Replies to post #51786 on Sigma Labs Inc (SASI)

[TedJ]

Yes, OXYS is a "start-up" company. From the June 16 8-K:

OXYS is a development stage technology company that is engaged in the following business areas:

1) Providing engineering consulting services on a time and materials basis to various companies engaged in advanced manufacturing technology as well as implementing new technology in the Industrial Internet of Things – IIoT;
2) Working with companies, OXYS provides custom engineered solutions for IIoT implementations that involve the deployment of sensors, other hardware, and the development of software that analyzes the data;

In support of these activities, there are several specific tasks that OXYS executes on behalf of its clients:

1) Development of Statements of Work for specific consulting services to be provided;
2) Execution of these technical consulting services on a time and materials contract (i.e. actual billable hours plus material and other incidental costs incurred);
3) Development of technical specifications for products;
4) Building prototypes of IIoT products for clients and as determined by OXYS technical personnel to meet general industry needs;
5) Working with outside manufacturers to product aforementioned products in larger quantities as required

The different sources of revenue that will result from these operations fall into the following categories. As of the date of this filing, OXYS does not have reportable revenue for 2017.

1) Consulting income based on time and materials contracts
2) Product revenue resulting from sale of product
3) Software licensing revenue resulting from recurring licenses of software

OXYS is in the process of quoting work for several clients. This work consists both of consulting revenues (Time and Material) as well as product revenues (sales of products). Non-disclosures prevent mentioning specific client names, but they fall into the following categories:

1) Large aerospace company
2) Large overseas automotive manufacturer with extensive plants across North America
3) State Government

Part of the OXYS technology development and product development strategy is to license technology from universities and research centers such as National Labs. At the present time, OXYS has negotiated a technology licensing option agreement with MIT (Massachusetts Institute of Technology) for technology, means and methods for the monitoring of current, voltage and power as it relates to IIoT. This agreement was executed on May 17, 2017. Additionally OXYS will generate revenue through partnerships with other companies. At the present time, OXYS has one joint technology development agreement – that was executed on June 13 2017. The client in Sigma Labs Inc. based in Santa Fe, NM. Under this agreement OXYS will provide time and materials consulting services to Sigma Labs Inc. and will investigate the potential for future joint product development opportunities.

OXYS Corporation (“OXYS”) was incorporated in the State of Nevada on August 4, 2016. OXYS is currently considered a development stage company as referred to in ASU 2014-10 Development Stage Entities (Topic 915). OXYS is currently devoting substantially all its efforts to identifying, developing and marketing engineered products, software and services for applications in the Industrial Internet which involves collecting and processing data collected from a wide variety of industrial systems and machines.