Valence Technology Prevails at Patent Office

Valence Technology, Inc., a developer of safe lithium phosphate energy storage solutions, prevailed in a Dec. 9 decision by the Opposition Board of the European Patent Office (EPO) to revoke the European Patent granted to the University of Texas (UT) relating to lithium metal phosphates.

The decision revoking the Goodenough et. al. UT European Patent eliminates any risk that UT could assert the European Patent against Valence's proprietary lithium iron magnesium phosphate cathode material, which is a critical material for the next generation of electric vehicle batteries.

Valence had initiated opposition proceedings in the EPO on July 27, 2005, against the grant of the European Patent held by the University of Texas alleging that it lacked novelty. As a result of the decision, European Patent number 0904607, originally issued to UT, has been revoked in its entirety. UT can appeal the decision.

"By revoking the European Patent, the cloud of any possible patent infringement claim under the UT European Patent has been removed affirming Valence's unrestricted right to market its unique, patented lithium phosphate powder batteries in Europe," said Robert L. Kanode, president and chief executive office of Valence Technology. "The decision will allow us to more fully pursue European OEMs, who are the world leaders in electric vehicles. We have already established the proven performance and supply capability for our innovative battery solutions, and now our unrestricted right to market our proprietary lithium phosphate based energy storage solutions in Europe has been confirmed."

Founded in 1989, Valence offers a technology and manufacturing infrastructure that delivers ISO-certified products and processes that are protected by an extensive global patent portfolio. Headquartered in Austin, Texas, Valence has facilities in Nevada, China, and Northern Ireland.

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