Variation to Terms of Application Licence

Transense Technologies PLC 15 February 2000 VARIATION TO TERMS OF APPLICATION LICENCE; SECONDARY PLACING OF SHARES On 21st June 1999, the Company announced that it had agreed to enter into a licensing arrangement with Canadian-based SmarTire Systems, Inc, ('SmarTire')(NASDAQ: 'SMTR'). This licence covered the use by SmarTire in future tyre pressure monitoring systems of the Company's unique surface acoustic wave pressure-sensing technology, and was described in greater detail in a prospectus issued by the Company on 29th November 1999. The licence was non-exclusive to SmarTire, although provision was included in the licence agreement for it to become exclusive under certain circumstances. The financial terms of the licence included the issue by each party of its own shares to the other. Under a variation to the terms of the licence dated 30th September 1999, which has today been agreed, the continuing , non-exclusive nature of the application licence is assured. In connection with the variation to the original licence contract, Astaire & Partners Limited has arranged the placing with institutional investors of 250,000 ten pence ordinary shares of the Company subscribed to by SmarTire pursuant to the licence. Commenting on the licensing agreement, Chief Executive James Perry said, 'We continue to work closely with SmarTire, as it develops a new generation of tyre pressure monitoring systems incorporating the Transense sensor technology.' By Order of the Board Enquiries: Clerkenwell Communications John Coyle 020 7713 0900 Transense Technologies Plc James A. H. Perry 01869 238 030