I am planning to load up and add more cheap shares on the next drop, as I think this one is headed to $1 on the next news cycle by Christmas. They will be reported their first income revenue once the take over merger is complete, and that news will move this stock way up fast!!
I am still long and adding here, by I am not trying to push the price up by buying too fast. Too much good news and too little volume here for me to panic over low prices driven by shorts in a slow, dead end of summer, market. I love Walmart bargains!!!! Short away!!!! I am buying and holding.
This is from the 10-Q filed the other day:
During September 2009, the Company entered into a letter of intent to form a joint venture with Genes Guohao Technology Co., Ltd. (“Guohao”), a Chinese corporation. The agreement stipulates that the companies will collaborate on modifying the Company’s DCGT engine for coal fired power generation applications utilizing Dry Coal Slurry Fuel. The agreement specifies that Guohao will fully fund the project and commit its industrial, engineering, and technical development resources to its success. Guohao has committed $300,000 U.S. dollars to initially fund the project. The agreement also stipulates that the Company and Guohao will form a joint venture whereby Guohao will be licensed to manufacture, market and sell the DCGT coal fired engines in Mongolia. The Joint Venture Letter of Intent further specifies that Guohao, as part of the Joint Venture Agreement, will form a new corporation, and that the Company will license the DCGT to the new entity for a 49% stake in the newly formed corporation. As of June 30, 2010 Abm engineering has been conducting research into the use of coal slurries as a fuel source for the DCGT, under our agreements scope of work. Upon completion Abm intends to conduct preliminary testing to demonstrate its viability. As of June 30, 2010, a joint venture agreement has not been entered into.
The Company entered into a Strategic Alliance Agreement dated August 10, 2009 with Tianjin Out Sky Technology, Co. Ltd., a Chinese corporation (“TIANJIN”). The Company entered into the Agreement for the purpose of collaborating on the engineering, technical development and commercialization of the DCGTE for motorcycle engine applications; and for the subsequent manufacturing, marketing and sale of the DCGT engines in China once commercial market potential has been achieved.
The Agreement provides in material part that the Company will (a) provide TIANJIN with milestones and get them up to speed on the current status of the development; (b) file for patent protection in China under Patent Cooperation Treaty; and (c) file for new engine application with World Intellectual Property Organization. In addition, the Company and TIANJIN intend to form a joint venture whereby TIANJIN will be licensed to manufacture, market and sell DCGT motorcycle engine in China.
TIANJIN and the Company have agreed to work in good faith towards modifying the engine for motorcycle engine applications. TIANJIN has committed to fund up to 10 million US dollars over the next 18 months for project development costs and will work with the Company’s development partners to aid in the development of a viable motorcycle application for the DCGT. TIANJIN will also purchase up to 5% of the Company’s common stock on the open market.
As of June 30, 2010 TIANJIN and their engineering team have been working at their own expense and have submitted Phase One design drawings for a motorcycle DCGT engine. The Company is currently reviewing the designs.
The Company entered into a Cooperative Agreement (the “Agreement”) dated April 27, 2010 with Beijing Royal Aerospace Facilities Co., Ltd., a PRC corporation (“Beijing Royal”), for the purpose of providing a framework for the collaboration between the two companies on the development and commercialization of the Detonation Cycle Gas Turbine Engine (“DGCT”) specifically for application to heavy duty trucks, with Beijing Royal to be the Company’s exclusive development partner with respect to 300 – 600 HP DCGT in the People’s Republic of China. The terms of the agreement replace the terms of the agreement dated January 21, 2009 with Aerospace Machinery and Electric Co., Ltd. The terms of the agreement call for the Company to complete the design plan for the 540 HP DCGT engine with three (3) months and submit it to Beijing Royal for further submission to PRC regulatory authorities for review and approval. The parties have agreed to execute a more detailed joint development contract upon the approval of the DCGT project by PRC regulatory authorities to specify the details of their cooperation on the development of the DCGT.
The Agreement further provides that all documentation provided by the Company to Beijing Royal at this stage shall be solely for the purpose of making a funding application, and that any further use shall be by agreement of the parties. The intellectual properties jointly developed under the Agreement would be owned by both parties equally.
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Alpha has completed the design and prototype of a 540 hp engine for use in highway trucks. The Company entered into a contractual agreement (the “Agreement”) dated July 1, 2008 with AbM Engineering, LLC (AbM) for the purpose of the continued development and testing of the current 540 horsepower DCGT engine and a 70 horsepower/50kw generator combination. AbM is currently working in a collaborative effort with AMEC’s engineers to modify and test other DCGT engine applications.
Under our Agreement with Alpha, they will continue to consult and advise with AbM Engineering on future developments of this 540 horsepower DCGT highway truck engine prototype at AbM’s facilities in Daytona Beach, Florida. We receive ongoing status reports of their progress but do not participate in the design, construction and/or testing of the engine. This new energy efficient detonation cycle gas turbine can be designed and manufactured as a new or replacement engine for all heavy duty trucks that utilize engines ranging from 300 to 1,000 horsepower.
It was our initial intention to target 18 wheel class 8 vehicles commonly used for transporting goods throughout the United States for distribution of our engine, however, the Company now intends to license other applications of the DCGT engine technology as deemed necessary and appropriate to further the development and commercialization of the engines.
The following steps have been or are being taken by the Company to demonstrate the viability of a final prototype engine:
Step 1 The completion of the design has been done and the prototype engine has been built
Step 2 The Company has leased its office and demonstration facilities
Step 3 The Engine is undergoing continuing testing and development, the cost of which is anticipated to be approximately $2,500,000
In Step 3, we will rely on AbM, AMEC, TIANJIN, GUOHAO and potentially other foreign or domestic partners to develop and test the prototype engine at their facilities. AbM, AMEC, and the others will conduct test demonstrations to show the viability and function of the engine. The cost of the on-going testing is expected to be funded from the proceeds of a private placement offering.
and:
Unregistered Sales of Equity Securities and Use of Proceeds
During the three month period ended June 30, 2010, there was no modification of any instruments defining the rights of holders of the Company’s common stock and no limitation or qualification of the rights evidenced by the Company’s common stock as a result of the issuance of any other class of securities or the modification thereof.
During April 2010, the Company issued 40,000 shares of common stock for cash at a price of $0.34 per share.
During April 2010, the Company issued 24,000 shares of common stock for cash at a price of $0.36 per share.
During April 2010, the Company issued 1,795 shares of common stock for cash at a price of $0.39 per share.
During April 2010, the Company issued 3,570 shares of common stock for cash at a price of $0.42 per share.
During April 2010, the Company issued 2,500 shares of common stock for cash at a price of $0.43 per share.
During April 2010, the Company issued 7,955 shares of common stock for cash at a price of $0.44 per share.
During April 2010, the Company issued 10,000 shares of common stock for cash at a price of $0.45 per share.
During April 2010, the Company issued 55,000 shares of common stock for services valued at a price of $0.49 per share.
During May 2010, the Company issued 28,572 shares of common stock for cash at a price of $0.35 per share.
During May 2010, the Company issued 14,000 shares of common stock for cash at a price of $0.40 per share.
During May 2010, the Company issued 116,500 shares of common stock for cash at a price of $0.44 per share.
During June 2010, the Company issued 25,000 shares of common stock for cash at a price of $0.28 per share.
During June 2010, the Company issued 11,000 shares of common stock for services at a price of $0.30 per share.
During June 2010, the Company issued 1,000 shares of common stock for services at a price of $0.31 per share.
During June 2010, the Company issued 3,750 shares of common stock for cash at a price of $0.32 per share.
During June 2010, the Company issued 150,000 shares of common stock for services valued at a price of $0.38 per share.
During June 2010, the Company issued 100,000 shares of common stock for services valued at a price of $0.41 per share.
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The above tells me these shares are literally being stolen at today's price!!!!
Some of those sales above are to insiders of one sort or another, and they are restricted, unsellable shares at the time of issue.
And the resent low, low volume proves there is no out of control dilution driving the price down the past 10 days.
