QS Energy Inc (QSEP)

[zerospec]

"We all can speculate at what has been agreed to re the NDA with TC. The only thing we do know for certain is the AOT Midstream device works."

Mr. Sano, I'm a show me kind of person also. But deep down I think it will work. But I'm not so sure it will be worth $1,000,000+ per AOT to TRP. Currently we're leasing 4 AOT's for $60K per month and we are guaranteed 6 months of revenue. TRP can buy them outright at $4.3 million. That's a huge markup for equipment that hasn't been proven on an actual pipeline (unless it's just used as a marketing feature). Buying four AOT's for $4.3 million after paying us $360,000 in lease payments doesn't make any sense to me unless we are not recovering our costs on this initial lease term. Since this is a "pilot" program, maybe we are not getting back all of our sunk costs in building this "fourpack." People have speculated on this board that TRP may buy somewhere between 12 and 15 of these on the existing pipeline(maybe more). That leads me to believe that there must be tremendous expected value in the AOT. And of course I hope it works out that way (in the next two months). But what if it isn't a great product but a "good" one. Maybe they put these on bottlenecks and chokepoints only. Then my issue is what is the cost to produce one AOT. I think TRP paid for shipping and installation on this pilot program. And I would think that shipping these would be expensive. I would actually like to purchase more shares if I could reconcile the lease payments to what seems to be an exorbitant purchase price IMO.