QS Energy is a pump-and-dump scheme. Despite several reports that management has bought shares into the companies lately, nothing fundamentally has changed since the Save the World Air (ZERO) days. The company keeps promoting its AOT Technology and promising that actual orders are around the corner.
The placement of the AOT at Kinder Morgan and Transcanada has never resulted in any orders after the test period, indicating that the results are not commercially interesting for them. QS Energy can hide behind the ND agreements, and not actually share the benefits.
The technology behind the AOT has no scientific merits. The scientific articles by Rongjia Tao of Temple University that are at the core of the patents used in the AOT technology never actually share results that indicate statistically significant reductions in the viscosity of oil.
Previously, when the orders from Kinder Morgan were not coming in, the company used diversions such as AOT Upstream, Joule Heat and even plans to buy oil assets that subsequently were discarded. These are distractions for shareholders from the fact that the AOT will never be commercially viable and that the company will continue to burn through $3 million annually.
The purchases made my board members are again a diversion. First of all, the dollar amounts involved are fairly meaningless. Additionally, some of the purchases are the result of conversion of notes and options, so not an outright open purchase. And the company needs to raise a lot of cash to keep afloat, and that is why the confidence game of keeping the stock price high is important.
The company will face another liquidity crisis later this year, and the share count will keep ballooning until investors lose confidence.
$53 million market cap for a failed technology with no scientific merits and no commercial viability (even in the form of one small order) is a rich price to pay for this pump-and-dump scheme. And you would imagine that some long term believers after years of lies would learn their lessons. This is $0 long term.
