July 14, 2005 — Nano-Proprietary Inc. of Austin, Texas, through its subsidiary, Applied Nanotech Inc. (ANI), announced that it entered into an exclusive license agreement with U.K.-based Kelman related to its hydrogen sensor products and technology for use in the power transformer market.
The new agreement grants Kelman an exclusive license for the use of ANI sensor technology for the measurement of hydrogen in power transformers. Kelman will pay a royalty on the sales of the products containing the hydrogen sensors. The company’s period of exclusivity extends to June 30, 2006 but it may extend the period beyond that date by making minimum royalty payments. The agreement also calls for ANI to initially sell the sensors to Kelman.