Treaty Energy Corp. (fka TECO)

[4MR4]

Maybe this will help with the DD.

More on request.

M

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For ARGY Investors:

http://www.stocklemon.com/your_lemon.html

http://stockpatrol.com/tips.html

http://www.sec.gov/complaint.shtml

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www.airproducts.com/Products/LiquidBulkGases/Hydrogen/HydrogenProperties.htm

Basically, 12 cubic meters / kilogram, or 932 cubic feet / pound or 7700 cubic feet for 8.3 lbs at STP. Now if you want to convert that to five hours driving endurance at a nominal cruising load, that works out to 1540 cubic feet / hour, just under 1/2 cubic foot per second. Under city driving conditions it will be a lot closer to 1 cubic foot / second. Using gallons, that is roughly four to eight gallons of gas per second.

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Survey on this

Fill in the blanks...

Fill in the pertinent info and see how easy it is to have your favorite stock suspended from trading.

http://www.sec.gov/litigation/suspensions/34-45306.htm

It's easy, just delete the italics and insert the bold

The Commission temporarily suspended trading in the securities of New Energy your favorite company because of questions that have been raised about ***the adequacy and accuracy*** of publicly disseminated information concerning, among other things, the value of certain power generation contracts the value claimed for their technology, the existence and size of certain purchase orders for solar chips the amount of and costs of hydrogen generated by their process, and the status of New Energy's your favorite company strategic partner's</I> relationship with the Los Angeles Department of Water and Power Oak Ridge National Labs.

All the little footnotes pointing to the sources don't come out right in the posting but you get the idea. Busy gov't regulators appreciate it (they even write thank-you letters) when they are spoon fed what they need to know.



“BEST OF ARGY”

Didja know?

1) The Website says:

http://alternateenergycorp.dbdta.net/default.asp?id=corporate.companyprofile

The company has been covered in Fuel Cell Today, Solar Daily, Live Power News, Canada's Centre for Energy, and a variety of news wires.

Let's go find those writeups!

Fuel Cell Today reference

http://www.fuelcelltoday.com/FuelCellToday/IndustryDirectory/IndustryDirectoryExternal/IndustryDirec...

Whoopsies</I>


2)ARGY Proposes Addition to the Board of Directors

And the website says: http://www.cleanwatts.com/boardofdirectors.asp?id=corporate.boardofdirectors.williamdizenzo

“Mr. Dizenzo became Senior Vice President of Worth Construction Co., Inc. in 1981.”

What may be known about Mr. Dizenzo?

http://www.worldnetdaily.com/news/article.asp?ARTICLE_ID=24145

WASHINGTON – snip….Worth Construction, whose offices were reportedly searched as part of an FBI probe of Waterbury City Hall, was banned in 1998 from bidding on school construction jobs in New York City because of Pontoriero's alleged mob ties.

Company officials have declined to speak to reporters.
… snip….The FEC document did disclose the occupation and
residence of the two Worth executives -- Diana L.
Vossen (construction manager) of Danbury and <I>William
Dizenzo (senior vice president) </I>of Trumbull -- but
Pontoriero's occupation was left blank.

The FBI is examining records involving a $94 million upgrade to Waterbury's sewage-treatment plant that was overseen by Worth Construction.

Worth, which was founded in 1978, has been barred since April 1998 by New York City's School Construction Authority from ever bidding on school projects in New York.

They were subjects of an investigation of criminal connections that were between the president of the company and several organized crime figures, said Daniel McCormack, a spokesman for the construction authority.

Worth was disqualified from bidding on New York school jobs after Pontoriero refused to answer any questions from authorities about his alleged association with gangsters.

Snip…

Worth was also under investigation in 1997 by the New Jersey Attorney General to determine if it was run by organized crime (snip)…. because of their alleged ties to organized crime. One of the companies was run by
Richard Gotti, brother of former New York mob boss John Gotti, according to a report in The Record in Bergen County, N.J.

Worth Construction also surfaced in a 1998 federal indictment of Gotti's son, John Junior Gotti and 22 mob associates.

Not to worry, “Connections are good in business, right?


3) Bentley Group

http://www.findarticles.com/cf_dls/m0EIN/2003_July_18/105552030/p1/article.jhtml

Mr. Blaine Froats, Chairman of Alternate Energy Corporation (OTCBB: ARGY) today is pleased to announce that application of the AEC assets that were acquired by the new AEC in May of this year have a value of
over USD $800 Million. (OH THIS SOUNDS GOOD!)

……… The Bentley Group
(Schenectady, NY), who specialize in valuation of business opportunities provided an opinion in September 2001, that the conservative value of
applying these technologies in the North American market was approximately US $841 Million."

And the Bentley Group is……

Tax Preparation Services
Bentley Group the
1311 Union St,
Schenectady, NY 12308
[phone]

The Bentley Group has over 20 years of extensive tax and financial management experience. Founded by principal owner, Tom Miceli, The Bentley Group has everything you need to meet both your personal and
professional financial needs.

Tom Miceli, known locally mainly for his fiscal skills, concedes he's pretty excited about his new sideline as managing partner of Capstone Racing LLC.

Capstone's Ms. Will a Way finished second by a half-length in the 2-year-old fillie's inaugural outing Thursday at Saratoga Race Course.
………

"I'm not about to compare our fillie with the proven success Funny Cide, but I definitely believe we have a thoroughbred of Stakes' races quality," Miceli said.

He said the Saratoga-based horse will be shipped to Belmont soon in preparation for the fillie's second start, expected toward the end of September.

Eighth Poles, Inc. Horse Training and Racing Management An Investment Opportunity to Own Race Horses Expertly Trained to Run Their Best Strategically Managed to Maximize Returns THE BENTLEY
GROUP 1311 UNION STREET SCHENECTADY, NEW YORK 12308
[phone] Price to Investors Per Unit............................$ 5,000 Total (70 units).................$ 350,000

Got any spare money?


4) LET US HAVE YOUR MONEY!! WE CAN MAKE LOTS OF HYDROGEN!!!

And the website says:

http://www.cleanwatts.com/default.asp?id=technology.faq

A sugar-cube sized piece of our material, combined with the required chemicals and water will produce enough hydrogen to fill a cubic area the volume of a football field three (3) times.

SOUNDS GREAT? Problem: Football fields have NO VOLUME, So, 3 Times 0 = 0 ) hmmmm




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What They Don’t Tell You

A work in progress. Verifiable updates and corrections much appreciated.

WHAT ANY INVESTOR NEEDS TO KNOW:

What is needed is a thorough and competent examination of the technology.

1) The cost of the materials required for the reaction
2) The cost of the reactor plus balance of plant and the weight and volume occupied by same
3) The cost of transporting reactants to the point of use
4) The cost of disposing of the spent reactant
5) Correction of the units that the company uses so they are not confusing units of "power" for "energy" and vice versa
6) Clarification of representations made regarding patent status.
7) Clarification regarding representations as to the amount of hydrogen produced through the process. Currently state that they can produce an amount of hydrogen “equal to the volume of three football fields”. Only problem, a football field has NO volume. Great way to avoid liability = claim to produce nothing.

UNLESS AND UNTIL that is done there will be:

a) No way to determine if a viable economic niche exists for the company's technology, and
b) No way to determine if the technology can be protected. "Trade Secrets" and "Secret Formulas" simply won't work in this case, the chemistry has been too well understood for too long. <I>Investors and prospective investors do not need proprietary information, just the economic basics.</I>

Here's why that matters:

An analysis of materials employed (or the spent reactant) will reveal the composition of those materials (and/or catalyst) – so much for “secret ingredients” and “proprietary formulas”. If there are no patents (and ultimately, patents surviving challenge) and no IP, then there is no protection for investors.

The oft repeated statement “call the company” is bogus. If the company is going to sell it’s stock (hoping you’ll buy) this information needs to be available to the investing public!

PATENTS

ARGY HAS CHANGED THE PATENTS THEY CLAIM TO HAVE:

On 2/6/2004

ARGY claimed: “AEC is currently focused upon the worldwide commercialization of its patented hydrogen technology.”

On 2/8/2004 That claim was changed to read: ” AEC is currently focused upon the worldwide commercialization of its patent applied for hydrogen technology.”

Digging deeper: The company website lists patents under link

http://www.cleanwatts.com/default.asp?id=technology.patents

The heading for this page is: <I>The following are patents that are filed with the Canadian Intellectually Property Office under the name of Alternate Energy Corporation.</I>

Ignoring the fact that there is no “Canadian <I>Intellectually</> Property Office” ..

If the company is to proceed with it’s stated goal of “moving quickly to complete the necessary engineering refinements and industry certifications required to enable mass deployment in 2004”

http://www.cleanwatts.com/default.asp?id=corporate.companyprofile then it appears they are doing so without intellectual property protection of record.

CLAIMS AND WIERD SCIENCE

SUMMARY OF BENEFITS

<I>· Very low cost </I>
3) ARGY claims that it is a reagent process:
same link as 2)

<I>PROCESS</I>
From the website: “Though details of hydrogen production process cannot be disclosed at the present time, the following can be answered:
AEC’s hydrogen production technology:
· Is not Electrolysis.
· Does not require external energy input of any type during hydrogen production.
· Uses only bio-compatible elements (not harmful to the environment/humans).
· Functions at any temperature above the freezing point of the electrolyte”. </I>

The condition on the energy input is an intriguing one. So, how much energy is needed during off production hours?

4) ARGY admits only water, oxygen and hydrogen as outputs, (sic) only dissociation of water by the process, even when sea water is used.

same link as 2)

<I>OUTPUT </I>
· 99.9% tested hydrogen (gaseous form).
· Oxygen
· Drinkable water.

5) ARGY admits that the source of stored energy is in the metals used. Metal refining requires tremendous amounts of energy. This directly contradicts their claims to "low cost" and "very low cost".

6) ARGY claims that their materials present no safety hazards:

Same link as 2)

<I>· Low volatility – no special storage of material is required (unlike encapsulated metal hydride, which must be stored in oils, due to reaction with moisture).
By contrast, AEC’s material can be held in the hand. </I>

7) AEC claims that low-cost is less than $0.10 to 0.12 per KW, ( an oxymoron as KW is a measure of power not energy ). We may safely assume that what they mean is KWh.

www.cleanwatts.com/default.asp?id=technology.faq

<I>The least expensive hydrogen is currently derived from the reformation of fossil fuels such as natural gas, costing approximately $0.10 to $0.12 per kw. Current cost estimates indicate that AEC can produce hydrogen at a significantly lower cost and realize a strong profit even with selling it at a very competitive price.</I>

8) AEC vague claims concerning source fuel consumption:
same link as 7)

<I>A sugar-cube sized piece of our material, combined with the required chemicals and water will produce enough hydrogen to fill a cubic area the volume of a football field three (3) times. (Note: Football fields have NO VOLUME)
...
Based on results from current in-house testing, conservative estimates indicate that our current hydrogen production unit will produce an on-going supply of hydrogen required to operate a 1kw fuel cell for several months without maintenance. The only additional requirement is the continuous addition of nominal amounts of water during this time. </I>

So, in this claim they seem to have greatly trapped themselves. They have described a chemical battery where water goes in, water, oxygen and hydrogen come out that supposedly produces at least 2 X 30 days * 24 hours / day * 1KWh / hour > 1.44 MWh = 5.2 billion joules energy storage in the reagents.

Gasoline is 20M J/pound, so ARGY is claiming that the stored energy in their chemicals is equivalent to 5.2 billion joules / 20 million joules / pound gasoline = 258 pounds of gasoline, or roughly 43 gallons at 100% efficiency.

ARGY goes on further:

<I>AEC is targeting producing enough hydrogen per minute to run a stationary home unit of 6-7kw for months at a time without refresh of material (exception of water). </I>

Which means an equivalent fuel store of over 1500 pounds / 250 gallons of gasoline, even assuming 100% efficiency in their process.

9) ARGY misappropriated the name of the Oak Ridge National Laboratories, and US DOE in their 2/3/2004 press release:

<I>...and will work with Oak Ridge National Labs and United States Department of Energy to certify and develop the optimal design of the AEC hydrogen production system and its applications </I>

later changed to:

<I>...as well as work with other appropriate entities to certify and develop the optimal design of the AEC hydrogen production system and its applications.</I>

PARTNERS

From ASTRIS SEC reports

"In August 2003, the Company announced that it had signed a letter of intent (LOI) with Alternate Energy Corporation (AEC), a Nevada based corporation, to form a joint venture. The proposed joint venture plans to combine the Company’s fuel cell and hydrogen technologies to produce and sell complete stationary electric power systems for the vast household and business markets. Set up of the joint venture will begin once due diligence is completed on AEC technology by independent third party(s)."

Since that time, you'd think that the "due diligence by independent third parties." would be finished by now. How is the due diligence is coming along?




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Cloddy, do you know?

August 5,2003 4:02 PACIFIC 7:02 EASTERN
(ASTRIS-ENERGI/ALT-ENERGY)(ASRNF)(ARGY) Astris Energi, Alternate Energy Corp. Plan Fuel Cell, Hydrogen Production Joint Venture
Business Editors/Automotive Writers

MISSISSAUGA, Ontario--(BUSINESS WIRE)--Aug. 5, 2003--Astris Energi Inc. (OTCBB:ASRNF), world leader in alkaline fuel cell technology, announced today that it has signed a Letter of Intent with Alternate Energy Corp. (OTCBB:ARGY), which has acquired the rights to a unique and reportedly low-cost technology for the production of hydrogen gas required for fuel cell operation.

The proposed joint venture plans to combine these fuel cell and hydrogen technologies to produce and sell complete stationary electric power systems for the vast household and business markets.

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Claims:

http://quickstart.clari.net/qs_se/webnews/wed/bi/Bnv-alternate-energy.Rvnp_DO1.html

The company is the patent holder of power recovery and fuel-cell-quality hydrogen production technologies for residential, commercial and industrial use. Additional information is available at the company's website at www.cleanwatts.com

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To be analyzed:

1) ARGY has claimed since last Fall to have independent laboratory verification of the purity of hydrogen released by their process.

www.cleanwatts.com/default.asp?id=technology.hydrogen.facts

PURITY
· AEC attained a purity rating of 99.9%, conducted by Maxxam Analytics on Sept
20th,2003.
· AEC has reduced impurity rates from 5000 ppm (parts per million) to only 17
ppm, far superior than the 100 ppm benchmark needed for typical fuel cell
operations.

2) ARGY claims that their process produces hydrogen at low cost.

www.cleanwatts.com/default.asp?id=technology.hydrogentechnology

<I>AEC Hydrogen Technology
History

AEC’s hydrogen production system leverages a proprietary chemical process that yields fuel-cell-quality, on-demand hydrogen from fresh or salt water, with no known harmful by-products - at low cost.

AEC first licensed the technology from the creator in July, 2003 and later acquired their proprietary hydrogen technology for all fuel cells globally in September of 2003. The technology had been developed for 23 years prior to it being purchased. </I>
...

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http://www.alternateenergycorp.com

http://www.cleanwatts.com/default.asp?id=start

GT Designs will also supervise the certification of alpha products by the Underwriters Laboratories Inc. (UL), International Organization for Standardization (ISO), National Electrical Manufacturers Association (NEMA), Canadian Standards Association (CSA), and the United States Coast Guard; and will work with Oak Ridge National Labs and United States Department of Energy to certify and develop the optimal design of the AEC hydrogen production system and its applications.

As corrected:

GT Designs will also supervise the certification of alpha products by the Underwriters Laboratories Inc. (UL), International Organization for Standardization (ISO), National Electrical Manufacturers Association (NEMA), Canadian Standards Association (CSA), and the United States Coast Guard; and as well as work with other appropriate entities to certify and develop the optimal design of the AEC hydrogen production system and its applications.

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http://www.findarticles.com/cf_dls/m0EIN/2003_July_18/105552030/p1/article.jhtml

Business Editors

LAS VEGAS--(BUSINESS WIRE)--July 18, 2003

Mr. Blaine Froats, Chairman of Alternate Energy Corporation (OTCBB: ARGY) today is pleased to announce that application of the AEC assets that were acquired by the new AEC in May of this year have a value of over USD $800 Million.

<I>Nice Headline</I>

But reading further, “Mr. Froats, further stated, "A third party consultant, The Bentley Group (Schenectady, NY), who specialize in valuation of business opportunities provided an opinion in September 2001, that the conservative value of <I>applying</I> these technologies in the North American market was approximately US $841 Million."

Ahh, there’s the rub…