PENNINGTON, N.J., Oct. 24, 2013 (GLOBE NEWSWIRE) -- Ocean Power Technologies, Inc. (Nasdaq:OPTT) ("OPT" or the "Company") and Mitsui Engineering & Shipbuilding Co., Ltd. ("MES") today announced that they have signed a new agreement to cooperate in the development and commercialization of OPT's PowerBuoy ® technology. Building on the successful work previously done together by the companies, this agreement sets forth the terms of technology licensing and other financial arrangements between MES and OPT regarding OPT's PowerBuoy systems. Under the terms of the agreement, MES has the licensed right to sell OPT's PowerBuoys for both grid-connected utility and autonomous applications in Japan, the Philippines, Malaysia, Vietnam, Mozambique, South Africa and Namibia. The license provides for a renewable 10-year term under which MES has the exclusive right to manufacture and sell PowerBuoys in its territory, for which sales OPT will receive royalty payments. Under terms to be agreed by MES and OPT, OPT also will sell to MES the Power Take-Off systems to be integrated in all PowerBuoys sold by MES. Furthermore, MES will receive commission payments for any customers outside its territory that MES refers to OPT. Recognizing MES's manufacturing capabilities and expertise in the building of ships and offshore platforms, MES has the first refusal right to manufacture PowerBuoys sold outside its territory, subject to certain exceptions. Mr. Hirotaka Ohashi, Deputy Director of Business Development and Innovation Hq. at MES, said, "We are very pleased to enter into this important agreement with OPT to develop new business opportunities for the PowerBuoy technology. MES looks forward to continuing to work with OPT, and we believe that wave energy is important to our vision of reducing dependence on fossil fuels." "This agreement between OPT and MES marks a significant milestone in the commercialization of our technology," said Mr. Charles F. Dunleavy, Chief Executive Officer of OPT. "We are very excited to build on the work we have done over the past several years with MES, and we appreciate this recognition of the great business opportunity provided by our PowerBuoys, for both grid-connected and autonomous applications."