Cyclone Power Technologies, Inc. (fka CYPW)

[BuddyWhazhizname]

From the February 11, 2014 Letter to Shareholders press release:

Based on these milestones, we feel confident that our sales for the limited first generation WHE-DR will be approximately $2 million in 2014 – revenue which will support the next mass manufacturing phase of product development.

$2 million this year?

Here's what they have on the books:
1) $150K from Phoenix when the WHE-DR successfully runs for 200 hours (not done yet).
2) $100K from Phoenix for 10 more prototype engines, after each passes a 200 hour durability test (not to be ordered until after the above).

The details of the $1,000,000 Phoenix purchase order press release include:

The binding purchase order covers the delivery of a minimum of 10 Generation 1 WHE-DR engines for field testing and pilot programs this year, at an average price of $10,000 per engine; a minimum of 65 Generation 2 engines in 2015; and a minimum of 230 Generation 3 engines early in 2016.

So if OSU can make the engine run for 200 hours ($150K) and if Phoenix accepts the first 10 engines ($100K), Cyclone's revenue in 2014 will be $250K.

Where are the other $1750K in sales supposed to come from?

These are only bare steam engines Cyclone would be selling. Buyers need to invest in boilers, condensers, feed pumps, generators and control systems. Not to mention trying to buy boiler insurance. That's going to be a lot of money to invest in and engine that's only run 24/8 and produces 7 kW.

It would be great if they could share with us who they think these customers are.