Singapore, Feb 21, 2006 (ABN Newswire) - Metal Storm Limited (Metal Storm)(ASX: MST) and Electro Optic Systems Holdings Limited (EOS) today announced the unveiling of the Redback Weapon System prototype at the Asian Aerospace and Asian Defence Technology Exhibitions in Singapore.

RedbackTM is the first weapon system prototype to be produced from the collaboration between Metal Storm and EOS under a Teaming Agreement signed by the two companies in November 2005 to co-develop and market new weapon systems combining the unique features and benefits of EOS' combat-proven sensor and fire control systems with the versatility and firepower of Metal Storm weapons.

RedbackTM is a lightweight, fast-reaction, remotely operated, weapon system. It is designed to provide intense directed firepower for short periods in applications such as vehicle protection, convoy defence, perimeter control, robotic systems and area denial.

The system is designed to include the following features and benefits:

- Firepower. RedbackTM deploys multiple 40mm Metal Storm barrels firing a range of munitions at selectable rates of fire, including the ability to engage up to 3 targets in 1.2 seconds. With EOS precision sensors and control systems, this results in intense directed firepower.

- Light. RedbackTM will be available in system weights from 70-100 kg - less than one conventionally-equipped combatant.

- Fast. RedbackTM control and servo systems will allow multiple threats to be engaged, fast enough to engage incoming missiles and projectiles for vehicle defence.

- Intelligent. RedbackTM has proven EOS networking capabilities that allow multiple systems to operate with a coordinated response to large threats.

- Versatile. RedbackTM can carry a mixed load of munitions to allow non-lethal and lethal response at the same time. This range of response is an unmet market need for peacekeeping missions and urban warfare with non-combatants present.

RedbackTM has successfully test-fired 40mm munitions jointly developed by ST Kinetics and Metal Storm. In a related development, Metal Storm this week announced the successful firing of jointly-developed high explosive, enhanced blast and airburst rounds with St Kinetics in Singapore. These munitions are compatible with RedbackTM, and add significantly to the versatility of the weapon system.

The RedbackTM development effort is on schedule for customer trials this year with the objective of having it operationally ready by the end of 2007.

The Chief Executive Officer of Metal Storm, Mr David Smith, said "The unveiling of Redback is another major milestone for Metal Storm because it represents our first true product offering to the market. I am delighted with the progress we have made in our collaboration with EOS. Together with the munitions we are jointly developing with ST Kinetics here in Singapore we have unique capabilities we can market to defence customers around the world."

The Chief Executive Officer of EOS, Dr Ben Greene, said "Redback is designed to meet an urgent need for defence of convoys and individual vehicles, often in peacekeeping roles. The mixed-mission capability and intense firepower of Redback will be welcomed by our customers internationally."