Ener Core Inc · OTC:ENCR
Ener Core — LD Micro June 2016
28 slides from Ener Core's conference presentation, June 2016
Slide 1: Ener-Core
ENER-CORE ecostations PR BSD
Slide 2: Key Discussion Points
Key Discussion Points Enable the conversion of “free” Industrial Waste Gases (Air pollution) into Clean Power. What do we Do? Our technology accelerates a naturally occurring reaction to generate heat with nearly zero pollution. Industrial heat is used to power electricity turbines, steam boilers, o
Slide 3: Utilizing Waste: The Rockefeller Effect
Utilizing Waste: The Rockefeller Effect Toward the end of the 19th century, John D. Rockefeller was in the kerosene refinery business. All kerosene refiners used to throw away barrels of a “noxious by- product” into the creeks and rivers; this toxic runoff made Ohio’s Cuyahoga River flammable. It wa
Slide 4: Over 150 billion cubic meters of gas are flared annually
Over 150 billion cubic meters of gas are flared annually Monetary value = $ 65 billion Power for 100 million homes. What would Rockefeller do? We believe he would challenge his engineers to find a solution that uses these gases; thereby making industries more efficient.
Slide 5: The Basics of the Ener-Core Solution
The Basics of the Ener-Core Solution Ener-Core’s “Power Oxidation” technology is an alternative to combustion, and enables traditional systems (gas turbines, boilers, dryers, etc.) to produce heat and power from low-quality waste gases that are not suitable for combustion processes. Combustion is th
Slide 6: Power Oxidation: how it works
Power Oxidation: how it works 1. Waste gases are compressed, heated, and mixed Heat generated is: Sent to a turbine to generate 2. At controlled high temperatures, the molecules have electricity; or enough energy to react without a flame Sent to a boiler to generate (combustion) steam 3. During a “l
Slide 7: Integrating Power Oxidation into a Gas Turbine
Integrating Power Oxidation into a Gas Turbine It starts with understanding the gas turbine basics What makes the Ener-Core ecostation different from a standard turbine?
Slide 8: Integrating Power Oxidation into a Gas Turbine
Integrating Power Oxidation into a Gas Turbine 1) Ambient air is drafted into the compressor where 3) The 16,000 SCFM of 1050ºF/566ºC air is exhausted it is pressurized to match the turbine requirements. to atmosphere or utilized in in the plant. 2) Premium fuel is then mixed with the compressed air
Slide 9: Integrating Power Oxidation into a Gas Turbine
Integrating Power Oxidation into a Gas Turbine The in situ combustion chamber is effectively what prevents a gas turbine (or other power equipments) from being able to operate on low-quality waste gases. Turbine Air Intake Combustion Chamber
Slide 10: Integrating Power Oxidation into a Gas Turbine
Integrating Power Oxidation into a Gas Turbine The Ener-Core oxidizer replaces the in situ combustion chamber with a more robust combustion chamber that provides longer residence times and can handle more challenging gases.
Slide 11: Why improve the combustion chamber?
Ener-Core Filter Why improve the combustion chamber? Oxidizer • Combustion chamber limits the turbine from being able to operate on ultra-low quality (and often highly contaminated) waste gases. • Higher tolerances for gases that can react or damage components. • Longer residence time for high destr
Slide 12: Photos: 2 MW system Integrated with Gas Turbine
Photos 2 MW system Integrated with Gas Turbine
Slide 13: Multiple value propositions + Potential partnerships
Multiple value propositions + Potential partnerships Free/Low Cost Fuel: Heat Source: Industrial Use(s) Electricity- KWh Turbine Power Oxidizer VOC streams Steam Boiler Generates Steam Recurring and Waste Industrial Gases Clean Heat Anaerobic Digester gas Landfill Gas (No ignition) Heat Applications
Slide 14: Planned Equipment Applications
Planned Equipment Applications Traditional Key Components Benefits of Replacing Combustion Chamber with Ener-Core’s Power Equipment (in traditional configuration) Oxidizer Gas Turbines For all types of equipment listed on previous columns: 1) Enables the equipment to “run” on poor quality waste gase
Slide 15: Targeted Industries and Market Opportunity
Targeted Industries and Market Opportunity Worldwide, we see a total market opportunity of between Oil & Gas $80-100 Billion with a US based opportunity in excess of $10 (>600 U.S. facilities) billion in approximately 15 vertical markets. Aerospace and Defense; Semiconductor and Electronics Market a
Slide 16: Economics: Shift from Destruction to Utilization of emissions
Economics: Shift from “Destruction” to “Utilization” of emissions 3,000,000 industrial facilities worldwide generate 36% of global greenhouse gas emissions Reduce Energy Costs by $3 - $6 Million per year, by USING waste gases to generate power= $$ “Average” Industrial Facility: Waste Gas Refinery, P
Slide 17: Validation of Business Case: First Commercial Deployment of Next-Gen 2 MW systems
Validation of Business Case: First Commercial Deployment of Next-Gen 2 MW systems Pacific Ethanol Stockton Plant to Install Innovative Cogeneration Technology "The Stockton cogeneration system will replace most of the electricity we currently purchase from the grid and will reduce our energy costs b
Slide 18: Licensing Strategy
Licensing Strategy Ener-Core enables global manufacturers of gas turbines and boilers to commercialize their technology into low quality gas markets where traditional turbines and boilers cannot operate We plan to partner with one distinct market leader per turbine size segment, such as: < 0.5 MW 1
Slide 19: Recent Successes in Commercial Deployment
Recent Successes in Commercial Deployment Sign new Dresser-Rand “Manufacturing” closed Sales Order License for 2 Ener-Core Ener-Core Agreement next-generation completes (2 MW) systems) Ener-Core completes Sub-Scale construction of 2MW system June Complete Acceptance Dec., 2014 Test Milestone Feb, 20
Slide 20: Evolution of Ener-Core's Business Model
Evolution of Ener-Core’s Business Model Company Goes Public & Signing of First Begins Developing Commercial License Sales Pipeline Agreement July, 2013 Dec. 2014 July 2016 Initial Business Model Commercial License Model Commercial + Manufacture License Model Direct-Sale & In-House - Ramp up to 2 MW
Slide 21: Selected Financial Information
Selected Financial Information ($000’s), non-GAAP presentation (unaudited) 3/31/16 Adjustments(1) Pro Forma Cash, Cash Equivalents (incl. restricted cash) $546 $3,000 $3,546 Market Capitalization @June 7, 2016: $15.1 million: 3.8 million shares Inventory and other current assets 1,899 1,899 outstand
Slide 22: Intellectual Property and Industry Awards
Intellectual Property and Industry Awards Ener-Core owns the exclusive rights to protect the design and utilization of Power Oxidation 69 patent applications filed worldwide 39 patents granted worldwide, all awarded in last 2 years More than 150 total independent claims and 1,000 dependent claims Ot
Slide 23: Increasing Global Emission Standards
Increasing Global Emission Standards The cost of complying with global emissions standards is constantly increasing as the standards become more and more stringent. Zero Flaring by 2030 Initiative 750 billion kWh of energy in wasted associated gas flared at oil extraction facilities1 73 countries an
Slide 24: The Ener-Core Team
The Ener-Core Team ecostation powered by ENER-CORE
Slide 25: Key Management
Key Management Alain Castro, Chief Executive Officer and Board Member Douglas A. Hamrin, Vice President - Engineering • 23 years experience in energy sector. • Leads technical development of the Power Oxidizer. • Previously, President of Akuo Energy Americas, which has developed and financed • 17 pa
Slide 26: Board of Directors
Board of Directors Michael Hammons, Chairman of the Board • Diverse domestic and international experience across multiple verticals such as telecommunications, energy, automotive, aerospace and defense, data storage, enterprise software, and electronic hardware. • Leadership positions including CEO
Slide 27: Board of Directors (cont'd)
Board of Directors (cont’d) Dr. Christopher J. Brown, Board Member • Principal at SAIL Capital Partners. • Chris’ technical background includes a pioneering accomplishment in the field of MEMS cryotribology, the study of surface friction on the micro and nano length scales at cryogenic temperatures.
Slide 28: Thank You
Closing Remark ”As the world continues to take greenhouse gas emissions more seriously, most companies seem to be focused on destroying or sequestering the industrial emissions. We believe that industrial emissions are not really the problem, but are actually the symptom of the underlying problem. T