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Harbin Electric Develops World's First High Efficiency,

整理: 918时间: 2018-10-06

-Linear Motor Oil Pump Broadens Company's Product Line into Oil and Gas Industry-

HARBIN, China, May 11 /Xinhua-PRNewswire/ -- Harbin Electric, Inc.,

(Nasdaq: HRBN) a U.S. company, with operations based in Harbin, China, today

announced that the Company has successfully developed a high efficiency,

energy saving "Tower Type Oil Pump" driven by permanent magnetic linear motors

for the oil and gas industry.

The new generation of Tower Type Oil Pump is the world's first vertical

oil pump that adopts a large thrust cylindrical synchronous linear motor,

producing measurable energy savings. In addition to the benefits of energy

efficiency, key features of the intelligent design include automatic anAAAAAAA>reversing speeds, as well as significantly reduced operational maintenance

costs. This specially designed pump contains unique motor technologies which

allow the pump to consume less energy during all phases of operation. In

particular, the patented pumping system intelligently gauges the tension

needed to mechanically lift liquid out of the wellhead. By adjusting the power

needs of the pump on a real time basis, it can provide more than 20-30% of

energy, when compared to traditional oil pumps.

Harbin Electric's linear motor oil pump is certified by Heilongjiang

Science and Technology Bureau ("HSTB"), a branch of The Ministry of Science

and Technology of P.R. China, and China National Petroleum Corporation Daqing

Petroleum. A prototype of the Tower Type Oil Pump has been running at the

Second Extraction Factory of the Daqing Oilfield for one and a half years. The

prototype unit has met the functional design requirements on all technology

aspects.

Harbin Electric applied for five Chinese patents related to this product.

Three of these patents have been approved and the remaining applications are

pending approval. The three approved patent numbers are ZL200420018936.9,

ZL200420018931.6 and ZL200420018930.1.

Daqing Petroleum is the biggest petroleum corporation in China, producing

approximately 50 million tons of oil annually. The testing model of the Tower

Type Oil Pump was originally customized for Daqing Petroleum. With the testing

of the prototype complete, Daqing Petroleum has placed a purchase order for 13

units to be delivered by the end of 2007. These units are expected to sell at

an average price of USD $52,000.

Tianfu Yang, Chairman and Chief Executive Officer of Harbin Electric

stated, "We are pleased to introduce to the oil and gas industry this state of

the art vertical style oil pump driven by efficient linear motors. This

product development is an important milestone for our company as it further

positions Harbin Electric as a leader in industrial motor technology. Since we

began development of the Tower Type Oil Pump three years ago, our Research &

Development team has been actively involved in an effort to deliver a unique

solution which has culminated in several new patents for our business and has

developed another revenue channel for our company."

Mr. Yang concluded, "In the newly issued '11th Five-Year Plan for National

Economic and Social Development Program of China' (2006-2010), the Chinese

government explicitly focuses on the need to improve the efficiency of the

Country's resource use and mandates a reduction in energy consumption per unit

of GDP by 20%. This policy established by the Central Government of China is

encouraging for our business as our newly developed oil pump can provide

energy savings of over 25% when compared to traditional oil pumps. We believe

this product will add to our growth in the years ahead and supports our

corporate goal to introduce intelligent, efficient solutions to the global

industrial motor marketplace."

About Harbin Electric, Inc.

Harbin Electric, Inc. designs, develops and manufactures linear motors anAAAAAAA>special electric motors. With proprietary technology and core patents, the

Company builds a wide array of customized linear motors and other special

motors for a variety of applications and industries. The Company currently

designs and supplies its motor products and systems to numerous end users

throughout the Chinese domestic market, as well as, to other industrial OEM

customers overseas. Industry applications for linear motors include oilfielAAAAAAA>services, conveyor systems, factory automation, packaging equipment, as well

as mass transportation systems. The Company is based in Harbin, China along

with its wholly owned subsidiaries. The Company has approximately 270

employees with approximately 270,000 square feet of state-of-the-art

manufacturing space. For further information, please see our filings with the

Securities and Exchange Commission (http://www.sec.gov ).

Safe Harbor Statement

The actual results of Harbin Electric, Inc. could differ materially from

those described in this press release. Detailed information regarding factors

that may cause actual results to differ materially from the resultAAAApresseAAAAAAA>or implied by statements in this press release may be found in the Company's

periodic filings with the U.S. Securities and Exchange Commission, including

the factors described in the section entitled "Risk Factors" in its annual

report on Form 10-KSB for the quarter ended December 31, 2006. The Company

does not undertake any obligation to update forward-looking statements

contained in this press release. This press release contains forward-looking

information about the Company that is intended to be covered by the safe

harbor for forward-looking statements provided by the Private Securities

Litigation Reform Act of 1995. Forward-looking statements are statements that

are not historical facts. These statements can be identified by the use of

forward-looking terminology such as "believe," "expect," "may," "will,"

"should," "project," "plan," "seek," "intend," or "anticipate" or the negative

thereof or comparable terminology, and include discussions of strategy, anAAAAAAA>statements about industry trends and the Company's future performance,

operations and products.

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