March 2020 Update

Greetings readers, stakeholders and well-wishers. It has been hectic couple months for all of us. Before we ushered into 2020, we  prototyped a 54cc compound engine that is projected to produce 10 hp on methanol and is the size of a grapefruit  . The reason for this prototype is to cater the overwhelming demand for small engines of this class in the Asia Pacific markets (APAC). Our partners who represent us in APAC has indicated through their market research that the demand for this class of engine is  over 50 million engines per year. With our expertise and contacts we believe to take advantage of this market demand.

More in the technology front, our 150cc engine demonstration model with hydrogen as primary fuel is coming along well. We continue to engage our US based customer to complete this prototype. We estimate that we have accomplished over 90% of this model and wish to complete the remaining 10% within the next 8 weeks. This will be a critical accomplishment for us as this model will lay the foundation for manufacturing of several thousands of these for our customer.

While we continue to work with our US based customer, we have also engaged our Singapore based customer who wishes to visit us here in California and establish a plan for their engine manufacturing. The executives of our Singapore customers are carefully planning their trip due to the coronavirus scare around the world. As much we anticipate to accomplish this task, we are also concerned about the health and wellbeing of our customer.

We continue to assist our demonstration partner out of Canada who is in the final preparations for using our 530cc engine with biogas fuel. We hope to put this into operation within the next few weeks.

We are close to completing our discussions and negotiations with an equipment manufacturer and authorized dealer in the United States. They represent one of the most sophisticated, advanced and precision manufacturing and testing equipment the world has to offer today. We anticipate that our partner will also be able to assist in installation of the equipment, calibrating, tooling and initial prototype before we embark on mass production.

Finally, from a financial point of view. Our recent investors have helped us continue to forge forward with our activities. We recently visited our large investor from India who continues to support us and is determined to move forward. We have identified a primary location in India for manufacturing. We also identified 2 more locations as a backup. We are encouraged by our investors enthusiasm and determination to build the manufacturing facility. We have also engaged several political figures in India to ensure support during our implementation process.

We were anticipating our investor to visit us in California in March 2020 and complete the final pieces of the contract, banking and KYC (Know Your Customer) processes. Unfortunately, the coronavirus pandemic across the world has put a damper on this plan for now. Our investor and we are closely monitoring this situation day by day. We are hopeful that this grave situation across the world will subside soon for us to move forward. Our investor and we are also in the process of identifying any alternatives to accomplish the contract without any travel involved.

Nevertheless, we will continue to move forward with our prototypes and models planned this year and are determined to mass produce by the end of this year.