. Thiessen Team is a solutions driven manufacturer and supplier, dedicated to providing cost-effective products and services to the global mining community and related industries.

About PowerTech (www.powertechci.com)

PowerTech is the only company in the world that manufactures and commercializes a percussion bucket for the construction, demolition, aluminum, mining, tunnel digging, forestry and military industries. PowerTech’s PicBucket is a technological breakthrough that combines the power of a hydraulic hammer with the stripping force and maneuverability of a conventional bucket. Powertech intends to position itself as a leader in the development, integration and commercialization of leading edge technologies that allow for substantial improvements in equipment performance, productivity and functionality.

* The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.

 

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Source:

Power Tech Corporation Inc.
www.powertechci.com

For further information:

Carol Murray
President and Chief Executive Officer
Corporation Power Tech Inc.
Tel.: (450) 963-6400
Fax: (450) 963-4411
E-mail: carol.murray@powertechci.com

Yves Sicotte
Vice-president Sales and Marketing
Power Tech Corporation Inc.
Tel.: (450) 963-6400
E-mail: yves.sicotte@powertechci.com

Frédéric Tremblay
HKDP
Tel.: (514) 395-0375, ext. 234
E-mail: ftremblay@hkdp.qc.com

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