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Investor appeal The KDV biomass-to-fuel, is proven German technology that, unlike ethanol or biodiesel processes, can convert the gigantic amounts of Municipal Solid Waste (household trash and garbage) into high-grade diesel fuel. Add to that the huge industrial waste output, and the feedstock is significant; generally free. This is diesel in a category certified as 'pure' diesel and eligible for government tax credits. It has none of the disadvantages of ethanol, methanol, and biodiesel; made from food crops – corn & Soy all of which is subject to seasonality, watering fertilizing, harvesting, transporting. Waste production is a 24/7 unending supply. The U.S. produces 50 million tons of waste daily. Foodstock for the other alternative synthetics – soy, corn, mustard seed, canola, palm, sugar cane, starches, etc. are finite. There is not enough regrowth available or growable, to supply the ‘fuel appetite’ of America. Feedstock for the KDV is virtually infinite. The diesel from the KDV process is ultra-low or no sulfur; meaning minimal smoke, smell or pollution. It is cheaper to make - and sell. It is domestic. Imagine how environmentally friendly, economically, and politically sound this is. KDV 'Made-in-USA’ fuel could go a long way to meeting the government's plea to curtail foreign oil dependence. United States recently went from some 280+ million citizens to over 300 million. We can curtail the nation's over-whelming and escalating trash problem as well as, the enormous diesel thirst at the same time. It could be emotionally satisfying. We at Energy Visions already feel that.
Business Model (in part) Energy Visions does – for the time being – not intend to sell KDV units, but proposes to build and operate the units in joint ventures with the clients. The client would provide the municipal, industrial or agricultural waste as well as regrowing matrial; we provide the operation and convert the feedstock into high quality diesel fuel. This stance is to maintain quality control to our standards, utilizing our own trained staff, thus reducing potential malfuctions by untrained operators to minimizes liability threats. KDV diesel products and services offer the following advantages to JV and PPP partners as well as other customers:
We can produce a gallon of diesel for under $1.5 – including all costs for capital, personnel, and the catalyst compound supply. As additionally, we receive a federal tax credit of $0.5 or $1/gal (depending on the type of feedstock), our bottom line looks very bright. One KDV 400 unit, for example, at a price of $2.5m, including peripheral machinery, would provide profits in the range of approximately $850,000, without considering the tipping and disposal fees. Social and/or Environmental Impact KDV diesel is the new ‘alternative’ non-mineral fuel, and as such has the added potential of reducing America’s dependence on imported oil. At present, in Europe, the benefits of ethanol and biodiesel have become increasingly questionable. In South east Asia over-fertilizing of fields, wide-spread slash and burn destruction of rain forests, along with the tropical forest of Brazil to plant oil palms for biodiesel production, and other unsound agricultural practices created by feedstock demand are taking their toll. In a recent research by the German government, environmental and social benefits of biodiesel have actually turned out so minimal that it is now taxed – high social costs did no longer justify the tax-free status. This is a real potential outlook for the US market. The KDV technology however, is in a much better position. While we could also convert ‘food to fuel’, our strength is the vast variety of feedstock. We have advance to now being able to turn bio-mass residue, like switch grass, lawn clippings or undergrowth, into fuel – a task, the ethanol industry expects to have ready for marketing in about 5 years. KDV conversion works on all carbon based material, including bio-mass, animal products, plastics, rubber, waste oils, etc. When converting bio-mass, our process stabilizes to a ‘carbon neutral’ state, which means, we do not add new CO2 to the environment when the diesel is used. Garbage dumps in the state of California are mandated out of existance by 2020. Where will all that trash be diverted to? In the long run, with investing only one quarterly profit of a large oil company, we could actually install enough KDV units to satisfy the total diesel demand of the United States just from this waste. Additionally, the millions of gallons of quality diesel would displace that amount of imported Middle Eastern fossil crude. (fresh CO2)
COMPETITIVE ADVANTAGES Our major primary advantages in producing low-sulfur fuel are the KDV’s high-energy yield, low production costs, and environmental soundness. What we are not yet taking into account, but certainly of an increasing consideration in the future, is our roll in the disposal of waste. Our raw feedstock material is either free or nominally paid for to dispose of: countless garbage dumps, landfills, used tire mountains, waste oil from changing shops, office dumpsters, restaurant waste, slaughterhouse refuse, sawmills and carpentry factories, canneries, plastic from auto parts assembly etc.; all add a problematic element to our environment. We have done some in-depth research and fiesibility studies in this field to date and therefore gradually fold it into consideration within our financial analysis. The gains can be substantial though, even as high or higher than the profits from selling the diesel fuel on the open marketplace. Indeed, KDV could provide the fuel for all the trucks needed to haul all the above. An example of the disposal costs for PCB containing oil, such as from transformers and capacitor ballasts are very high. At present high-temperature incineration is the method preferred by many companies because it destroys inherent PCBs. On the other hand, it creates CO2 and necessitates high amounts of energy. Our revolutionary, catalytic process surpasses the energy yield of The KDV technology can safely convert PCBs into potassium chlorate, which again, can be sold as raw material for matches or fireworks. High-temperature incineration costs are calculated by weight - (http://www.ehso.com/fluoresc.php#pbc). Expenditures range from $0.55/lb. to $2.10/lb, with an average cost of $1.50/lb., or roughly
Another important example would be the vast amount of scrap tires in the United States. Used tire disposal & recovery is a great challenge for local governments. There are enormous dumps of tire mountains, creating an atrocious environmental hazard. The State of Maine alone, for example, has a stockpile of 40 million tires that will cost 30 million dollars to dispose of in today's market. It is estimated that 2 to 3 billion scrap tires have been stockpiled or dumped throughout the country, while more than 270 million more discarded tires are generated each year. (Fires, belching poisonous black smoke, started in these piles have stubbornly burned for years!). Tires are also a troubling ‘jetsam’ of our rivers and streams. When viewed as a re-usable material, waste tires offer a wealth of important resources for recycle fuel. On average, it takes 22 gallons of crude oil, steel, natural rubber, a large amount of energy, and other resources to produce one single tire. These valuable resources can, and should, be recaptured and reused in utile products and processes, rather than left in wasteful and decaying stockpiles. Much of them are. Many produce more waste, and breeding pools for insects in, stagnant, accumulated water. There are plenty of other applications, where disposal of refuse costs money under present systems. All this would provide us with not only raw material, but also create additional income from disposal fees – and at the same time impact environmental hazards.
California Executive Order S-06-06 In April, 2006, Governor Schwarzenegger issued his Executive Order S-06-06 proclaiming the benefits and potentials of bioenergy in helping to meet the future needs of the state for clean, renewable power, fuels, and hydrogen, and calling for actions by the state to meet targets for biofuel/biopower development: * by 2010, producing 20 percent of its biofuels within California, increasing to 40%, Recommended actions are identified and discussed within each of five priority areas:
Of the actions proposed, major actions are associated with:
KEYWORDS: biomass, bioenergy, bioproducts, biopower, biofuels, sustainable development, roadmap, Funding and incentive mechanisms Tax Mechanisms a) Carbon taxes: Taxing the use of non-renewable carbon-based fuels provides a price incentive for renewable energy. Carbon taxes are nominally justified on the basis of penalizing net atmospheric greenhouse gas emissions, principally carbon dioxide released from fossil fuel conversion. Carbon emission caps, carbon trading systems, and carbon taxes are all mechanisms designed to help
control the undesirable release of carbon dioxide and other greenhouse gases to the atmosphere. b) Value-added taxes: Taxes on wood and selected agricultural products to finance the proper handling
of these residuals can also provide incentives for reducing disposal land improving utilization. c) Production tax credits: Providing the user of a biomass feedstock with a credit against taxes on earnings helps to offset costs of feedstock acquisition. At the federal level, the Production Tax Credit (PTC) available for residue or so-called ‘open-loop’ biomass lacks parity with credits available to wind and solar generators and users of dedicated energy crop or ‘closed-loop’ biomass both in value and duration of the credit. Parity among credits should be provided when sustainable use, even for open-loop biomass, can be demonstrated.
Disclosure During the course of your due diligence and research of Energy Visions and its principals, Dr Koch and KDV technology, you will likely come upon claims made by a Mr. Michael Spitzauer and his company, GreenPower, Inc. to wit: world-wide exclusive rights to KDV technology - for 50 years! In autumn of 2005, Hans Judek and Marc Hagan began discussions with Dr Christian Koch, scientist and inventor of the technology, on representing KDV in the United States, an issue he was reluctant to take up due to the litigious nature of the American scene. Mr Judek developed an amity (they are both German and speak a common language) At the same time, we began hearing that a gentleman in Seattle, Mr Michael Spitzauer, was claiming he had the rights to the KDV; worldwide rights for 50 years. Allegations against GreenPower and Spitzauer arose from various newspapers about his felony past. The claims by Spitzauer enraged Dr Koch, who stressed once again he would never give over any expansive nor long term rights to anyone. Concurrently, Dr Koch placed a warning notice on his web site - http://www.alphakat.de/News/news.html - disavowing any claims GreenPower, and specifically Michael Spitzauer and Jorgen Krabbe, have to the technology. During the course of your research, we invite you to examine court records of King County, Washington, the U.S. State and Justice Departments, Immigration, FBI, the SEC and others. In addition, a search engine of ‘Spitzauer’ will profile this person. Energy Visions joins in the chorus of voices disavowing his practices and you have our assurance that it will not interfere, nor have any bearing on the successful outcome of our agreements. We subscribe to an ethical operation of this unique, new alternative technology. Submitted for full disclosure and due diligence by Energy Visions, Inc.
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