From the Desk of the CEO

Dwayne Fosseen, CEO

April 10, 2009

Over the last year, we have seen a significant change by our customers in that they are becoming much more proactive in managing their vehicle operation costs.  Part of this change was due to record fuel prices which was a key factor for Mirenco to obtain new clients who were looking for savings and consequently discovered our products and services.  In fact, several of Mirenco’s customers are using our engine combustion data as leverage in order to obtain what they want from their vehicle sales and service centers – A CLEANER RUNNING ENGINE.  Let me show you this in action by sharing an example with you.

A customer of Mirenco had purchased a new piece of equipment for use in their underground mine.  This customer has been using MDEP services for several years to manage their fleet of underground equipment in order to maintain clean air were the employees were working in the enclosed underground mining environment.  Using the MDEP process on all their underground equipment successfully lowered emissions and maintained clean air in the underground mine for the past several years.  After running the new piece of equipment for 300 hours a MDEP was performed on the engine for the first time.  MDEP results indicated that the engine was contributing high levels of DPM into the underground air.  The customer tried to work with the engine service center to reduce the emissions since the engine was still practically brand new.  The process of going back and forth with the engine service center continued for nearly a year and a half with over 3,000 engine hours before results were seen. 

In a meeting last week held between the mine management and the engine service center, Mirenco and the mine management presented the engines MDEP ”health” record which documented the engine’s combustion problem over its first 3,000 hours of operation.  After the meeting, the engine service center decided to replace the existing engine with a brand new MSHA certified engine for a fraction of what it would cost otherwise. The engine replacement charge was a tiny fraction of the cost normally paid for an engine replacement of this size.  In this particular case, the responsibility for underground mine air quality and engine fuel efficiency shifted from mine management to the vehicle sellers; all because of MDEP “health” records which documented the preexisting problem from the time the engine was new.  Consequently, if any abnormal engine combustion problems develop (as determined by the MDEP process), it is important that these problems are recognized early on and that the engine service center is informed. 

After the meeting, mine management expressed an understanding of how important engine combustion data can be.  This is a classic example of how Mirenco’s technologies can help a customer save money while also going green.

Dwayne Fosseen, CEO

Mirenco Inc.