Sol Electrica has developed a revolutionary new way to efficiently extract energy from moving fluids and convert it into electricity. The heated fluid enters the turbine and adheres to the internal flat discs by molecular attraction which causes a central shaft to rotate producing mechanical force. The thermal molecular adhesion turbine (TMAT) is a culmination of four years of research into cuttin
g edge composite micro-coatings, specialized aerospace alloys, and molecular attraction physics. The IP protected TMAT has been designed for both scalability and modularity ensuring that every possible commercial application can be addressed. The enlightened design results in minimizing manufactured parts, ease of assembly, and virtually no lifetime maintenance concerns. These developments have made the TMAT the lowest cost per horsepower of any currently available conversion engine used in today’s global market. Major Global Environmental and Economic Problems
The world is producing millions of metric tons of CO2 per year at an ever increasing rate. In 20 years this man-made contamination will raise the percentage of CO2 in our atmosphere to an alarming level causing irreversible changes in the global climate. Another problem, which is economical in nature, is the yearly increases in power costs to the people of the world and industry. As electric prices continue to rise faster than the global economy, growth businesses fail and jobs are lost along with a decrease in everyone’s standard of living. Sol Electrica has a solution for both of these critical world-wide issues. How Did Sol Electrica Arrive At These Solutions? The TMAT is one of several key components in Sol Electrica’s modular solar power plant (MSPP) that required a small, efficient and powerful turbine to run on low pressure saturated steam. During initial meetings with investment groups it was clear that parts of the MSPP system needed to be prototyped and tested as independent units for cost purposes. Once the turbine was singled out of the system it quickly became evident that the uses, for just the turbine alone, were numerous and global. Sol Electrica quickly designed a turbine for use with saturated steam. The thermal molecular adhesion turbine (TMAT) can use low heat steam to power electric generation equipment at a very low cost vs. commercially priced electricity. Both the TMAT and MSPP have patents pending and have undergone extensive patentability searches and comparisons. The TMAT reduces the amount of energy needed to produce electricity by fully using the heat from steam and outputting hot condensate water. Common power plant turbines need superheated steam which takes more energy to create and exhausts high temperature saturated steam as a waste byproduct. This process is inefficient and the waste is not used for additional electric production. Coal power plants produce about 50% more CO2 than natural gas power plant due to the physical nature of the combustion process. The TMAT uses natural gas and is more efficient in the conversion of this energy thus the marked reduction in CO2 per kWh. Companies now have a clear alternative when it comes to where they get their electric power. They can either continue to pay ever increasing prices for commercial electric from their regional power company or begin to produce it for themselves at less than half the cost. Market Direction on Industrial Emissions & Economic Sustainability
On June 2nd of this year the EPA announced its plans for sweeping changes that will require deep cuts in carbon emissions for existing power plants, which includes a 30% national target by 2030. Major U.S. corporations like Walmart have enacted green house gas (GHG) reductions of over 20 million metric tons of CO2 by 2015. The move toward drastic GHG reductions, by whatever means, is a key focal point of both our government and industry as a whole. Also, almost every large company has appointed a director of sustainability which is concerned with improving energy efficiency for their operations. Energy saving devices, renewable energy programs and green building practices are all being addressed and slowly implemented due to high costs and long return on investment for current reduction solutions. Sol Electrica can provide a timely and very cost effective solution for both these major issues. CURRENT MARKET OVERVIEW FOR THE
TMAT & COMPETITIVE ADVANTAGES
Sol Electrica has defined major environmental world resource deficiencies which will be vastly improved by applying TMAT technology. We will review each sector tier on the basis of product development timing, logical implementation and barriers to market pe*******on. TIER 1 PRODUCT & MARKET REVIEW
Sol Electrica’s TMAT patent protected efficiency improvements and commercialization will take place during Phase (I). The TMAT will be custom designed to target a specific area of improved use of fossil fuel conversion to electricity. The natural gas TMAT generator (NGTG), which uses the TMAT as a proprietary turbine, will allow commercial, industrial, institutional and governmental facilities, with access to commercial natural gas, to reduce their operational electric cost by more than 50%. The NGTG greatly reduces energy to produce electric by improving the steam boiler efficiency through a closed-loop hot water feed system and the added efficiency of the TMAT. Also, natural gas vs. coal combustion produces half the CO2 emissions. Additional operational costs, handling of the waste exhaust and high profit margins also increase electric costs to the commercial end user. Implementing the NGTG will significantly reduce the amount of fossil fuel used nationwide, halt continuous coal plant emissions increases and decrease company expenditures resulting in improved community job stability and growth. The NGTG is designed to be a mobile skid-mounted weatherproof enclosed system which can be easily installed near the exterior of any building similar to common emergency generator configuration. This design allows for quick installation, easy connection to electric and natural gas lines and does not take up any valuable interior space inside commercial facilities. The closed-loop water/steam generation system insures very low lifetime maintenance and eliminates any discharge back into the ground water table. The market for the NGTG is expansive and can be applied to any business using 25kW/hr or more in commercial electric consumption. The smallest NGTG unit is estimated to cost the client $60,000 including installation and would provide a return on investment (ROI) of 4-5.5 years. A low estimate of 1,000 base model NGTG units will be produced in year one with rapid escalation of manufacturing capabilities to follow in years two through five. The North American market potential is over $15 billion encompassing office buildings, schools, government facilities, industrial, hospitals, and many other commercial entities. For just the state of Michigan we have targeted over 10,000 potential end users of our base unit NGTG system and larger systems which will be developed in year one of manufacturing. A substantial number of commercial customers have been left out of the market due to tight operational margins with little money left for capital improvements. Thomas G. Day, Chief Sustainability Officer, of the United States Postal Service made this point clear when responding to the use of the NGTG for facilities of at least 250,000 square feet, “The US Postal Service is in a very difficult financial situation that has caused a great deal of focus on cash flow. We have almost no ability to invest capital funds unless absolutely necessary or with paybacks in exceptionally short periods of time – typically less than 2 years”. We intend on providing a solution for this capital poor market by partnering with specific environmentally concerned banks and using the customers yearly electric savings to pay the short-term loan needed for capital improvements. Again, customers have few alternatives in the way they provide for their energy needs, regional power plants or renewable solar energy. The choice of either high cost from electric providers or large capital expenditures for renewable sources, which typically can only produce electric during part of a sunlight day and have very long return on investment (ROI of over 15 years), make the NGTG a viable solution. There are also private companies and institutions which provide on-site power for their operational needs but still use old technology. The use of bladed steam turbines that require superheated steam and produce high carbon emissions have not been significantly improved over the last few decades. As mentioned before, the NGTG will provide power at less than half the price of either public or private electric while continuing to decrease GHG emissions. Short ROI, low maintenance, positive environmental impact and economical sustainability all make the NGTG an industry winner. TIER 2 PRODUCT & MARKET REVIEW
In Phase (II) Sol Electrica’s TMAT will be scaled down for use in the residential market. The residential gas steam power system (RGSPS) will provide 24 hour electric power at 50% below commercial kWh cost to any sized residence. During this phase a new high efficiency micro-boiler design will be prototyped, tested and patent protected. The combination of the very low cost TMAT, highly efficient micro-boiler, closed-loop water/steam system and engineered alternator/generator will ensure an affordable option for individuals to become energy independent. Again, the RGSPS will use much less fuel to produce the same amount of electricity than huge centralized fossil fuel burning power plants while providing the same amount of electricity needed by each customer. An additional benefit is that the RGSPS will produce very low NOx emissions due to the exhaust filter system contained in the RGSPS and advances in combustible catalysts. The North American market potential is enormous and can be penetrated through existing distributorships servicing the solar panel industry. Possible industry leaders in retail such as Walmart, Home Depot, Lowes, and other outlets could sell the RGSPS with these units serviced by local emergency generator maintenance companies. The U.S. Energy Information Administration states that 24 million homes (2,000 square feet and larger) have access to residential natural gas. A base RGSPS system at a consumer installed cost of $5,500 would make this potential market over $ 130 billion. As the TMAT efficiency increase we will also be able to use propane which will allow the other 16 million homes to have access to the modified NGTG (LPST – liquid propane steam turbine). We will be partnering with banking groups to provide financing for residential consumers. The choice of either high cost from electric providers or the high price for renewable sources which typically can only produce electric during part of a sunlight day and have very long return on investment (ROI of over 15 years) make the RGSPS a very attractive solution. TIER 3 PRODUCT & MARKET REVIEW
Sol Electrica has designed a modular thermal molecular adhesion turbine (MTMAT) which will use the waste exhaust steam from large bladed turbines used in major power plants. The squandering of the world’s industrial waste heat creates more than one trillion BTUs which now can be successfully reclaimed by the MTMAT at one fifth the capital costs of current heat capture systems. Major corporations will finally start using their waste and reducing harmful excess emissions. Currently there are over 30,000 of these larger MW bladed turbines in use, all of which can benefit from placing the MTMAT at the waste exhaust end of their power generation systems. The MTMAT can use the waste exhaust to provide additional power of over 35% without using any additional fuel. protocols levied on coal and natural gas power plants to become more efficient and to utilize alternative sources to reduce emissions can use this system to become compliant and more cost effective. Some of theses power plants have recently employed cogeneration systems at a cost of over $1 million per MW/h. For now this is the only viable alternative to increase the efficiency of these large power plants. We have estimated that the cost per MW/h for the MTMAT will be $0.14 million. To retrofit one forth of the world’s MW+ power plants we could see a volume of over $50 billion over a ten year period. One additional benefit is that power plants could do away with their cooling towers and huge condensing units due to the condensate water that is normal from the MTMAT exhaust. TIER 4 PRODUCT & MARKET REVIEW
Sol Electrica has designed a solar-to-electric system, MSPP, based on currently operating solar tower technology, innovations in heat transfer, and a small but very efficient Thermal Molecular Adhesion Turbine (TMAT) design. The main differences being that the MSPP can be scaled down in size to run a residence or scaled up to provide electric power to schools, hospitals, government facilities, apartment complexes and condominiums. The MSPP has also vastly improved the efficiency losses that are inherent in all solar tower collection systems. Where a solar tower can lose as much as 30% radiated heat from the single point collection receivers the MSPP uses a patent protected highly transmissive vacuum chamber heat sink system which allows for near 100% solar radiation collection. Currently the best operating solar tower system can reach 20% efficiencies in converting solar radiation to electric output. We have found our calculations, based on known measured technology in other industries, to place our system efficiency above 50%. The MSPP will be directly competing with photovoltaic cells (PVC / solar cell) which currently have a poor efficiency of 18% and in a static placement only offer 3 to 4 hours of peak performance. The MSPP works throughout the day by using solar tracking for our collection and concentration dishes thus providing up to 12 hours of peak usage and energy output. The cost of our system is equal to or under all current PVC systems and outputs direct AC current instead of DC current provided by the PVCs. With both the increased efficiency, 1/3 the collection footprint (82 square feet vs. an equal output PVC at 346 square feet) and triple the hours of peak operation per day, we feel that we can easily compete with the current PVC market and be a major player in this renewable energy industry. The North American market potential is over $200 billion and can be easily penetrated using the existing solar panel distributorships already in place throughout this market sector. The current PVC panel competition has many drawbacks concerning long ROI, low peak hour electric production and problematic environmental manufacturing issues. TIER 5 PRODUCT & MARKET REVIEW
The MSPP can be converted through the use of a specialized boiler to create the solar power & desalinization system (SPDS). The next generation SPDS uses the TMAT to produce AC electricity at less than $0.018/kWh and desalinized water. Clean water is a major global issue that is currently being addressed by building a few desalinization plants that require electricity or fossil fuels to operate. The water produced is expensive and creates more environmental problems due to the fuel used. Currently 50% of the cost to operate these large plants is from the fuel purchased, the SPDS will use renewable solar energy to replace the fossil fuel and greatly reduce the cost of desalinization. The extra power created by the SPDS can be used to pump the water to remote areas or to power consumer needs. The global market for the SPDS could be very large and includes placement in almost every coastal location throughout the world. Currently there are 15,000 desalinization plants of various sizes across the world but determining the actual market is difficult. Most communities can not afford plants due to fuel costs associated with operation. The SPDS will eliminate the fuel costs making it more cost effective and viable for communities to invest in this new fresh water resource. Inland areas which have access to non-potable water can also use the SPDS to purify the water source at their location and provide needed electric production. A typical desalinization plant which can produce 25 million gallons per day has a cost of $100 million; this does not include the high cost of operation. By providing 10 plants per year and retrofitting another 100 the yearly market could be $50 billion and would increase each following year. TIER 6 – AUTOMOTIVE (TMAT driven cars partnered with Tesla Motors’ future batteries) TBD. Milestones Achieved to Date:
• 4 years of research, development & design resulting in the patent application for the MSPP (PA # 13,871,365)
• Additional design improvements in the concentration/collection antennae, vacuum chamber heat converter, helium heat transfer system & micro-boiler resulting in a CIP for the MSPP (PA # 14,262,773)
• The design of the Thermal Molecular Adhesion Turbine, patentability search, and the patent application for the TMAT (PA # 14,295,812)
• The formation of an advisory board for Phase (I) development with key assets in business management, physics, commercial legal contract expertise, web design, social media expansion and other needed areas of experience
• Final engineered mechanical designs for the TMAT and future fabrication partner development
• Design of the NGTG (natural gas steam turbine) and product market determination
• Future design and market for the residential gas steam power system (RGSPS)
• Future design and market for the MTMAT in industrial waste gas recovery
• Future design and market for the solar-to-electric system – MSPP
• Future market for the solar power & desalinization system (SPDS)
TIER I DEVELOPMENT SCHEDULE
Phase (I) will include the major efficiency improvements and testing of the TMAT. We will have direct future customer input concerning their specific needs for the NGTG and will design the commercialized product based on their input. Industrial certifications and UL testing will be performed during this phase as well as solidifying our future manufacturing supply lines for the base unit NGTG. We expect Phase (I) to require 8 months with manufacturing to begin 4 months after certifications are in place. SENIOR MANAGEMENT
Sol Electrica’s base management group has a unique skill set involving business management, engineering, product development and marketing. Gary Kerns, graduate of Manchester College with Bachelor of Science degree in Business Administration, has currently sold his two businesses in southern Indiana so that he can devote his full time to Sol Electrica Renewable Energy Inc. Michael Lee was the former VP of Marketing and New Business (product) Development for Baker Electronics Aerospace for over 9 years. Lee has envisioned 20+ products for aerospace and taken them from prototype to manufacturing allowing Baker to grow, expand their market share and the eventual sale to Honeywell Avionics for significant share valuation increase. Lee also has a background in physics, biology, chemistry, thermodynamics, optics, and is skilled in mechanical design (CAD). Sol Electrica has an advisory board which will begin working directly with our development group in Phase (I). This board comprises experts in specialized energy related fields and includes intellectual property protection. Below are just a few of those involved at this time with more to be added prior to the start of Phase (I). IP Legal Advice - Grand Rapids & Muskegon Inventors Network, Attorney Dan Girdwood. Web Design - Longerdays.com Current GVSU/MAREC Tenant, Chad Lawie
Solar Energy Physicist – Energy Partners, Current GVSU/MAREC Tenant, Jim Wolters
PHASE (I) DEVELOPMENT AND FUNDING REQUIREMENTS
Sol Electrica’s senior management has more than four years of R&D and currently over $70,000 invested in the development of the TMAT. The proof-of-concept prototype testing is approaching fast and requires an additional $40,000 to complete in order to move into Phase (I) commercialization. An estimated $500,000 will be needed for Phase (I) with additional funding needed for the final certifications and base unit NGTG manufacturability configuration. These final funding requirements are being determined though the aid of outside counsel with experience in these tasks and are expected to be finalized by the end of June 2014. During this stage the base TMAT prototype improvements will be added and tested with assistance from GVSU. Third-party engineering validation will occur throughout this testing period with the help of GVSU partner Magnum Engineering located in Grand Rapids Michigan. Also supply line manufacturing partners will be determined along with the development of future customer input to guide finalized product development.