China TMK Battery Systems Inc. Signs Distribution Agreement with US based Alexis Power Supply, Inc.

    SHENZHEN, China, July 1 /PRNewswire-Asia-FirstCall/ --

    -- Marks major milestone in TMK's strategy to become a premier supplier of
       Ni-MH based "intelligent battery," back-up power supply systems
    -- Applications include telecommunications, solar, railroad and traffic
       control systems
    -- Market opportunity driven by need for new and replacement installations
       of more reliable, less-toxic alternative to conventional lead-acid
    -- Shipment of initial order expected to commence by October 2010

China TMK Battery Systems Inc. (OTC Bulletin Board: DFEL) (“TMK” or the
“Company”) (formerly, Deerfield Resources, Ltd.), a China -based manufacturer
and distributor of customized rechargeable battery solutions to global
consumer product companies, announced today that it has signed a 5-year,
exclusive distribution agreement with Nevada -based Alexis Power Supply, Inc.
(“Alexis Power”) and has commenced commercial production of proprietary,
rechargeable Nickel Metal Hydride (Ni-MH) battery packs to be used as back-up
power supply sources for multiple industrial applications. Alexis Power will
market and distribute the batteries in the US and other targeted international
markets. Shipment of the initial order under the agreement is expected to
commence by October 2010 .

TMK and Alexis Power will focus initially on the telecommunications market,
by introducing large-frame NiMH-based back-up power solutions to replace
existing lead-acid battery products, in addition to targeting new
installations at both remote and central telecommunications facilities. Alexis
Power, which was founded by industry veterans, maintains existing
relationships with AT&T, Verizon, Frontier and other major
telecommunication-focused distributors in the US and abroad. The management
team has worked with TMK during the past two years to design and develop
products focused on meeting specific customer applications. Alexis will
leverage its distribution warehouse and service facility in Reno to sell TMK
products directly and through a network of established dealers and
distributors. TMK and Alexis Power are also collaborating to introduce new
back-up power solutions to the solar, railroad and traffic control industries,
where Alexis maintains existing relationships, in addition to performing
market analysis on other synergistic verticals.

“We believe that this agreement with Alexis Power Supply marks a key
inflection point in our business and is a critical step in our strategy to
become a leader in the market for innovative new back-up supply solutions,”
stated Henian Wu , Chairman and President of TMK. “While we continue to witness
increased demand for our environmentally friendly rechargeable batteries used
in consumer products, this agreement represents our move to aggressively
capitalize on large growth opportunities in the $5 billion global Ni-MH market.
We expect that our new offerings, such as our intelligent, back-up battery
solutions, which address new market verticals such as the telecommunication
infrastructure grid, will meet a significant market need.”

Alexis Power plans to price TMK's proprietary Ni-MH batteries at
approximately 20% higher than lead-acid batteries and offer an eight-year
warranty on them, based on the known benefits of Ni-MH batteries and
additional benefits offered by TMK. Ni-MH batteries provide a superior return
on investment, due to less maintenance costs and a significantly longer
lifespan, for the Ni-MH end-user. Current industrial lead-acid batteries used
for back-up storage are environmentally hazardous, have a relatively short
life span ranging from 1.5 to 3.5 years, have high failure rates, especially
in extreme temperature climates, and are a challenge to test and maintain. The
need for alternative power solutions is significant due to the limitations of
traditional power sources, ongoing cost to maintain and replace, and the
mounting government pressure globally to address the issue of toxic waste
disposal. Ni-MH batteries are non-toxic and have a life span of up to 10 years,
making them an ideal replacement solution for a variety of mission critical
applications. Furthermore, TMK's proprietary remote monitoring system will
provide users with real-time access to power levels, thus improving the
quality of maintenance and decreasing on-going service costs. The batteries
will also be equipped with emergency shut-down during critical periods, which
will protect the cells and increase life-span.

“We are pleased to have the opportunity to team up with China TMK Battery
Systems, Inc. to deliver a superior, rechargeable Nickel Metal Hydride battery
pack that we expect will establish the benchmark of back-up power solutions
for multiple industries,” commented Rex Dawson , Chief Executive Officer of
Alexis Power Supply, Inc. “We believe that Ni-MH battery packs for the
telecommunications industry, solar, railroad and now traffic control
industries will help lead the revolution toward mass deployment of
environmentally-friendly and longer lasting power solutions in the United
and other international markets.”

As a result of the agreement, TMK plans to increase its maximum production
capacity from 200,000 battery cells per day to 300,000 battery cells per day,
with the addition of two Ni-MH production lines with operations starting in
July 2010 . Upon commencement of the two additional Ni-MH production lines, the
Company expects to reduce the utilization rate of the current production lines
from 90% to 75% in order to increase efficiency in its aggregate production.

About China TMK Battery Systems Inc.

Based in Shenzhen , PRC and founded in 1999, TMK manufactures and
distributes high rate discharge Nickel Metal Hydride (“Ni-MH”) multi-cell
batteries in its manufacturing facility located in Shenzhen, China . TMK
maintains a diverse roster of large, consumer-focused clients with major
production facilities in China . TMK works with its clients throughout the
product design cycle to develop and integrate reliable and long-lasting
rechargeable power solutions for widely used consumer products, which include
home appliances, cordless power tools, medical devices, multiple personal
communication devices and electric bicycles segments. TMK is also leveraging
its capabilities and experience to become a supplier of back-up power
solutions to the telecommunications industry and for traffic lighting

Cautionary Statement Regarding Forward-Looking Information

This press release may contain certain “forward-looking statements”
relating to the business of China TMK Battery Systems Inc. and its subsidiary
companies. All statements, other than statements of historical fact included
herein are “forward-looking statements” including statements regarding: the
impact of the Alexis Power agreement on TMK's business and operations; TMK's
ability to fulfill its obligations under the agreement, including its ability
to significantly increase its Ni-MH battery manufacturing capacity and quality
control procedures in a timely manner to deliver products under the Alexis
agreement; the general ability of the Company to achieve its commercial
objectives, including the ability of the Company to become a leader in the
market for innovative new back-up supply solutions; the business strategy,
plans and objectives of the Company and its subsidiaries; and any other
statements of non-historical information. These forward-looking statements are
often identified by the use of forward-looking terminology such as “believes,”
“expects” or similar expressions, involve known and unknown risks and
uncertainties. The Company's actual results could differ materially from those
anticipated in these forward-looking statements as a result of a variety of
factors, including those discussed in the Company's periodic reports that are
filed with the Securities and Exchange Commission and available on its website
( )

    For more information, please contact:

     Toby Tu, Secretary
     Phone: +86-755-2810-9908

     Simon Zhang

    Investor Relations:
     HC International, Inc.
     Ted Haberfield, Executive VP
     Tel:   +1-760-755-2716

SOURCE China TMK Battery Systems Inc.

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