Clearsign Technologies Corporation · NASDAQ:CLIR
Clearsign Technologies — ClearSign Combustion — Investor Presentation (June 2016)
22 slides from Clearsign Technologies's investor presentation, Jun 28, 2016
Slide 1: ClearSign: The Future of Combustion
ClearSign The Future of Combustion NASDAQ: CLIR June, 2016
Slide 2: Important Cautions Regarding Forward-looking Statements
Important Cautions Regarding Forward - looking Statements All statements in this presentation that are not statements of historical fact are forward - looking statements, including any projections of earnings, revenue, profit margin, cash or other financial items, any statements of the plans, strate
Slide 3: What is ClearSign Combustion (CLIR)?
What is ClearSign Combustion (CLIR)? 3 • ClearSign designs, develops and markets technologies that aim to improve the key performance characteristics of combustion systems, including emission, operational performance, energy efficiency and overall cost effectiveness.
Slide 4: Transformational Technology
Transformational Technology 4 • ClearSign’s technology provides a fundamental improvement to a core energy process Energy Industry ClearSign’s Solutions
Slide 5: Global Energy Market: Combustion Systems
Global Energy Market: Combustion Systems • Combustion is a fundamental energy conversion process. • 2/3 of energy used in U.S. manufacturing is converted via boilers , furnaces and process heaters ¹ : our core market focus. • ClearSign’s technology provides a transformational improvement in combusti
Slide 6: Market Drivers
Market Drivers • Environmental Compliance : increasing regulation of NOx and other pollutants across the U.S., Canada, Europe and China • Operational Efficiency : x Energy savings x Increased throughput x Reduced maintenance and downtime 6
Slide 7: CLIR: Investment Highlights
CLIR: Investment Highlights 7 Duplex™ Technology Electrodynamic Combustion Control™ • Large addressable market • Transformational technology
Slide 8: CLIR: Investment Highlights
CLIR: Investment Highlights • Large addressable market • Transformational technology • Strong intellectual property • Successful commercial - scale installations: customer - validated economics • “Asset - lite” model – license or subcontract • Proven leadership team with deep industry experience 7a
Slide 9: Target Market Segments
Target Market Segments 8 Once - Through Steam Generators (OTSGs) used for Enhanced Oil Recovery (EOR) in California Refinery Segment • Typical applications Start - up heater, fired reboiler, cracking furnace process heater, process heater vaporizer, crude oil heater reformer • Size range: 5 to 350 M
Slide 10: U.S. Target Market for Duplex
U.S. Target Market for Duplex™ 9 ClearSign Duplex Technology in a California OTSG Refinery Segment • 10 yr Serviceable Available Market: • up to $826M ¹ Enhanced Oil Recovery (EOR) Segment • 10 yr Serviceable Available Market: • up to $124M ² Large Industrial Segment • 10 yr Serviceable Available Ma
Slide 11: Transformational Technology: Duplex
Transformational Technology 10 Duplex is a unique technology that can reduce NOx to below 5 PPM while increasing operational efficiency . ✓ Reduced emissions : comply with the world’s toughest regulatory standards ✓ Increased operational efficiency : ✓ More efficient radiant heat transfer ✓ Eliminat
Slide 12: Duplex Technology
Duplex™ Technology @ClearSign "1
Slide 13: Annual Fuel Savings
Annual Fuel Savings 12 $- $25,000 $50,000 $75,000 $100,000 $125,000 $150,000 1% 2% 3% 4% 5% Annual Savings (USD) Efficiency Improvement Based on an actual 50MMBtu/hr OTSG $2/Mcf $3/Mcf $4/Mcf $5/Mcf $6/Mcf
Slide 14: Duplex fuel savings
Duplex™ fuel savings 13 0% 1% 2% 3% 4% Fuel Savings % Duplex™ Fuel Saving Components OTSG FGR Elimination Radiant Improvement
Slide 15: Electrodynamic Combustion Control
Computer Controller Power Amplifier Combustion System ELECTRODES A high - voltage pulsed electrical field is introduced directly into the combustion region: x Improves efficiency x Reduces or eliminates pollution at the source x Suitable for a wide range of fuel types (solid, liquid, Gas) Electrodyn
Slide 16: Strong Intellectual Property
Strong Intellectual Property • We believe our technologies represent a greenfield opportunity • We believe we have complete freedom to practice • Patent portfolio is expanding rapidly 15 Duplex ™ May 2016 42 Patents Pending 1 Patent Granted or NOA ECC ™ May 2016 72 Patents Pending 12 Patents Granted
Slide 17: Commercialization Milestones
Commercialization Milestones Commercial pipeline - > ongoing deal flow Commercial acceptance as an industry game - changer Multiple installations build market confidence Field validation at commercial scale Lab - scale testing and proof of concept Research and experimentation 16 < - ECC Duplex - > 2
Slide 18: An "Asset-Lite" Business Model
An “Asset - Lite” Business Model • Unique value proposition provides strong potential margins (> 50%) • “Asset – lite” minimum working capital and CapEx requirements • Simple, cost - effective designs • Designs allow subcontracting through existing regional partners trusted by customers • Patented t
Slide 19: Go-to-Market Strategy
Go - to - Market Strategy • Flexible design meets customer needs, allowing immediate entry into the value chain • Well - suited to licensing of technology to existing channels • Or sub - contracting through established and proven value chain 18
Slide 20: Commercial Installations
Commercial Installations Eight customers in California, Texas and Alberta • Enhanced Oil Recovery : Oil Production (OTSG) Three producers with four OTSGs with max firing rates of: 1. 62.5 MMBtu/h & 85 MMBtu/h 2. 25 MMBtu/h 3. 250 MMBtu/hr • Refinery : Process Heat Two small refiners and two major na
Slide 21: Experienced Leadership Team
Experienced Leadership Team Steve Pirnat Chief Executive Officer • CEO, John Zink, div. Koch Ind. • Managing Dir. EMEA, Quest Integrity Group Andrew Lee SVP Business Development • Chief Revenue Officer Adapx, Inc. • SVP Sales Microvision, Inc. Joe Colannino Chief Technology Officer • Head of R&D, IP
Slide 22: CLIR: Key Takeaways
CLIR: Key Takeaways 21 Petrochemical Refinery • Large addressable market • Transformational technology • Strong intellectual property • Successful commercial - scale installations: customer - validated economics • “Asset - lite” model – license or subcontract • Proven leadership team with deep indus
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