Cell-Loc Inc. Begins Second Phase of Cellocate E9-1-1 Trials with TELUS Mobility.

CALGARY, ALBERTA--(BUSINESS WIRE)--Sept. 8, 1997--Cell-Loc Inc. (ASE:CLQ), a leader in cellular telephone tracking technology, Monday announced the company has begun the second phase of its E9-1-1 trials with TELUS Mobility, Alberta's leading supplier of wireless mobile and data communications.

The Phase II trials will test Cell-Loc's Cellocate AMPS product prototype in the standard matrix, or grid, configuration typically found in any urban cellular telephone network. This phase of the trials is expected to continue through December 1997.

Second Phase Testing Emulates Real-World Environment

The second phase test environment adds four additional Calgary test locations to the existing four to create an eight-cell, grid configuration in a real-world environment. In the expanded test environment, the two companies will continue to test for compliance with E9-1-1 Phase II requirements (location of the cellular caller within 125 meters or 410 feet 67 percent of the time) broadening the testing to include:

- Dual phone usage -- the ability to identify a caller when

two cellular handsets are in use;

- Dynamic caller positioning -- the ability to track a caller

in a moving vehicle; and

- Cell site sensitivity -- the ability to track a caller when

the cell site is blocked or lost.

TELUS Mobility Indicates Support with R&D Grant

In support of the second phase of the Cellocate trials, TELUS Mobility has agreed to provide Cell-Loc Inc. an additional $300,000 in funding for continued research and development. A Memorandum of Understanding (MOU) has been signed by the two companies establishing a series of milestones, which if successfully met will move the potential adoption of Cellocate by TELUS Mobility to the next level. Cell-Loc expects to release a commercially available version of Cellocate for AMPS in late Q2 of 1998.

TELUS Mobility, a TELUS Corp. company, is Alberta's leading supplier of wireless mobile voice and data communications, through cellular, paging and private radio systems. TELUS Corp. is Canada's largest telecommunications and information management services company.

About Cell-Loc Inc.

Founded in 1995, Calgary-based Cell-Loc Inc. has developed a patented automatic location identification (ALI) technology that forms the basis for its Cellocate products, a series of network-based wireless location products currently under development. The company's primary focus is to provide cellular equipment and services providers with a series of products that will enable them to comply with FCC E9-1-1 regulation prior to the scheduled deadline and leverage the implementation of wireless location technology as a competitive differentiator. Cell-Loc Inc. corporate headquarters are located at 12 Manning Close NE, Suite 207, Calgary, Alberta T2E 7N6. Telephone: [phone]. World Wide Web URL: www.cell-loc.com .

CONTACT: Cell-Loc Inc.

John S. Webb, 403/569-0760

[e-mail]

or

Cooper Iverson Marketing

Daphne Page or Lori Scribner

805/569-2186, 619/268-1995

[e-mail], [e-mail]