Axial Vector Energy Corp. (AXVC.PK)
If ever there was a global issue, it’s the use of fossil fuels. The unexpected rapidity of global warming has made the subject central to every industrial and aspiring industrial nation. The result has been a worldwide call, backed up by increasingly stringent government regulations, for a dramatic decrease in greenhouse gas emissions. Proposed solutions, and related businesses, continue to crop up, each approaching the problem from different angles. But few companies have attempted to address the problems associated with fossil fuels from as many different creative sides as Axial Vector Energy Corporation.
Axial Vector is perhaps best known as the developer of super efficient internal combustion engines. That’s the first way it takes on the issue of fossil fuels and reduced emissions. The company employs a patent-pending axial flux engine technology to produce efficient, cost-effective, and environmentally sensitive multi-fuel motors that are scalable, and can serve both mobile and fixed locations.
In addition to its engine technologies, AVEC has designed a revolutionary new family of high-power “Axial Flux” coreless electric generators that reach 98.5% efficiency in converting mechanical energy to electricity. Among other applications, they can be used in wind powered generators so efficient that they can operate in even very low wind conditions, helping to make clean wind power a viable substitute for more polluting alternatives. It’s the second way that Axial Vector addresses the issue of fossil fuels.
But there is yet a third way the company seeks to benefit the environment. Axial Vector recently signed a joint venture agreement with Petrosonics to offer the world oil processing industry a better way to purify crude oil. The pioneering technology uses high power ultrasound to reduce sulfur, nitrogen, and trace metals in oil, while decreasing oil density, all at a cost that is less than competing technologies. And, with increasing pressure by governments around the world to reduce sulfur emissions from automotive fuels, the timing couldn’t be better.
Axial Vector’s powerful three-fold approach to the problem of fossil fuel emissions is truly unique for an emerging company, and, from an investor’s standpoint, helps ensure the company a solid position in tomorrow’s environmentally driven world.
Kraig Biocraft Laboratories, Inc. (KBLB.OB)
In a world where the value of a company is increasingly based upon its intellectual capital, Kraig Biocraft Laboratories appears to have a solid future. That’s because the Michigan-based biotechnology development company has a lock on a very good idea, an idea that could be the key to a market representing billions of dollars in estimated annual sales.
The market is the resilient technical fibers market, currently controlled by Kevlar, DuPont’s super tough para-aramid synthetic fiber. Today Kevlar is used in body armor, bicycle tires, racing sales, audio equipment, buildings, and a host of other applications where the strength to weight ratio must be exceptional. Sales of Kevlar approach $5 billion annually.
But now there is a new fiber knocking on the door that has significant advantages over Kevlar. The fiber is spider silk, more elastic that Kevlar, hypoallergenic and biodegradable, and with the highest strength to weight ratio known, other than perhaps single wall carbon nanotubes. Kraig Biocraft’s great idea is how to produce it. You can’t just round up a billion spiders and let them do their thing, primarily because they tend to attack each other. Nature’s best known silk producer, the silkworm, doesn’t have this problem, but the silkworm doesn’t product spider silk.
Kraig’s brilliant answer to the problem was to get together some of the best minds in the field of genetics, and have them come up with a way to modify silkworms so that they produce spider silk and other specialized proteins. Using some of the most advanced genetic engineering techniques, Kraig has managed to insert the spider’s silk-producing genetic codes into silkworms, and has now verified the efficacy of the transfer. With each new accomplishment, the company appears closer to its goal of creating transgenic silkworms capable of producing significant amounts of spider silk.
However, it’s not that Kraig Biocraft plans on going into large scale production. For Kraig, it’s all about the intellectual capital, the golden key that a more production minded enterprise could use to unlock untold future wealth. That’s why more and more people have their eye on the company, and why a relatively small company is seen to have a very big potential value.
Sector 10 Inc. (SECT.OB)
Sector 10, Inc. has carved out what can only be called a noble corporate role for itself. Specifically, it’s a company that is all about saving people. Its focus is on what they call the “life gap”, the critical moments between the occurrence of a disaster and successful resolution by emergency responders. It’s the time when victims are forced to face potentially life threatening conditions on their own, the time when desperately needed support is least likely to be available. Sector 10 offers pre-deployed products that fill that gap, giving people the tools they need to save themselves and others.
Sector 10 offers stationary and mobile response units, both of which consolidate virtually everything learned and produced for saving lives, whether the disaster is natural, biological, or chemical, with such things as smoke hoods for building fires, foldable stretchers for transporting the injured, and a wide range of first aid supplies. In addition, the units have sophisticated information and communication features, allowing better coordination and interaction with and between responders, plus a visual interface for more efficient information access. The system can be integrated with temperature sensors and even multiple cameras, providing a flexible 3D view of different areas.
A major option to the stationary units is the addition of media capacity for high traffic areas, creating a source of advertising revenue. The systems could be leased, or even purchased as an investment, with advertising providing a potentially significant financial return.
Sector 10 clearly represents a quantum leap in emergency preparedness, filling an essential need that has never before been addressed in such depth. Although terrorism and large scale disasters are obvious concerns, perhaps even more relevant is the issue of building fires, which kill more Americans every year than all other natural disasters combined. And non-residential buildings account for close to half of all fires. Moreover, the sprinkler systems that are meant to douse fires before they spread fail in 1 out of 6 commercial building fires.
The bottom line of Sector 10’s importance will no doubt be written in the number of lives saved as more and more of their one-of-a-kind systems are installed throughout America and the world.
Stratos Renewables Corporation (SRNW.OB)
Stratos Renewables Corporation (OTCBB: SRNW) is an emerging agro-energy company that plans to become one of the world's lowest cost sugarcane-based ethanol operations. The company's sugarcane and ethanol operations are based in the South American country of Peru, which has historically achieved some of the highest yields of sugarcane in the world.
Stratos is well positioned to become a leader in the sugarcane ethanol industry. One major factor in the company's favor is Peru's superior soil and agricultural climate conditions which allows sugarcane to be grown and harvested on a year-round basis. This factor boosts the number of gallons of fuel that can be extracted per year per acre.
Another very key factor in Stratos' favor is that the US tariffs on sugarcane ethanol do not apply to Peru, which has a free-trade agreement with the US and Canada. Therefore, the company has a cheaper product, due to the longer growing season, and no tariff is imposed on their product. Finally, another favorable factor for Stratos is that the company's location in Peru affords low transportation costs for export and distribution due to its coastal access and proximity to the Pan-American Highway.
The current energy market is driving demand for more efficient, cleaner and less costly renewable energy sources. Sugarcane-based ethanol has a fossil-fuel ratio of 8-to-1 - that is one unit of energy for every eight units of renewable energy produced. This is far superior to ethanol produced from corn where the ratio is closer to 1.6-to-1. Sugarcane-based ethanol also creates no net carbon dioxide emissions.
At the micro-level, by fully controlling the entire process, Stratos should be able to control their costs and enjoy unparalleled profit margins. All the macro-factors, from Peru's climate to the increasing global for biofuels, should bode well for the future of Stratos Renewables.
Universal Tracking Solutions Inc. (UTRK.OB)
Universal Tracking Solutions Inc. is an enterprise solutions based provider of telemetry and GPS fleet tracking systems. The company's mapping technology combines several of North America's premier GPS mapping providers, such as Garmin, into one application. This application enables detailed street-level mapping in the US, Canada and Mexico.
Universal Tracking Solutions specializes in providing an affordable solution to small and mid-sized companies that enables them to track their fleets in real-time with GPS technology. Business users of the company's application stand to benefit in many ways. Among the positive benefits are: reduced fuel costs, reduced carbon emissions, enhanced Homeland security measures, increased productivity and accountability from employees, along with improvement on safety and liability issues.
The company's financial performance is showing nice improvement. Company CFO, Terry Horne, recently stated that “2008 has proven to be another banner year for Universal Tracking Solutions. We managed to decrease our year over year expenses while growing our revenues 48%. We did all of this while decreasing our losses by over 70%”. The company's loss for fiscal 2008 was only $87,314.
In another recent statement, Keith Tench, CEO of Universal Tracking Systems added, “UTS weathered a difficult 4th quarter in a very tough environment and we are pleased with our year over year growth. The company grew almost 50% in one of the most challenging markets since the Great Depression.”
Mr. Tench made a very valid point about the challenging economic environment. With businesses of all sizes actively seeking to take cost savings to the next level, the market for fleet GPS tracking systems is expected to continue growing rapidly. Universal Tracking Systems seems well positioned to take advantage of that expected growth.