E-Clips Energy Technologies, Inc. has signed a letter of intent with Hydrogen Technology Applications, Inc. (HTA) to co-develop a hydrogen-oxygen injection system to be used in gasoline internal combustion engines and marketed as a part of the Company's HHO product line.

HTA and E-Clips plan to collaborate on the development of an H-Hybrid unit that can be provided to Champion Auto-Sales under a separate collaboration agreement, which was announced on April 22. E-Clips and HTA will define specifications for an initial “market test'” version of H-Hybrid units, utilizing the company's patented fuel-efficiency system. It is anticipated that the developed prototypes will be tested for a number of applications in different market sectors.

“This is an excellent arrangement from which we expect to provide a number of highly fuel-efficient systems that have a wide range of market applications,” Ben Croxton, CEO of EET says. "In today's world, there exists a greater demand for fuel economy and emission reduction technologies and our HHO Product Line will meet these twin demands head-on."

"We are very glad to be working with EET on developments involving hydrogen-oxygen technology," says Russ Scott, COO of HTA. "Our companies have traded intellectual property in the past and our complementary skill sets give me confidence that we will succeed in developing effective H-Hybrid systems that will be used throughout several markets."

Through the letter of intent with HTA, EET proposes to collaborate on the development of HHO systems for gasoline, diesel and free-standing engines and generators that will provide value to customers in the transportation sector and fixed industrial locations. The primary market for gasoline engines consists of over 230 million cars and light passenger transport vehicles, each of which can be retrofitted with the Company's H-Hybrid system.