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zerosnoop

06/20/17 6:09 AM

#40619 RE: Inspiration1 #40618

NOT TRUE. Shareholders are waiting for the MASSIVE ROI when the PROVEN AOT is sold globally soon. These figures are more IMPRESSIVE. It was released RECENTLY via the QS Energy twitter account. Here is the latest CORPORATE FACT SHEET with a DEPLOYMENT PROPOSAL case study included. Check out the AMAZING ROI figures in the link below. This is why the DRA & DILUENT companies & their AGENTS, LAWYERS & PARASITES are very concerned about the PROVEN AOT & the damage it will do to their industry & profits. The DRA & DILUENT companies have FAILED to stop the progress of the PROVEN AOT.

https://dl.dropboxusercontent.com/u/24014621/QS%20Energy%20Investor%20Fact%20Sheet%20June%202016%20FINAL.pdf


Corporate Fact Sheet

QS Energy’s goal is to provide the global energy industry with patent-protected
industrial equipment designed to improve the performance of crude oil pipeline
systems and deliver measurable ROI to its customers through reduced operating
costs and increased tariff revenues. Developed in partnership with, and licensed
from, Temple University and leading crude oil production and transportation entities,
we believe QS Energy’s solutions are ideally positioned to improve the profit
margins of oil producers and transporters during today's down cycle of low spot
prices and supply surplus.
Key Product: AOT (Applied Oil Technology) Oil Pipeline Friction Reduction System
QS Energy’s flagship solution is AOT™ (Applied Oil Technology), a technology which has demonstrated during
testing an ability to reduce friction and pressure drop within high volume crude oil pipelines. By lowering the
viscosity of crude oil through the application of a high-intensity/low wattage electrical field to oil while in transit,
we believe AOT will provide pipeline operators with an opportunity to transport crude oil more efficiently.
• Value engineered AOT system achieves similar results as seen in laboratory testing of crude oil samples,
forecasting optimization benefits on high volume, commercial pipeline installation
• A customized AOT unit is currently testing light-weight condensate on a significant pipeline serving the
Eagle Ford, the nation’s most productive shale formation
• AOT installation proposals are under non-disclosure level review in North America, the Middle East,
Europe, Africa, Gulf of Mexico with leading energy companies
Demonstrated Efficacy, Results-Driven Revenue:
Viability of the technology has been confirmed in testing by the U.S. Dept. of Energy, PetroChina, Temple
University and ATS RheoSystems in laboratory tests, closed loop pipeline performance analysis and test
deployments on high volume commercial pipelines. We believe a user of AOT can expect bottom line benefits
through a combination of increased tariff revenue and lower operating costs with possible ROI returns for users
in the 50% to 150% range which would imply a payback period of 9 months to 2 years.
Our technology seeks to create measurable bottom line benefits by:
1) Improving flow rates by reducing pressure drop and friction loss, enabling the pipeline operator to generate
additional tariff revenue;
2) Lowering the operating costs (OpEx) associated with running pipelines and reducing electrical power
needs. Further value may be created by increasing pipeline operator’s tariff revenues due to the higher
volume of crude oil.
For illustration purposes only, we believe an AOT deployment on a 290 mile, 40-inch pipeline carrying
1,125,000 barrels per day charging a tariff of $4.00 per barrel, realizing a 3.5% flow rate increase, theoretically
would yield an additional $156,000 in daily tariff revenue, or approximately $56.94 million net gain per year. (For
further details see ‘AOT Representative Deployment Proposal’ to users on reverse.)

AOT Representative
Deployment Proposal:
High Volume Crude Oil Pipeline
Length: 290 miles
Pipe Diameter: 40 inches
Elevation Gain: 1,300 feet
Pump Stations: 6
AOT Value Proposition
Flow Rate: 1,125,000 barrels per day
Tariff Price: $4.00 per barrel
Cost of Power: $0.30 (kWh) kilowatt hour

Daily Economic Benefit: (Payback period of approx. 9 months – 2 years)
50% ROI: $50,000 additional tariff revenue + $2,520 power pump savings = $52,520 per day
150% ROI: $156,000 additional tariff revenue + $7,560 power pump savings = $163,560 per day
Investor Highlights: Uniquely Positioned in Resilient, High Growth Industry
Rapidly expanding target market: An estimated $200 billion to be spent by 2035 (U.S. Dept. of Energy) on
midstream/downstream infrastructure to support an increase in global energy production.
Broad industry application: QS Energy solutions target the primary sectors of the oil industry: Upstream
(producers), Midstream (transporters), Downstream (refineries, offloading facilities).
High growth potential: Potential to expand AOT technology within similar and related capital-intensive crude oil
distribution and transportation networks on a global scale.
Valuable IP: Strong patent protection, proprietary technology licensed from Temple University and technical
expertise provide what we believe to be a “first-to-market” competitive technology lead.
Trusted vendor status: Well established existing relationships and ongoing collaboration with tier-one
multinational oil producers and pipeline transportation companies.
5266 Hollister Avenue, Suite 219
Santa Barbara, CA 93111
Toll-Free: 1-844-645-7737
Main: 805-845-3581
Investor Contact:
Alan Stamper
Tel: 727-771-8773
E-mail: investor@QSEnergy.com
Web: www.QSEnergy.com Ticker: OTCQX:QSEP













zerosnoop

06/20/17 6:11 AM

#40620 RE: Inspiration1 #40618

INCORRECT according to the EVIDENCE below from the RECENT shareholders update about the PROVEN AOT. NEXT

http://ir.qsenergy.com/press-releases/detail/2034


QS Energy CEO Jason Lane Issues Shareholder Update

HOUSTON, TX -- (Marketwired) -- 05/25/17 -- QS Energy, Inc. (the "Company") (OTCQB: QSEP) is a developer of integrated technology solutions for the energy industry. The following is a shareholder update from Jason Lane, Chief Executive Officer and Chairman of the Board, QS Energy, Inc.

Dear Shareholders,

It is a great opportunity and honor for me to join QS Energy as its new CEO and Chairman of the Board, and the first few weeks on the job have been an amazing ride. I have taken a deep dive into the Company's technologies and strategies; I have also had the chance to better know the entire QS Energy team, our business partners and our emerging customer base. I am energized by the ongoing developments under our current strategic plan -- one that I believe will efficiently stabilize the Company's capitalization, accelerate our sales cycle, push our Applied Oil Technology (AOT) to commercial operations, and create positive cash flow and long-term profitability for the Company.

All shareholders should know that I approach this new challenge with a clear sense of QS Energy's unique potential and the industry it serves. As a Texas oil veteran with more than 20 years of industry experience, I've managed large Landman operations; overseen acquisition and divestiture of more than 650,000 acres of oil and gas properties; bought and sold multiple royalty packages; and operated and drilled throughout the United States. Through all of those experiences, I've developed deep, high-level relationships throughout the oil industry and a clear understanding of the midstream transportation challenges this industry faces. I also understand, after many conversations about QS Energy with industry contacts, the great value that our AOT viscosity reduction technology brings to the crude oil transportation market.

Our strategic plan breaks down into three parts, all working toward common goals. In this letter, I would like to share the core essentials of that plan, as well as a bit more about our governing philosophy.

I. Adding Strategic Depth to Our Board

Our first order of business has been to fill the Company's open Board seats and complete a strong and highly engaged Board of Directors that can help execute on our vision. I joined the Board as its Chairman on April 1st. Concurrent to my appointment, and thereafter in May, the Board appointed three additional new Directors and nominated a fourth for election to the Board by shareholder vote. I am thrilled to introduce our sitting and nominated Board members who are slated to run for election at the Company's shareholder meeting on July 14th. I encourage you to read and learn more about our Board members in the Proxy Statement filed with the SEC on May 24th, 2017.

Current Board Members:

Jason Lane: Chairman and CEO of QS Energy. You've already read enough about me.

Gary Buchler: As COO of the Natural Gas Pipelines business unit at Kinder Morgan, Inc. (NYSE: KMI), Gary manages 3,900 employees, a $1.3 billion budget, and was instrumental in the acquisition and integration of more than $45 billion in pipeline assets at Kinder Morgan. Gary was appointed to the Board in May 2017 and serves on the Audit Committee.

Richard Munn: Richard is one of the top players in the royalty and mineral arena, with a track record of closing more than 50 transactions and $450 million in acquisitions over the course of his career. Richard has already begun leveraging his reputation and extensive network to make introductions regarding the AOT technology on behalf of QS Energy in the public and private energy sectors. Richard was appointed to the Board in May 2017.

Dr. Eric Bunting: As a physician, executive, and entrepreneur, Eric brings a unique perspective to the Board. As a significant investor in the Company, Eric also brings a true shareholder's perspective to all of the Board's responsibilities. Eric was appointed to the Board in April 2017.

Don Dickson: A long-time senior executive with Kinder Morgan and former CEO of Advanced Pipeline Services, Don has been a member of QS Energy's Board since 2013 and currently serves on the Company's Audit Committee.

Tom Bundros: CEO of Dalton Utilities and former CFO of Colonial Pipeline Company, Tom joined the Board in 2015 and was recently appointed Chairman of the Company's Audit Committee.

Nominated:

William Green: I look forward to Bill joining the Board in July after his retirement from Devon Energy Corporation. His 30-plus years of executive-level industry sales experience will be invaluable to our Company.

II. Expanding Market Adoption of AOT

The core mission of the new strategic plan is to accelerate market adoption of our AOT technology. From my first day on the job, I began talking with industry experts within and outside of QS Energy's partner and customer base. In these talks, I confirmed what I had already learned from my team at QS Energy -- that the potential operational and financial benefits of AOT are significant.

We face an unusual challenge, however, in expanding adoption. The majority of our customer base operates at a high level of confidentiality, frequently operating under NDAs and closely protecting all facets of their operations. We, too, must protect our intellectual property, operations and proprietary information. At the same time, potential customers need to "kick the tires" to see our equipment operating in the field under commercial operating conditions, watch real-time viscosity reduction in action, and have access to summary SCADA and in-field test data. NDA requirements have so far prohibited this type of access.

The key to overcoming this hurdle -- which I am taking on as a personal mission -- is to find a partner/customer and a location where QS Energy can jointly develop operations under relaxed conditions of non-disclosure, allow prospects to tour an operating facility, and provide them with summary operating data for review and detailed analysis.

As Gary Buchler explains, "AOT has the potential to solve a number of difficult operating issues common in the midstream transport market. To drive adoption in an industry that has traditionally been slow to adopt new technologies, we must increase market visibility of QS Energy and the financial and operating benefits of AOT."

We are moving quickly in our efforts to select a development partner and site location, and initiate a joint development agreement. Richard Munn and I have identified and approached a number of small to mid-sized target companies, and we are now working with a select group of targets who have expressed interest in providing transparent joint operations on an initial AOT installation, with an eye towards rolling out AOT throughout their pipeline operations.

III. Implementing New Equity Structure to Fund Critical Growth Capital

Delivering on this vision, of course, requires us to stabilize short-term funding needs and develop a strategic equity structure to drive long-term execution. Over the past two months, investors have shown interest in our convertible note private placement offering as described in our Form 10-Q filed with the SEC May 15th, 2017. Funds raised through this convertible note offering should be sufficient to cover operations for the next several months while providing funds necessary to retrofit our standing AOT inventory and implement improvements based on two years of in-field testing and operations.

That said, once we achieve true market adoption, we will need growth capital to fund expansion of our AOT inventory and manage corporate growth. To this end, we will be asking shareholders at our July 14th Annual Meeting of Shareholders to approve authorization of additional common and new preferred shares as described in our Proxy Statement filed with the SEC on May 24th, 2017.

The strategic goal of authorizing additional common and preferred Company stock is to provide an equity base we can use to fund growth in operating revenues and cash flows. The Board's challenge in accomplishing this goal is to minimize dilution in the best interest of our shareholder base.

"As a longtime investor and large shareholder, I am keenly aware of the Company's history and shareholder concerns," Dr. Bunting explained recently to the Board. "I could not be more excited by our upcoming opportunities, nor more supportive of the steps management has taken to appropriately capitalize QS Energy and optimally position the Company for growth. Our team has put in place a strategy designed to achieve commercialization of the Company's AOT technology while maximizing shareholder value."

To this end, in addition to using our common stock, we plan to use preferred stock to provide initiative-based offerings, which could command a higher price and be less dilutive than common stock offerings due to credit-enhancement, dividends and other preference features.

IV. Our Commitment to Open Communications and Transparency

Since taking over as CEO of QS Energy, I have met and visited with a number of shareholders. Through these meetings, I have learned how important full and complete transparency is to all of you. It is an issue of great importance to me as well. Our shareholders play an integral part in our Company and must know where we stand at all times. My management team has agreed to continue and expand a philosophy of openness and transparency into all of our practices and activities.

While I realize that information flow does have limits as required under SEC compliance and selective disclosure rules -- and to protect the intellectual property of our Company and those we work with -- we will work diligently within these bounds to keep our shareholders well informed. We continue to work with current and potential customers under strict nondisclosure and hope to have material updates for our shareholders in the near future. In the meantime, I appreciate your patience and understanding in these matters.

In closing, I would personally like to thank each and every shareholder who has been part of the journey to this point, and I look forward to bringing our AOT technology to full and complete adoption in the midstream and upstream crude oil transportation sector across the globe. It is with great pleasure that I invite our shareholders to QS Energy's 2017 Annual Meeting of Shareholders on July 14th, 2017, at the La Torretta Lake Resort in Montgomery, Texas, located approximately an hour north of Houston. For those of you who are unable to join us in person, we will be broadcasting the meeting's audio and computer screen presentations via live webcast that will be available on our company website at www.qsenergy.com/webcast.

Hope to see you all there.

Best regards,

Jason Lane
CEO and Chairman of the Board
QS Energy, Inc.
Tomball, Texas

For further information about QS Energy, Inc., visit www.QSEnergy.com, read our SEC filings at http://ir.stockpr.com/qsenergy/all-sec-filings and subscribe to Email Alerts at http://ir.stockpr.com/qsenergy/email-alerts to receive Company news and shareholder updates.

Safe Harbor Statement:

Some of the statements in this release may constitute forward-looking statements under federal securities laws. Please visit the following link for our complete cautionary forward-looking statement: http://www.qsenergy.com/site-info/disclaimer

About AOT (Applied Oil Technology)

Developed in partnership with scientists at Temple University in Philadelphia, AOT (Applied Oil Technology) is the energy industry's first crude oil pipeline flow improvement solution using an electrical charge to coalesce microscopic particles native to unrefined oil, thereby reducing viscosity. Over the past four years AOT has been rigorously prepared for commercial use with the collaboration of over 30 engineering teams at 19 independent oil production and transportation entities interested in harnessing its demonstrated efficacy to increase pipeline performance and flow, drive up committed and uncommitted toll rates for pipeline operators, and reduce pipeline operating costs. Although AOT originally attracted the attention of pipeline operators motivated to improving their takeaway capacity during an historic surge in upstream output resulting from enhanced oil recovery techniques, the technology now represents what we believe to be the premiere solution for improving the profit margins of producers and transporters during today's economically challenging period of low spot prices and supply surplus.

About QS Energy, Inc.

QS Energy, Inc. (OTCQB: QSEP), provides the global energy industry with patent-protected industrial equipment designed to deliver measurable performance improvements to crude oil pipelines. Developed in partnership with leading crude oil production and transportation entities, QS Energy's high-value solutions address the enormous capacity inadequacies of domestic and overseas pipeline infrastructures that were designed and constructed prior to the current worldwide surge in oil production. In support of our clients' commitment to the responsible sourcing of energy and environmental stewardship, QS Energy combines scientific research with inventive problem solving to provide energy efficiency 'clean tech' solutions to bring new efficiencies and lower operational costs to the upstream, midstream and gathering sectors. More information is available at: www.QSEnergy.com

Company Contact:
QS Energy, Inc.
Tel: +1 805 845-3581
E-mail: investor@QSEnergy.com
Sales: sales@qsenergy.com

Investor Relations:
QS Energy, Inc.
Tel: +1 805 845-3581
E-mail: investor@QSEnergy.com

Source: QS Energy, Inc.

Released May 25, 2017

















zerosum

06/20/17 10:15 AM

#40621 RE: Inspiration1 #40618

Jim Cramer of Mad Money has a core philosophy of the exact opposite:

"Here on Mad Money, we don't care where a stock has been, we only care where it's going."

If the past mattered so much there would be no such thing as a turnaround story, which we know is not true.

The facts change everyday, on most companies in the stock market. Investors need to keep up with that change.

$QSEP has made some pretty substantial and impressive changes lately.

Pie

06/21/17 7:03 AM

#40643 RE: Inspiration1 #40618

Nonsense! We're not building a house. It's a company with new directorship that has actual experience in the field. Incomparable with the past. This is a fresh start.