Bajaj Release Direct Injection Autorickshaw into the India Market

Orbital Corporation Limited (OTC Bulletin Board: OBTLY; ASX: OEC) and Bajaj Auto Ltd, India (Bajaj) today announced that Bajaj have started production of the Orbital equipped direct injection Autorickshaw.

Earlier this year Bajaj released a number of test vehicles into the local Pune market to complete the assessment and validation of this new product using real world operating conditions. The 2-stroke Direct Injection (DI) 3 wheeler received good response from the market due to the greatly improved fuel efficiency, superior performance and features like "self start". As a result of the positive feedback received Bajaj have started production of this new Autorickshaw. The new model will initially be released into the local Pune market, with a staged release of the DI vehicles to other identified cities of India.

"The positive feedback from our customers was a key part of the DI product confirmation testing," commented Bajaj's Managing Director, Mr. Rajiv Bajaj. "These first customers have enjoyed a 30% fuel economy improvement and experienced significantly improved driving characteristics."

"This product launch is a key step for Orbital DI technology with its entry into a new and growing market segment," said Orbital's CEO, Dr. Rod Houston. "The initial volume ramp up will be slow as Bajaj continue to develop the market pull for this product and manage the roll out to new dealers and cities in the coming months. Although the volumes will start out low this DI product will add to our royalty income and add to the systems sales revenue of Synerject."

"Bajaj also expanded their Orbital technology license in September 2006 to include CNG and LPG versions of this product which also offer Orbital good opportunities for growth as these products are now under development," added Rod Houston.

Forward-Looking Statements

This release includes forward-looking statements that involve risks and uncertainties. These forward-looking statements are based upon management's expectations and beliefs concerning future events. Forward-looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of the Company, that could cause actual results to differ materially from such statements. Actual results and events may differ significantly from those projected in the forward-looking statements as a result of a number of factors including, but not limited to, those detailed from time to time in the Company's Form 20-F filings with the US Securities and Exchange Commission. Orbital makes no undertaking to subsequently update or revise the forward-looking statements made in this release to reflect events or circumstances after the date of this release.

Orbital is an international developer of engine and related technologies, providing research, design and development services for the worlds producers of powertrains and engine management systems for application in motorcycles, marine and recreational vehicles, automobiles and trucks. Orbital's principal operations in Perth, Western Australia, provide a world class facility with capabilities in design, manufacturing, development and testing of engines and powertrains. Orbital provides its customers with leading edge, world class, engineering expertise. Headquartered in Perth, Western Australia, Orbital stock is traded on the Australian Stock Exchange (OEC) and the OTC Bulletin Board (OBTLY).