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OTC Journal
July 31, 1999	Volume II, Issue 34

Email : info@otcjournal.com
URL : http://www.otcjournal.com

To OTC Journal Members:

While NetSol International (OTC BB:NTWK) is continuing to make new highs every day, this past Thursday we had absolutely outstanding news on one of our favorite companies, Engineering Power Systems Limited. We released our most current profile on this Company back on May 14th, and the stock skyrocketed to $3.625 on 600,000 shares of volume for a short term 81% gain.

Since that time news has been scarce, the market has been down, and investors have lost interest. This stock has a history of bounces off lows, and now would be an excellent time to take a look at this Company is you don't own the stock or you made money on it once before. Before we cover today's news, here are three important announcements that concern our members:

In case you missed it, don't forget to read Dick Geist's July column entitled "Avoiding Psychological Mistakes in Micrcap Investing". Click Here to go directly to the article.
Next week there will be content in our Day Trading Section. We have formed an alliance with what we believe to be the Premier Day and Swing Trading Newsletter Writer today. We will be publishing excerpts from his daily newsletter and his daily market commentary for the benefit of our Members.
We have an new IPO Button up on our Home Page- content will be coming soon with opportunities in IPOs for our members.

Now, on to Thursday's today's news on Engineering Power Systems Limited (OTC BB: EGPDF).

If you are not familiar with Engineering Power, please Click Here and review the information we released on this Company back on May 14th, which was followed by an 80% surge in the value of the stock. We believe that this Company is in the middle of developing one of the most exciting and potentially profitable projects we have ever encountered in the small or micro cap world.

While you're reading about Engineering Power's New contract, bear in mind that in mid may NetSol was trading at an all time low of just over $2. Today it closed at $4.75, a new all time high since we released our original profile in January.

After today's news release, our view of the future of this Company now more than doubled. Today, the Company announced the signing of a second contract with a different province in India. Discussions with management reveal that this contract is actually advancing more rapidly than the first contract.

The actual start of construction and eventual development and deployment of these projects will take time, as India has the most complicated and slow moving bureaucracy of any Third World Country. However, their partner is CMS Energy (NYSE: CMS), the largest Independent Power Producer in India. We like their chances of eventually getting this done.

Once the constructions phase of this project begins, nearly 100% of the $180 million in revenues for this project will flow to Engineering Power. This brings the total of potential revenues for the Company up to over $360 million between the two projects. Once the Power Barges are in place and generating revenues, Engineering Power will share in the ongoing revenue stream. This may take several more years to come to fruition, which is why investors in this stock need patience.

Now, here is today's press release announcing the formation of a new project worth $180 million in the construction phase alone:

Thursday July 29, 10:02 am Eastern Time
Company Press Release
SOURCE: Engineering Power Systems Limited

Engineering Power Systems to develop $180.0 million India Power Project

TORONTO, July 29 /CNW-PRN/ - Engineering Power Systems Limited (the Corporation, or EPS) (NASD Bulletin Board: EGPDF) (CDN:EPSL) (www.epsx.com) is pleased to announce that EPS has joined with Seaking Limited (Seaking) of Bombay, India et el to develop, procure, finance, construct, own and operate and maintain a barge mounted, combined cycle power generation facility of 195 (net) megawatts (210 gross mw) and sell electric energy generated therefrom to the Karnataka Electricity Board (KEB) of Karnataka, India, (the Karnataka Project).

Euro-India Power Canara (Private) Limited (EIPCL), a limited liability, Special Purpose Company formed and incorporated in India under the Indian Companies Act, 1956 has executed a Power Purchase Agreement (PPA) with KEB to implement the Karnataka Project. Seaking, EPS and EPS subsidiary Atlantic Seaboard Industries Limited (ASIL) have been defined as ``Sponsors'' of the Karnataka Project according to terms of the PPA.

The Karnataka Project is expected to provide a secure source of electric energy for industrial growth in Karnataka. The term of the PPA is initially for 7 years with two optional 5 year extensions. A Fuel Linkage letter has been issued by Ministry of Petroleum & Natural Gas for the allocation of naptha and a Fuel Supply Agreement has been signed with India Oil Corporation. The anticipated project cost has been budgeted at USD $180.0 million and commercial operation of the power plant is expected in the early months of the year 2,001.

India is a priority power market for EPS. In a previous release EPS announced a 2 x 105 mw barge mounted power project under development in Andhra Pradesh, India. The addition of the Karnataka Project doubles the gross capacity of megawatts under development by EPS and associated companies from 210 megawatts to 420 megawatts.

EPS is a vertically integrated developer of independent power projects and an infrastructure contractor that operates through majority owned subsidiaries; M&M Engineering Limited, of St. John's, Newfoundland, mechanical contracting and fabrication, Atlantic Seaboard Industries Limited, of Port aux Basques, Newfoundland, marine refurbishment and fabrication, Merlin Engineering AS., of Kristiansand, Norway, design engineering and contracting and EPS/Oakwell Power Limited, an Indian Special Purpose Company developing a 2 x 105 mw barge mounted power project in Andhra Pradesh, India.

Number of common shares issued: 12,137,107

Certain of the statements contained in this news release are forward-looking statements. While these statements reflect the Corporation's current beliefs, they are subject to uncertainties and risks that could cause actual results to differ materially. These factors include, but are not limited to, the demand for the Corporation's products and services, economic and competitive conditions, access to borrowed or equity capital on favourable terms, and other risks detailed in the Corporation's Form 20-F and Annual Report.

SOURCE: Engineering Power Systems Limited
Corporate Web Site: http://www.epsx.com

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The OTCjournal.com Newsletter is an independent electronic publication committed to providing our readers with factual information on selected publicly traded companies. All companies are chosen on the basis of certain financial analysis and other pertinent criteria with a view toward maximizing the upside potential for investors while minimizing the downside risk, whenever possible. All statements and expressions are the sole opinions of the editors and are subject to change without notice. This profile is neither an offer nor solicitation to buy or sell any securities mentioned. This newsletter is owned by SSP Management, Inc, a wholly owned subsidiary of 1st Net Technologies, Inc ("1st Net"). While we believe all sources of information to be factual and reliable, in no way do we represent or guarantee the accuracy thereof, nor the statements made herein. The editor, members of the editor's family, and/or entities with which they are affiliated, may own stock in and have other financial dealings with the companies who appear in the publication. To that degree, this newsletter should not be regarded to be an independent publication. SSP Management has received the following compensation from Engineering Power Systems: 125,000 options, exercisable at $1.75. As part if the Agreement, Engineering Power has paid $83,750 in fees for Web-Site development, proprietary database management systems, and Internet Marketing Technologies which have been provided by 1st Net, the parent company of SSP Management. To date, SSP Management has exercised 47,857 options, and as of the date of the release of this profile holds 21,857 shares. SSP Management reserves the right to exercise its options at anytime, and may sell shares of Engineering Power anytime at its sole discretion. This should be viewed as a potential conflict of interest. The OTCjournal.com critiques may contain forward looking statements relating to the expected capabilities of the companies mentioned herein.

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