Hi Buddy! Well, if we take the 2 billion authorized shares (that we know about) and multiply that number by the current transaction price ($0.0024)we get a book value of $4.8 million. I'm sure some real deluded, or cynical, Cyclone promoters would try to use that as an indication of the company's value. I'd find that a bit unlikely since at this moment, 11:31 AM, the total number of trades for the day is exactly zero. None, zilch, nada, nary a one. You can't establish a real market price on any commodity unless enough people are buying and selling; otherwise the book value is simply what a few interested parties are pretending it is through limited swaps. Anybody with 20 bucks can establish a new book value for Cyclone, making any posted book value questionable. I can't even remember when Cyclone was trading any significant percentage of its shares on any given day. THAT'S the real give away. If almost none of the shares are trading hands, it indicates that investors consider it to be way over-priced. Imagine that, the current "book value" is about 7 3/8 percent of what investors put in and no one will touch it at such a "bargain price".
For all Cyclone's talk of having engines in the Beta phase, I haven't seen any concrete proof that they ever had a successful alpha engine. I figure I could probably build a workable "alpha" model prototype for between $100,000 and $150,000 (including buying used machine tools at fire sale prices). That would require doing all my own calculations, computer aided drafting, pattern making, machining, tube bending and so on. Working full time on such a project, I might be able to have that alpha model ready for testing by early 2018. By alpha model I mean that it would be reasonably close to a production configuration along with considerations of design features needed for manufacturing. It would not, however, be nearly sufficiently refined to qualify as a real pre-production beta or gamma model. Even if it tested out OK, there would be a lot of further testing and redesign needed to optimize performance, guarantee durability and integrate all the features in such a way as to minimize production efforts while maximizing value. We can assume that would take a lot more time and money than just putting together a workable prototype that actually met all your basic criteria.
Needless to say, this isn't going to happen. I don't have some 3000 man-hours I can invest in that amount of time. Perhaps more importantly, I can't even begin to make a legitimate business case for an advanced Rankine Cycle power plant. After you get through all the Cyclone blather about superior efficiency, cheaper manufacturing costs and really inexpensive fuel you have to face the realities. Those realities show that manufacturing costs will always be higher for any competitive start up product and that superior efficiencies rely on a bunch of assumptions that you can make the machine work under really extreme conditions. If you approach it logically, you realize that internal combustion engines could also be much more efficient if they could run under much more extreme conditions. Since the Otto Cycle is inherently more efficient, steam will always lose out when placed on an equal footing. Harry was assuming that every engine manufacturer in the world was too stupid or lazy to embrace all these wonderful materials and concepts that would allow for higher pressure and temperature operation....he seemed to entirely dismiss the possibility that they knew right where the practical limits are based on decades of manufacturing and highly experienced engineering staffs. So far the evidence indicates that they were right and he was wrong.
To get back on track. I haven't seen any proof that Harry can do the basic engineering calculations needed to refine a design (the surface areas of his steam generator and condenser seem to bear out this assumption. He always hired "technicians" to do the dirty work of manufacturing parts --- or contracted it out --- both at high costs. Trust me, doing this whole job single handed would be really punishing but costs escalate rapidly as you try to delegate the work. Hiring engineers and machinists costs money, both professions are well compensated if you want to hire competent people. Maybe, just maybe he could raise enough cash to develop a decent proof-of-concept model if he did all the work himself, gratis. Hiring help is going to boost those prices greatly and I don't see that he can raise the money at this time --- unless he personally is sitting on a stash. On the other hand, I predicted they would have totally collapsed long before now, so who knows?
This long exposition brings me full circle. Just why do they want to post financials? At this point I'd assume the least painful thing to do would be to fold their tents and slide silently away in the night. Heck, I'm quite a bit younger than either of them and you couldn't induce me to get involved with something this draining. Have they been knocking together new mockups to try luring investors into an alternative scheme? Do they think the well isn't dry yet if they re-pitch the proposal sincerely and creatively enough? The whole proposition seems a bit off to me; there has to be some rationale for holding on. I just can't figure if it's logical (from their viewpoint) or simply imaginary.
Tom
AI
