Duos Technologies Group Inc (NASDAQ:DUOT) revealed on Tuesday that its operating subsidiary Duos Technologies Inc has clinched an initial contract from an existing Class 1 railroad customer to upgrade its work at a Railcar Inspection Portal (RIP) aimed at expanding automated mechanical inspections.
The Jacksonville, Florida-based company said the total contract is valued at around $1.3 million and will be completed before the end of the year. In addition to the base contract value, the deal includes payments through 2022 for “recurring service, maintenance and spare parts.”
The upgrade is aimed at creating “new perspectives" within the current system to identify specific railcar inspection points which can be monitored by channeling artificial intelligence (AI) applications being developed by the client and integrated into the Duos Centraco platform.
The upgrade will initially be carried out at one of the railroad's existing RIP technology portals with the expectation that it will expand to other locations on successful proof-of-concept, Duos Technologies said.
The company’s RIP technology consists of a 360-degree modular intelligent visualization system which takes detailed, real-time, full-picture images of railcars travelling at speeds of up to 120 miles per hour. The panoramic view can detect oil leaks, damaged parts, open doors and open and missing hatches, alerting inspectors to the issue and showing them the location of the problem. Sophisticated algorithms also identify more complex issues.
"We appreciate the strong endorsement from an existing customer to expand their relationship with us as their needs and our solutions evolve together," Duos Technologies chief operating officer Scott Carns said in a statement.
"In many cases, our solutions are mission-critical, and we value the trust placed in our organization to deliver quality solutions and innovative technologies when it matters most," he added.
Meanwhile, new Duos CEO Chuck Ferry said the company was developing innovative technology solutions that would help customers improve their operations, by getting the job done “better, faster, and safer.”
“I am looking forward to growing our relationship with this customer and leveraging this initial upgrade into additional system deployments in the future," added Ferry, who earlier spent 26 years in the US military, and brings experience in the energy and defense contracting sectors.
At the end of August, Ferry replaced Duos founder and chairman Gianni Arcaini, who will continue to serve on the board of directors.
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