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Commercialization Strategy. Forward Looking Statements. - PowerPoint PPT Presentation

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Page 1: Commercialization Strategy

Commercialization Strategy

Page 2: Commercialization Strategy

Forward Looking Statements

This presentation contains forward-looking statements regarding Global Resource Corp.'s business strategies and future plans of operations. Forward- looking statements involve known and unknown risks and uncertainties. The forward-looking statements contained in this presentation speak only as of the date hereof and Global Resource disclaims any obligation to provide public updates, revisions or amendments to any forward-looking statements made herein to reflect changes in Global Resource's expectations or future events.

Page 3: Commercialization Strategy

AGENDA• Commercialization Strategy• Marketing Approach• Marketing Relationships

– C6 Energy Services – RCR– ENGlobal– G4

• Key Business Factors• Top Priorities• Tire Production Numbers• Manufacturing Operations• Global Scientific Corp

Page 4: Commercialization Strategy

AGENDA• Manufacturing Partners

– Microwave Engineering Team– Alloy Welding Inc (AWI)– Ingersoll Production Systems (IPS)– Electromatic, Inc (ETM)– ENGlobal

• Service, Installation & Warranty• Commercial Prototype

– Prototype Machine– Prototype Status– Prototype Next Steps

• Scale-Up Design

Page 5: Commercialization Strategy

Commercialization Strategy

Our commercialization strategy includes the development of key strategic partnerships with large companies associated with each product line as well as reputable and qualified marketing partners from each country world-wide.

Our strategy also includes joint ventures with synergistic companies that provide supplementary processes such as scrubbing of the gases and oils, and creating additional Syn Gases from the char products that are discharged at the end of our process.

Page 6: Commercialization Strategy

Marketing Approach

• Manufacturer– Sell equipment to end-users– Make profit from sales

• Owner/Operator– Install and operate systems with partners

• Joint Venture Partnerships– Share in revenue stream with pre-existing operating companies

Page 7: Commercialization Strategy

Marketing Approach

Strategy Type Product Types

Manufacturer Waste to Energy Systems(Tires, MSW, ASR, Drill

Waste, Oil Sludge, Plastics)

Owner/Operator MSW, Coal, Oil Shale

Joint Venture Partnerships Oil Patch(Heavy Oil, Tar Sands, Oil sands)

Page 8: Commercialization Strategy

Marketing Relationships

• C6 Energy Services– (Biofuels/ECO and Recycled Refuse International (RCR)

• ENGlobal– (Signed marketing agreement with them)

• G4 – (A developing relationship)

Page 9: Commercialization Strategy

C6ES-RCR

The RCR Sustainable Energy Team has 40 years experience in consulting engineering in the energy, waste and power industry.

They have approximately 1,500 staff in the UK and International offices located in Bangkok, Barbados, Bucharest, Chicago, Kuala Lumpur, Shanghai, Singapore, Stuttgart, St. Petersburg, Taipei, Vienna, Warsaw, and Zurich.

Page 10: Commercialization Strategy

ENGlobal is an international energy engineering and professional services firm.

ENGlobal has expanded into several market sectors with projects ranging from single in-plant assignments to large EPCM (Engineering, Procurement and Construction Management) projects.

Page 11: Commercialization Strategy

• Headquarters:– 654 N. Sam Houston Pkwy. East, Ste. 400

Houston, TX 77060-5914United States

• Key ENGlobal Financials– Company Type Public - AMEX: ENG– Fiscal Year-End December 2007 Sales (mil.)$363.2

• 2007 Employees 2,443

Page 12: Commercialization Strategy

• G4 Group works predominantly in the European, Middle Eastern and African markets focusing on the renewable energy sector with additional interests in the Government Services Field.

• With extensive overseas land for crop growth and a dedicated R&D facility in the UK, G4 Group has the capability to provide complete turnkey alternative power solutions.

• G4 Industries has extensive experience of project management, sales and marketing and consultancy services aimed at the commercial and military markets for third party products.

Page 13: Commercialization Strategy

CORE CAPABILITIES

• Project Management and Prime Contractorship of UK and overseas power, fuel and equipment Projects

• Turnkey Field-to-Fuel Solutions• Turnkey Field-to-Power Solutions• Environmental and Power Viability Studies for development

agencies and industry• Business Development and Proposal Generation

Page 14: Commercialization Strategy

Key Business Factors

• Capacity to Manufacture– 1st machine shipment in 1 year– After 1st machine: 4 machines/month = 48 machines/year– Expandable after 2nd year

• Financials Projections per year (based on capacity)– Bookings for 1st year = 48 x $6,000,000 = $288,000,000– Revenue recognized in year 2– Profit on 48 machines = $72,000,000

• Cash Flow– Payment Terms (Self funding projects):

• 33% down with order• 33% due after 90 days of order placement• 24% due at shipment• 10% due after installation (not to exceed 90 days from shipment)

Page 15: Commercialization Strategy

Top Priorities

• Tires (Manufacturer)

• Tanker (Oil) Sludge (Manufacturer)

• MSW (Manufacturer and Owner/Operator)

• Heavy Oil (JV Partnership)

Page 16: Commercialization Strategy

TIRE PRODUCTION NUMBERSIN MILLIONS (USA):

ANNUALLY STOCKPILED1) CALIFORNIA 33 22) NEW YORK 20 403) TEXAS 24 494) FLORDIA 19 .15) PENNSYLVANIA 12 126) ILLINOIS 12 .47) MICHIGAN 10 258) OHIO 10 209) NORTH CAROLINA 9.6 .110) NEW JERSEY 8.4 811) GEORGIA 8 .312) VIRGINIA 7 313) SOUTH CAROLINA 6.5 014) MASSACHUSETTES 6 1015) MARYLAND 6 1.716) INDIANA 6 5.517) COLORADO 4 3518) CONNECTICUT 3.4 2019) ALABAMA 4.4 20

Page 17: Commercialization Strategy

Estimate on tires annuallyproduced worldwide

• USA – 3,000,000 tons = (100) 15 ton machines• Austria – 60,000 tons = (2) 15 ton machines• Belgium – 70,000 tons = (2) 15 ton machines & (1) 5 ton machine• Denmark – 50,000 tons = (1) 15 ton machine & (1) 10 ton machine• Finland – 48,000 tons = (1) 15 ton machine & (1) 10 ton machine• France – 410,000 tons = (13) 15 ton machines & (1) 10 ton machine• Germany – 645,000 tons = (21) 15 ton machines & (1) 10 ton machine• Greece – 56,000 tons = (2) 15 ton machines• Ireland – 56,000 tons = (2) 15 ton machines• Italy – 430,000 tons = (14) 15 ton machines & (1) 5 ton machine• Netherlands – 52,000 tons = (2) 15 ton machines• Portugal – 98,000 tons = (3) 15 ton machines & (1) 5 ton machine• Spain – 350,000 tons = (11) 15 ton machines & (1) 10 ton machine• Sweden – 97,000 tons = (3) 15 ton machines & (1) 5 ton machine• UK – 535,000 tons =(18) 15 ton machines

Page 18: Commercialization Strategy

Estimate on tires annuallyproduced worldwide

• Bulgaria – 23,000 tons = (1) 15 ton machine• Cyprus – 8,000 tons = (1) 5 ton machine• Czech Rep – 67,000 tons = (2) 15 ton machines & (1) 5 ton machine• Estonia – 14,000 tons = (1) 10 ton machine• Hungary – 46,000 tons = (2) 15 ton machines• Latvia – 14,000 tons = (1) 10 ton machine• Lithuania – 14,000 tons = (1) 10 ton machine• Poland – 175,000 tons = (6) 15 ton machines• Romania – 53,000 tons = (2) 15 ton machines• Slovak Rep – 38,000 tons = (1) 15 ton machine & (1) 5 ton machine• Slovenia – 20,000 tons = (1) 10 ton machine• Croatia – 20,000 tons = (1) 10 ton machine• Norway – 47,000 tons = (2) 15 ton machines• Switzerland – 60,000 tons = (2) 15 ton machines• Canada – 300,000 tons = (10) 15 ton machines• Japan – 1,000,000 tons = (33) 15 ton machines & (1) 5 ton machine

Page 19: Commercialization Strategy

ManufacturingOperations

Page 20: Commercialization Strategy

Global Scientific Corp. Rockford, Illinois Office

• Len Hedman – VP Engineering– Former Director of Engineering and VP Operations for IPS

• Scott Dunbar – VP Operations– Former Director of Plant Operations for IPS

• Terry Peterson – Electrical Project Engineer

Page 21: Commercialization Strategy

Global Scientific Corp.Microwave Engineering – N.C. Office

• Carl Everleigh – GRC Employee • Dr. Ram B. Roy – Chemistry Consultant• Jae Seung Lee – Independent Contractor

Page 22: Commercialization Strategy

About Carl Everleigh

• Former President of Pendulum Electromagnetics, Inc. which he founded in 1993.

• Former President and Chairman of the Board of Microwave Laboratories, Inc which he founded in 1981.

• Formerly held senior management and engineering positions at Litton Industries, Microwave Associates, Raytheon and ITT.

Page 23: Commercialization Strategy

• Co-developer of the magnetron used in the Radar Altimeter to fire the retrorocket for the first soft landing on the moon.

• Development of the Microwave Amplifiers used in the world’s most powerful electronic countermeasure Radar Jamming System presently used by the U.S. Navy and U.S. Air Force. Co

• Inventor of the Variable Frequency Microwave Heating Oven.

About Carl Everleigh

Page 24: Commercialization Strategy

Dr. Ram B. Roy

• Dr. Roy has had a very successful career in research academics with positions in the faculties of:– MIT– Princeton University– University of Washington– University of Michigan

• His professional career outside academia includes work with companies such as:– Alfa-Laval, Inc. as Senior Staff Scientist– Ciba-Corning Diagnostics as Project Lead– Methods Support Laboratory as Technical Director– Alchem Nutritional Inc. as GM Technical Division– Delta Food Group as Principal Food Scientist

• Dr. Roy has over 100 published papers in the fields of organic chemistry, analytical physical chemistry, environmental chemistry and pharmaceuticals. Many of the analytical methods developed by Dr. Roy are now included the AOAC, USP, and EPA Official Handbooks. Dr. Roy earned his PhD in Organic Chemistry from the University ofNewcastle-on-Tyne, England, United Kingdom in 1967.

Page 25: Commercialization Strategy

ManufacturingPartners

Page 26: Commercialization Strategy

AWI has proudly produced the finest in metal fabrications for over 30 years.

AWI integrates state of the art machinery with a highly trained workforce to provide our local, national and international customers with products manufactured to their exact specifications.

Page 27: Commercialization Strategy

Innovative Solutions to Your Manufacturing Needs

Established In 1974

Page 28: Commercialization Strategy

IPS has been a world leader for over 100 years in developing new technologies for the production of parts in high volumes.

IPS has introduced many new technologies and industry standards that have advanced manufacturing capabilities in all parts of the world .

Page 29: Commercialization Strategy

IPS Facilitiesin Rockford, Illinois

• Climate Controlled

• ISO 9001-2000

90,000 Sq. Ft. Assembly/Manufacturing Space here

+80,000 Space Leased for IPS Projects

Page 30: Commercialization Strategy

ETM designs, manufactures and supports tailored power microwave subsystems for System Integrators in the Communications, Aerospace, Defense and Medical markets.

From first article through large-scale production, ETM has the capabilities to meet our subsystem requirements

ETM

Page 31: Commercialization Strategy

ETM

Facility

• 56,000 sq-ft HQ in Newark, CA (ETM-Owned)– 12,000 sq-ft engineering and administrative– 30,000 sq-ft manufacturing and inventory– 14,000 sq-ft currently sublet, will be vacated for ETM’s use

by March 2009• 12,000 sq-ft Salt Lake City, UT Facility

Page 32: Commercialization Strategy

ENGlobal is a multi-faceted organization, with the ability of offering an extensive array of services to several industries with a full staff of specialized individuals, trained in our four areas of expertise:– Engineering – Automation – Construction – Land & Regulatory

Page 33: Commercialization Strategy

Service, Installation& Warranty

Page 34: Commercialization Strategy

Service, Installation and Warranty

• Jeavons Enterprises, Incorporated– Contract labor firm owned and operated by George Jeavons.– Located in Rockford, IL

• International Installations, Limited– Contract labor firm owned and operated by and International Installations.– Located in Woverhampton, England

Page 35: Commercialization Strategy

Jeavons Enterprises andInternational Installations

• Both cooperate in providing contract skilled labor such as:Mechanics Electricians Pipefitters

Welders Millwrights Sheet Metal Fabricators

• They perform:– Machinery Construction– Facility Infrastructure Construction– Systems Installation– Field Service

Page 36: Commercialization Strategy

Jeavons Enterprises andInternational Installations

The principals of these firms and the contract workers associatedwith the firms have provided these services worldwide for over

25 years in the following locations:

United States Mexico CanadaSouth America Europe Middle East Asia

Including countries such as:

India China South Korea EgyptSaudi Arabia Dubai Brazil RussiaPoland France Spain PortugalGreece Holland Ireland

Page 37: Commercialization Strategy

Additional Installation, Start-Upand Service Support Resources

• ENGlobal• G4• Ingersoll Production Systems, LLC• Applied Technologies, Incorporated• Alloy Welding, Incorporated• Base Point Engineering Services

Page 38: Commercialization Strategy

Spare Parts Package

• GRC will stock 1 complete power supply/RF transmitter set and (5) microwave tubes for immediate availability

• GRC will stock 2 sets of long lead common parts (Pumps, Motors, Etc.) in our warehouse thru the warranty cycle.

• At the end of the engineering phase, GRC will submit a price list for recommended spare parts that include:– Normal wear parts– Unique parts for each customers machines (belt conveyor, etc)

Page 39: Commercialization Strategy

Maintenance Package

• Warranty is covered for 1st year• GRC will quote an optional maintenance package that

includes:– Quarterly visits to customers sites to perform diagnostic tests and

preventive maintenance work• 1 shift on site

– Annual visits to customers sites for complete clean-out and system check-out• 2 days on site

Page 40: Commercialization Strategy

Commercial Prototype

Page 41: Commercialization Strategy

The CommercialPrototype Machine

Page 42: Commercialization Strategy

Prototype Status

• Capable of running samples in automatic cycle• Gas successfully collecting outside of reactor• Oil condensing at expected volumes• Carbon ash collected at discharge end• Volume reduction as expected

Page 43: Commercialization Strategy

Prototype Next Steps

• Optimize volume of material that can be processed per hour

• Identify power density in full production mode to apply to full commercial scale machines– Amount of material that can be processed per KW of microwave power

Page 44: Commercialization Strategy

Scalability of Technology

Page 45: Commercialization Strategy

Reactor Scalability

• The reactor housing can be scaled up to accommodate the required volume of material to be processed

• The external processes including vacuum, condensing, etc. will be sized according to the mass balance simulations

• The scale up will not be directly proportional to tonnage increase as we will add more power at each microwave unit entry point to minimize reactor diameter and length

Page 46: Commercialization Strategy

Scale-Up DesignQuotes from Carl Everleigh

• “Microwave Energy is the most efficient means of transferring energy to any material that is susceptible to absorbing MW energy”

• “RF power is more efficient than convection heating because in the GRC process it heats from the inside out and all of the power is directed to the load.”

• “When power density is defined (power required Vs. volume of material), then direct scale up is most efficient in a MW process”