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Weapon and Explosives Detection Technology Securing the Nation's Transit Systems
L-3 Communications, Analogic, Sniffex, Sense Holdings and
Technest Work to Protect Mass Transit Systems and Critical
Infrastructure By: Ann-Marie Fleming Feburary 2006
As Homeland Security efforts domestically and abroad continue to
fight the war against terrorism there continues to be a
significant need for innovative methods for detecting weapons
and explosives. Detection technology has many applications from
protecting our ports and borders, to airports and other mass
transit systems, to crime scenes and hostile military areas. It
is apparent that the Homeland Security industry as a whole is
here for the long run and areas such as detection technology
continues to be a growing market within this sector.
As described by Jack Mallon, Senior Managing Director of Mallon
Associates, an investment bank focused on the security industry,
"It is an event driven market and the events over the past month
or so including the most recent threat from Bin Laden will be a
key driver for this sector of the industry."
"Threats posed to a country's critical infrastructure are
constantly changing and can emerge quickly," states William
Frain, Senior Vice President of L-3 Communications Security and
Detection Systems (NYSE: LLL). "Granted, much has been
accomplished to protect this infrastructure and prepare for the
worst, and L-3 Communications Security and Detection System has
participated in the strengthening of some of the world's most
vulnerable targets by deploying its advanced security screening
technology. Although the risks vary for each transportation
mode, the fundamental elements in protecting our transportation
systems require the screening of people, baggage, containers,
and vehicles. L-3 is the leading provider of security screening
equipment that addresses these core requirements."
As a result of the growing demand for effective detection
technology, new products are coming on the market at an ever
increasing pace. Paul Johnson, CEO of Sniffex, Inc. (OTC.PK:
SNFX), a developer of a lightweight handheld distance weapon and
explosives detection device explains, "Private industry
recognized the need and the market potential for new and more
effect tools for the fight against terror worldwide. Add to
that, Homeland Defense funding, not only in the US, but
worldwide for research and development, and you have the
potential for an impressive array of new tools."
The most urgent national security threat confronting most
western nations, according to Dore Perler, CEO of Sense Holdings
Inc. (OTCBB: SEHO), a developer of integrated explosive
detection technologies, is the surreptitious introduction of
lethal substances into our social infrastructures. "These
substances include explosives, chemical warfare agents and
biological warfare agents, therefore Sense is working to address
these vulnerabilities with high-performance detector systems
based on our patented Micro Electro-Mechanical Sensor (MEMS)
detection technology. The inherent low-cost of MEMS-based
detector systems will permit large-scale worldwide deployment to
all security forces. We plan to complete our handheld MEMS
explosives detector demonstrator during the latter part of the
first-quarter of 2006,"states Perler.
Transit Security:
The Transportation Security Administration (TSA) is still very
focused on aviation security over other transit areas such as
subways, railways, ships etc. According to Peter Harris, Vice
President for Security Strategy for Analogic Corporation
(NASDAQ: ALOG), a leading designer of security systems, "There
are two main reasons for TSA's continued focus on security.
First of all, terrorists believe in sensationalism and drama to
convey their views. Accordingly, we have seen that airliners
filled with innocent passengers are a likely target and will
continue to be so. Secondly, from a technical standpoint, there
can be more damage inflicted on an airplane with a small amount
of explosives than possible on a cruise ship or a subway
station. Therefore, the industry, particularly the aviation
sector, still believes that the biggest threat we face today are
very small amounts of explosives hidden in checked bags or
carry-on items."
Harris describes a security focus aimed at addressing the threat
of carrying small amounts of explosives as exceedingly difficult
to detect. "We have seen specific examples of people willing to
die going on board commercial aircraft."
Part of the government's focus is to be able to detect small
amounts of explosives being carried on board aircraft by
passengers." Analogic is addressing this issue through the
development of a highly sophisticated system called COBRA. This
is an Explosives Detection System (EDS) that automatically
detects explosives and weapons and provides this information
real-time to the operator by way of a 3-D display. COBRA will be
deployed at our airport's checkpoints and it represents a
revolutionary advancement over current conventional x-ray
systems that only take one view of a bag from a fixed angle.
Harris further describes the technology, "Because COBRA is a
small CT system, its x-ray source goes around the entire item
and the operator is provided with a 3-D display of the entire
contents of the bag with those threat items automatically
displayed."
L-3 Communications Security and Detection Systems is heavily
involved in transit security through a variety of technologies.
Frain describes, "As a leader in the development of advanced
screening technologies, L-3 has developed an array of
forward-thinking detection systems that set the industry
standard for accuracy, reliability, and operational efficiency.
For example L-3, in partnership with the Massachusetts Institute
of Technology (MIT), is refining elemental differentiation into
a powerful threat detection technology known as Neutron
Resonance Radiography for screening containerized air cargo.
Additionally, L-3 Communications Security and Detection Systems
is developing an advanced container security device ( ACSD) that
features advanced state-of-the-art sensors that will continually
screen the contents of sealed cargo containers for explosives
and biological, chemical, and nuclear threat substances.
According to Mr. Frain, ACSD has the ability to track the entire
sequence of a sealed cargo container's journey, from the moment
it arrives at the point of departure to release at its final
destination. Furthermore, ACSD is designed to automatically
identify tampering at any point in the container's passage, as
well as detect breaches wherever they occur: on the container's
sides, roof, or bottom.
In terms of securing other mass transit systems such as subway,
bus and rail stations, TSA is feeling pressure to address these
needs. The London bombings were an indication of the potential
threats that exist in these areas. Robert Tarini, Chairman and
CEO of Technest Holdings (OTCBB: TCNH), a provider of advanced
remote sensor systems, chemical detectors, intelligent
surveillance and advanced 3D imaging technology solutions
describes, "Chemical and explosives detection technologies that
can be installed to cover large areas such as cargo ports,
transportation systems and sensitive federal facilities will
become a hot commodity. We are trying to solve problems that
nobody has yet to date been able to do and we have the brightest
minds in the United States working on it."
"You are going to start seeing in 2006 pilot projects where the
TSA will be placing Analogic Cobras into rail stations, buses,
as well as critical infrastructure of the country such as water
treatment facilities, power plants, anything that terrorists can
get into and are important to protect," explains Harris.
Sense Holdings anticipates that MEMS-based detector systems will
be the dominant detection technology of the future providing
security solutions to address the needs for protecting our
systems of transit. "MEMS combine all of the most desirable
characteristics of a detection system, such as small size,
lightweight, very low cost and a sensitivity level much greater
than that of a trained sniffing dog. Our cartridge-based
detector systems will allow very quick and low-cost field
updates as new detection capabilities are continuously expanded.
Beyond explosives, these capabilities will also encompass
chemical and biological warfare agents in one handheld
detector," states Perler.
"Furthering the probability of threat detection for checkpoint
security, L-3 Communications Security and Detection Systems will
be introducing an innovative advanced imaging portal using
millimeter-wave technology for non-intrusive screening at a much
higher throughput than existing trace detection portals.
Partnering with government, L-3 Security and Detection Systems
is currently involved in two separate pilot programs sponsored
by the TSA to strengthen security for rail and air cargo,"
explains Frain.
Distance Detection:
There are multiple applications for technology that can detect
weapons and explosives from a distance long enough to offer a
high degree of safety for those operating the device. There are
many areas that place our members of law enforcement and
military agencies at risk. Paul Johnson describes such risks,
"First, the "hot spot" of a crime scene or other suspect area is
the most dangerous. Police, government agents and military
personnel often have to try to clear these areas without any
clear indication of what they face before entering the area. Any
tool that can help detect a threat before entering that area can
save lives. Sniffex is unique in that it is able to detect the
existence of weapons or explosives from a distance. In many
cases an operator can "sweep" a "hot spot" and determine the
risk before any invasive action is taken. Distance detection
dramatically reduces the risks involved in clearing a dangerous
area."
"As of today, being able to detect a potential threat from
explosives or chemical weapons from a safe standoff distance to
an area which is highly populated is still a big unfulfilled
need in the DOD/Homeland Security marketplaces. Technest is
meeting this challenge through our Automated Adaptive Chemical
Exploitation System (AACES), a remote sensor that can fill the
need in many applications," describes Tarini.
Driving Forces:
Overall it appears that this segment of the Homeland Security
market continues to evolve and becomes reinforced as the world
continues its battle against the real threat of terrorism.
Mallon explains, "Among the various factors that have the
potential to invigorate weapons and explosives detection are the
Bin Laden threat, the 9-11 commission report of deficiencies in
the implementation of their recommendations and depending
congressional oversight in this area which I understand may have
negative reports forthcoming from congressional committees as to
the effectiveness and efficiency of the airport security process
under the TSA. Therefore I think that the stage is set for more
activity in this space. Overall, it looks like there may be a
second wave for this arena."
According to Johnson, "There are some exciting advances in this
arena that will be announced in the next 12 months warranting a
hard look at the potential in this market segment. The
investments being made now by government and private industry
are tremendous and that will result in products that could
deliver very good returns, given the worldwide market demand."
Ann-Marie Fleming
Ann-Marie Fleming completed her MBA in the United States, where
she attended Webster University. She also holds an Honors B.A
from the University of Toronto. She has over fifteen years of
experience within the financial industry to include retail
banking and brokerage, investment banking, and mortgage
brokerage within the United States and Canada, with a firm
background in corporate research.
Disclaimer: www.InvestorIdeas.com/About/Disclaimer.asp,
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r.asp
About the author:
Ann-Marie Fleming completed her MBA in the United States, where
she attended Webster University. She also holds an Honors B.A
from the University of Toronto. She has over fifteen years of
experience within the financial industry to include retail
banking and brokerage, investment banking, and mortgage
brokerage within the United States and Canada, with a firm
background in corporate research.