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I prefer the entire disclosure not the edited one!
http://yahoo.brand.edgar-online.com/displayfilinginfo.aspx?FilingID=12379047-908-113013&type=sect&TabIndex=2&companyid=71342&ppu=%252fdefault.aspx%253fcik%253d1103795
10q Page 17 last paragraph in its entirety:
“In February 2016, the modified AOT equipment was installed at Kinder Morgan’s facility. Pre-acceptance testing was performed in April 2016, culminating in more than 24 hours of continuous operations. In-field viscosity measurements and pipeline data collected during this test indicated the AOT equipment operated as expected, resulting in viscosity reductions equivalent to those measured under laboratory conditions. Supervisory Control And Data Acquisition (“SCADA”) pipeline operating data collected by Kinder Morgan during this test indicated a pipeline pressure drop reduction consistent with expectations. Kinder Morgan provided the Company with a number of additional crude oil samples which were tested in the laboratory for future test correlation and operational planning purposes. Based on final analysis of in-field test results, SCADA operating data and subsequent analysis of crude oil samples at Temple University, Kinder Morgan and QS Energy are considering moving the AOT test facility to a different, higher-volume pipeline location. The Kinder Morgan Lease is currently in suspension and lease payments have not yet commenced.”
So as you can see the KM lease is in suspension. That’s not a good thing! lol!!
“US Naval Research Lab paid Professor Tao to do that paper.
If you look for the original brief, you will find he was spot on.
“
Sounds like Zinke made another introduction. Tax payers should ask for their money back as any hack sketch writer could have come up with a better solution than 1000 ft walls! Just another ridiculous paper by Qsep inventor and chief scientist.
It boggles the mind how anyone can take this professor and this company seriously.
“AOT created pressure drop that was recorded on scada data, there is no denying AOT works.
They have that in their pockets
All of Taos work has been a hit, look at those who continue to award him grant funding.
“
lol...absolutely comedy! Actual customers beg to differ! Tcpl terminated the test without completing it’s full term of a mere 6 months! Disclosures clearly indicate that the test was designed poorly and all parties mutually agreed that nothing conclusive could be drawn from its installation. Besides if it was a “hit” then China, Tcpl, and Kmi would have executed the options to buy or lease but that didn’t happen. Inferring that Aot or anything else he has come up with is proven or is in demand is simply a misrepresentation of the the facts.
“
Coffer's work hasn't been put through a peer review yet, but he recently submitted it to the Electronic Journal of Severe Storms and Meteorology. “
Coffer is modeling Tao’s theory which Tao himself failed to do. In the real world shoddy scientific findings are not assumed valid because of the quantity of peer reviews. The numerous comments by experts in the field and other studies pan this theory as just bad science. Coffer just happened to spend time to prove it! Even when Coffee increased the height of the wall to 2500M (Tao proposed 300m) it still had no effect on the reduction of Tornados.
For Qsep’s chief Inventor this is a clear pattern of behavior. Just like his many other claims made in regards to Qsep products. It’s just another example how Tao looks for headlines but doesn’t support the claims with real science or leaves gaping holes in the methodology. That’s why every Qsep fielded product to date has failed. In fact I challenge anyone to show a successful product that Tao has EVER invented. This is the guy who is the inventor of all Qsep products since Elektra!
Here’s the real science interpretation of Tao’s tornado wall:
http://www.ejssm.org/ojs/index.php/ejssm/article/viewFile/141/100
Conclusion; doesn’t warrant further investigation!
“"People were amazed at the energy savings when we first tested this device. They didn't initially understand the physics," said Tao. "A second test with an independent company was arranged and found the same thing." Tests on a section of the Keystone pipeline found that the same flow rate could be achieved with a 75 percent reduction of pump power from 2.8 megawatts to 0.7 megawatts, thanks to the AOT device. The device itself uses 720 watts.”
Keystone pipeline engineers don’t understand the physics!!!! This is a game seeking prof not a legitimate scientist working to developer a workable engineered solution.
Must have missed his API presentations where he claimed Tcpl saved over 70% in power to pump midstream crude in the Tcpl terminated field test. He even made the statement that Tcpl engineers didn’t understand what was happening!!! Yeah I bet they didn’t!
Or...his claims of 20% increase in mpg simply by adding magnets to his Mercedes auto fuel line or hi rise intake as he drive it around town!
Or the reduction of blood pressure in patients by apply a magnetic field to the subject arm!
Or that zapping chocolate with an electric field would reduce viscosity and its fat content yet make it taste better!
It goes on and on...this is the guy who is leading Qsep technical development of products they are trying to pitch! It’s comical at best that Temple still recurves a single dollar of licensing for Tao’s work.
Qsep scientist is a headline seeking prof that has no problem getting paid to publish wild claims which are never verified...and it’s not just one instance!!! Tao’s auto combustion claims ripped by Toronto Aerospace engineer. His chocolate Aot criticized by food experts as hype. The tornado wall destroyed by experts in field! I don’t know about others but if I was an investor in a company that had a loose cannon of a scientist making whacky presentation just to get done press...rather than fielding sellable products I would be very unnerved! This is guy who is heading up Qsep technical development and research!
Wow...Aot xl was drawn on a napkin by the crack Qsep engineering team and now it’s proven!!! Hahaha!!!!Elektra and all auto related products has been missing in action since it was purged from public disclosures 5 years ago! Not a mention of any auto related products in any 8k, 10q or 10k!
“Poorly conceived'
Another leading tornado expert, Prof Joshua Wurman of the Center for Severe Weather Research, was equally dismissive of Prof Tao's proposal.
"Everybody I know is of 100% agreement - this is a poorly conceived idea," he told BBC News.
"From what I can gather his concept of how tornadoes form is fundamentally flawed. Meteorologists cringe when they hear about 'clashing hot and cold air'. It's a lot more complicated than that."
Another whacky theory by Qsep inventor/scientist picked apart by real experts in the field! It’s clear that Aot inventor Tao is only looking for press coverage and notoriety. He is another useful prop for the ongoing show that is based on this bad science.
The real science community scoffs at Qsep chief scientist conclusions ! Here’s what they said about Tao’s proposed billion a mile tornado wall:
“Another expert, meteorologist Mike Smith of AccuWeather Enterprise Solutions, also called the theory "nonsense."
"The old cold air hitting warm air canard," Smith wrote on his blog. "That is misleading at best, especially since most of the violent Plains thunderstorms occur along a 'dry line' where there is a relatively small temperature difference."
This is same guy who has been working on Aot since 2006.
Here what critics said of Tao’s tornado wall!
“"This is essentially a case of a physicist, who may be very good in his sub-discipline, talking about a subject about which he is abysmally ignorant," Brooks said.
Another expert, meteorologist Mike Smith of AccuWeather Enterprise Solutions, also called the theory "nonsense."”
This is the inventor of the products for which Qsep is trying to sell! Caveat emptor!
Here what the food science people thought of Tao’s chocolate AOT!
“Other researchers have also criticized the study for misrepresenting the size of chocolate particles in the calculations – a claim that Tao refutes. “This work falls short on the scientific side and builds unnecessary hype to a technology that may indeed have some merit in the industry,” adds Rich Hartel, a food scientist at the University of Wisconsin-Madison, US.”
Aerospace engineer and Canadian Professor rip Qsep inventor a new one!
“The paper gives the impression that the authors may not be familiar with physics and chemistry of combustion in general and internal combustion (IC) engine combustion technology in particular. “
More spam...nothing this company reported has ever come to fruition. 10k in March will blow the lid off of all the theories of an impending sales boom. 2017 will be another year of losses and executive payoffs!
“The big players in the oil industry want the PROVEN AOT as per the EVIDENCE below. This is about the PRESENT, NOW & the FUTURE, not what happened 15 years ago. “
Brilliant! But I’m not the one posting scientific rebuttals that are 10 years old! Unfortunately it’s impossible to argue the fact that the current state of affairs is as follows:
# of sold or licensed products after 18 years of development = 0!
# of years Qsep has been working on Aot = 13!
“The paper gives the impression that the authors may not be familiar with physics and chemistry of combustion in general and internal combustion (IC) engine combustion technology in particular. “
This is how Academic peers view Taos work! Laughable that Qsep made it past a few years of playing at business! Mute hamsters would have done a better job...but as long as shareholders continue to allow management to unaccountable for its inactions then effectively they have a free pass to keep throwing darts against a wall!
Lol...what a laugh! Nobody is buying that snake oil nonsense. The repetitive posting of marketing releases has no relationship to product sales. The company can lie all they want as long as shareholders don’t make a fuss which just reinforces the idea that management assumes its investors are stupid and reluctant to question the real facts. It’s pitiful but a reality!
Temple is happy to let Tao and pretty much any other prof drive in licensing revs. Especially for a product that will never reach market. Each year they have maintenance fees on both licensing agreements. As long as they can keep finding companies willing to fork over cash to buy some legitimacy they will be content to let professors make claims that suits the marketing and promotion requirement of many companies like Qsep. Pay to publish profs can claim whatever they want but in the science community any hypothesis be is not proven until it can be duplicated by a some independent peer review. I fount Qsep will ever subject its claims to any real scientific scrutiny. They will just continue to point to a paid third party testing facility they used years ago!
lol...more spam in the can press releases that the company keeps trying to fire off but the powder is wet and useless! It is comical to propose that shareholders are buying into the notion that Qsep PRs are evidence of fact. Most have been hearing since 2006 which was the year Qsep started to market Oil viscosity products an extensive study three year study. 12 years later no adoption of anything!
“
ABSOLUTELY FALSE. Great rebuttal document from Professor Tao in the link below which is the TRUTH & FACTUAL :
https://www.researchgate.net/publication/231274137_Response_to_the_Comments_Fuel_Efficiency_of_Internal_Combustion_Engines
“
Wow...again with the absurd argument from 10 years ago regarding fuel saving devices for autos! Dead long ago...killed on mythbusters and a Canadian professor who handed Tao his head! Remember fuel injection license fees in amount of hundreds of thousands of dollars are way past due and are accruing with a 10 % interest. Wait though... according to some pundits those fees have been simply “written off” ohh that argument got vaporized with the last 10q. Oh well...wouldn’t be the first time that so called good news just evaporated! lol!!!!!
It doesn’t matter if it’s a scam or a deception or just inept or greedy management the results are the same. Not a single product based on this supposed technology has been sold or is under active testing! No current orders and the last contract was never executed with no payment of any kind! It is absurd to believe it would take 18 years to monetize products based on this principal and its doesn’t take that long to find out that management has spent most of cash on themselves and overhead! Also pas long as professors are willing to publish theoretical papers in support of penny stock products then these types of scenarios will still go on. I would say Tao is complicit although Qsep management has lied on numerous occasion which may have merit but costly to pursue.
lol...that was a test that produced nothing more. In fact total revenue generated by Qsep is less than 300k for the entire 18 years of its existence...curiously the previous last two CEOs were paid a greater annual severance amount to walk away..this after squandering raised cash and delivering nothing of value to its shareholders.
Current burn rate is approximately 7k a day... the cenovous test paid for a week of operation less Temples licensing cut!! Qsep management must believe its investors are stupid and who can blame them. They have been getting away with the same stunt for years...no reason to alter course now!
That link is from a discussion in regards to fuel combustion efficiencies in diesel/gas engines of which Tao has limited if any real expertise. This discussion also was 10 years ago and Qsep still was unable to field a single product that used this tech and corroborate Taos mileage claims. Even if one accepts the unlikely assumption that Tao is right Qsep did absolutely nothing with it.
“
There are two plays in that case: P&D, which is obviously not what they're doing; or legit business. “
It’s an insult to call Qsep a legit business. They don’t have a developed product, they have no active customers and the scientific principals for which the entire company is based is sketchy at best! The millions of dollars of shareholders cash squandered on this high school experiment cannot be justified by any reasonable thinking investor yet the praise for its management has continued unabated for decades. Kyte, Bigger, Lane...all were applauded as saviors of the company.
“
ABSOLUTELY FALSE. This is why TRANSCANADA is showing "CONTINUED INTERESTS" in the PROVEN AOT. This is ABSOLUTELY TRUE. From the Business Plan. AOT Case Study. This is clearly in reference to TransCanada & the PROVEN AOT. “
Tcpl contract has been public ally acknowledged as terminated years ago and the tons of useless pipe are now sitting in the new Qsep hall of fame located Tomball, along with the assortment of failed product like Elektra, magchgr, catmate, joule heating and Aot super size! This are worthless props used to promote investment and extend the notion that progress is being made!
“
Yah sure. I just mean that, who on earth hands over money like that without the strong expectation of a return”
Well none has handed over any big money for preferred shares and there are a boat load of common shares (200+ Million) available to continue the plunder along with a fistful of warrants. Besides nobody knows what the interest rate or conversion factor would be...so any speculation would be just that! It seems this is the companies modus operandi. Let investors speculate without news or facts...that way the company wont violate any SEC oversight and they don’t need hire fast talking stock promoters...although Lane and Qsep both have relationships with “M” group. That outfit took fluff to the next level!
There are no indications there is sales on the horizon....even if by some miracle they announce some sale or creative revenue license..they are still years away from fielding any viable commercial product. It took them years to figure out a beta test at Kmi pumping a diluent that they never got paid for but continue to spin as successful with whole” value added engineering” bs lol! It’s as if Qsep management assumes investor cannot read and the current CEO doesn’t seem to be changing that story anytime soon.
“
It's likely they could drag it out to March or something, given that their burn rate is probably not too high(?)”
Last Q they burned close to 7k a day...basically 10% a week of the last Q cash position. They are not going to be able stretch anything out and previous along with current management have never been conservative in anything they have disclosed...that continues today as evidenced by the brush off one line sentence addressing the KMI contract suspension. Management will milk this for another 12 months.
Qsep management knows who they work for...it’s themselves and insiders friends and family!!This has been an insider enrichment scheme propped up by bad science from a university professor willing to get paid to publish theoretical papers on products that have never passed the smell test. If running micro amps through a viscous flow actually reduced viscosity it’s value to industry would not go unnoticed for decades and would be on par with some of the greatest technical discoveries in last 50 years. It is not... academic peers are not reviewing or duplicating the effect and the press investors see is through trade journals that would print just about anything that Tao blurts out! The idea that a businessman would let Qsep hunker down at his (former???)company hq without a lease or explanation of the relationship is just another indication that this is not a legitimate deal. It’s all for show...it’s what has enabled Qsep to last this long. They need bigger props each season to show that they working on something...no matter how meaningless.
lol....Aot, Aot xl, Aot super size, cat-mate, Magchgr, ExoChgr, Elektra, Joule Heating, etc etc etc...all failed products!
Lol...shows over. Pawns against kings! Too much hype in crypto to fool around will a generic Qsep. They had 18 shots at it with over 10 different products and sold only snake oil. Total sales since its existence is less than 300k which is the 1 of 2 years severance due Greg Bigger under the terms of his golden parachute!
100 share prop buy at the close just so converted note holders can cash out at .175!
Character? He may have appeared that way way but remember lorsch hunted down anyone who didn’t glorify his fake company by paying a bounty to expose personal info about them! His minions, followed his every whim and
rejoiced in exposing dissenters who questioned the financial results of a public company! I don’t wish death on anyone..but Lorsch had a lot of issues and CEO’s of public companies don’t engage in this type intimidation. As an example: He called me several times and threaten to sue me on behalf of his investors. Basically a garden variety SLAPP lawsuit to chill free speech. Fortunately I didn’t flinch and told him that only sales matter and if he did that all would work out but many others ran for cover...I wonder how money people lost their investment because they could not believe Lorsch was anything else but golden.
“All dissenters will be eliminated with EXTREME PREJUDICE with the simple weapon of REVENUES! This company is going to do very well and those dissenters nipping at its heels will be lost in the dust as we leave them far behind and forgotten about. JMO”
Kinder Morgan tested Aot for condensate not mid stream heavy crude...which like Tcp also failed to generate any reoccurring revenue even though there was a disclosed signed contract to the contrary! Repeating old prs that haven’t generated a single reoccurring revenue stream maybe the way the company squeaks by each tear but no news of late is definitely not good news!
From Qsep last 10q
At September 30, 2017, the Company had cash on hand in the amount of $587,000. Management estimates that the current funds on hand will be sufficient to continue operations through January 2018.”
2018 is here and the theme is dilution, dilution, dilution. In fact if anything is an Ediluent it’s Qsep’s ability to strip its investors of ownership. That’s the only reasonable prediction that is possible to make! As long as investors are willing to let management wholesale shares in lots of 10-20 million then this micro cap can survive another year. The fact that they raised money for almost 2 decades to pay themselves and set up in lavish high rent areas means they are great snake oil salesman and understand they need a world class prop and a semi legit scientist and inventor to make outlandish claims that are safeguarded from SEC restrictions. As for product development and engineering of any product from auto to pipeline....well that answer is clear. No single Qsep prototype is online anywhere. This after a decade of chasing the magic white pipe dream. 2018 is another throw away year that will billed as the greatest development in company history! Aot will now used blockchain to bill for its pay as you go till!
100 shares buy at close tells the story.
Lets look at what the company has said in each December in its annual update:
From 2016 Update
“Looking forward to 2017, I'm pleased to say we have three active, collaborative AOT projects on our agenda. The first is documented in the November 28th, 2016 Form 8-K filing which sets forth the stages of AOT testing at the facility of a vertically-integrated company active in Alberta's oil sands region. The initial phase will commence in the first quarter of 2017, with a fully functional laboratory-scale AOT device. The objective is to assess the technical capability of AOT technology under field operating conditions characteristic of the oil sands. Following that process, based on positive results, the next stage would call for a full pump station installation ("Field Test"). Previous viscosity reduction and related tests performed on customer-supplied samples at Temple University's Department of Physics were highly favorable, which led to the current Field Test Agreement.
The second collaborative project involves a trial assessment and then full and potentially sponsored engineering of the AOT-XL, an innovative new addition to our flagship product line. This specially configured, high volume AOT system was developed upon request by the management team at a trusted, long-term collaborative partner within the midstream sector of the domestic energy industry. Designed for very high volume pipeline environments, the AOT-XL is fabricated to meet a target of 25,000 barrels per hour capacity (600,000 bpd). Initial laboratory tests of one of their crude oil samples has also shown favorable results.
The third project is our continuing collaboration with an entity based in the Middle East, one of the largest oil companies in the world. Customer-supplied samples of crude oil are in possession of Dr. Tao's team at Temple University for the full scope of testing and analysis to replicate the efficacy of AOT. The infrastructure of this high-output producer and transporter is massive in scale and could require numerous installations of the AOT technology at strategic points. Our discussions to date have encompassed a variety of deployment scenarios based on the improved flow volume and time-to-market goals of the customer.”
Wow...three active programs
and Zero revenue. Bravo!
From 2015
Quote:
“I am extremely pleased that today we are now in a more advantageous position than at any point in our history. Our commitment to a bifurcated strategy of acquiring undervalued assets while further optimizing our technologies has already opened up new horizon of opportunity, and will undoubtedly drive our expansion throughout 2016.
To date we have identified target acquisitions and hope to complete our first transaction with one of them shortly, subject to our obtaining sufficient acquisition financing. Once the deal has been finalized, QS Energy will have entered a new phase as a profitable and sustainable corporate entity, with the resources and expertise necessary to capitalize on the unique market conditions that only occur in a highly cyclical industry such as the energy sector.”
Hey what happened to the genius “bifurcated" strategy...Bye bye Felicia!
From 2014 Shareholders letter
Quote:
It is our goal to re-deploy our inventory of AOT equipment with other pipeline operators in North America and internationally through our global business development efforts and our distributorship with Energy Tech Africa which provides us with representation in Africa and the Middle East. Existing and upcoming opportunities for positioning these income-generating assets will afford the Company with the necessary infrastructure venues for the next stage of AOT testing and optimization.
The Company currently owns five AOT pressure vessels; one which has been deployed to Texas under a short-term lease with options to extend the lease or purchase the equipment. This equipment is on schedule to be commissioned and the lease initiated in 2015. The remaining four AOT pressure vessels will be re-deployed either separately or together depending on the target pipeline infrastructure.
All of these objectives which we outlined at last year's Shareholders Meeting have been accomplished according to a pre-determined timeline that was both ambitious and aggressive. We are extremely proud of this effort and the accomplishments of our team and our supply chain partners and customers, given the extremely tight deadlines that all have had to operate under.
Or...they can turn them into 1500 scooby doo outdoor playground sets!
From 2013
Quote:
"The sophisticated process of designing, engineering and fabricating this innovative flow assurance solution for our customer is nearing completion and will soon be in the field testing on a half-million barrel per day pipeline system in America's heartland," Mr. Bigger commented. "I am delighted with the team's progress and our supply chain's responsiveness and quality of execution. They are truly dedicated professionals doing a job well done, and I wish to thank them and our loyal shareholders for their tireless efforts in seeing this process through. I am humbled and honored by your commitment, thank you."
Except that little detail about sending the magic pipes with a power supply a 100 times too weak! LOL!!!!!
The best comes from Cecil in 2010 shareholder update:
Quote:
"The milestones that we achieved these past twelve months have set up 2011 to be a monumental year," stated Mr. Cecil Bond Kyte, Chairman and CEO of STWA, Inc. "Throughout the course of 2010, we have positioned ourselves to take advantage of the tremendous opportunity that our energy-efficiency technology holds for crude oil transportation and diesel engine efficiency to help meet energy demands and emissions quality standards. We believe that our development of an AOT™ product line has the potential to change how crude oil is transported around the globe, resulting in significant cost savings for pipeline operators, greater safety and a reduction the industry's environmental footprint. I am excited and encouraged by the strides we have made as we get ready to begin our baseline testing in January and enter real-world application with our technology."
7 years later no adoption of any Qsep products during which time fracking in the US took off!
“
ABSOLUTELY FALSE according to the salesman I spoke to at that firm. The QS Energy property owned by the multi millionaire ceo Jason Lane is NOT for sale. “
Salesman? Qsep has no salesman because they don’t have any available product to sell except hot air! Besides if anybody searches the Qsep hq address..all those business pop up.