NanoVit Technology for Optimizing Your Fleet’s Performance Presented to: Metropolitan Transit Authority By: Marjorie Lynch, P.E. January 2012 NanoVit – Optimizing Your Fleet’s Performance Lowers fuel consumption Better compression means more power and increased engine efficiency 10% to 12% efficiency gains verified Reduces maintenance by extending the oil’s lifecycle (4X verified) and increasing the intervals between oil changes Extends engine life by reducing friction which increases component tolerances and life Savings range from 9% to 14% in over-the-road trucks Reduce wear and engine vibration Cuts CO and NOX emissions by over 50% Reduces CO2 emissions consistent with reduced fuel use Cost savings and increasing performance all with one product Advancements through Nanotechnology Nano-technology – the manipulation of the behaviour of atoms and their atomic structure to develop new, working atomic material NanoVit consists of – Modified silicon oxide (SiO2), – Aluminum oxide (Al2O3), and – Plasma-processed graphite (C) Particles size < 0,000.000.001 meters -the length of 4 atoms How does NanoVit Work? Phase One – Delivered by the system’s oil, Al2O3 cleanses the boundaries of the friction surfaces, eliminating damaging micro-particles and combustion residue buildup Phase Two – A flexible, thin, elastic layer of nanoparticles is formed under heat and pressure on the friction surfaces of the engine, returning them to their original geometry Build up of micro-particles, combustion residues and contaminants on a normal engine surface TEMP PRES Contaminants are flush out and trapped in the oil filter and then removed with the oil change Silicon oxide Aluminum oxide Graphite A anti-friction coating remains in the engine after oil changes, adjusting to operating conditions, effectively renewing itself. This reduction in friction improves engine performance, lowers fuel consumption and emissions while extending the life of the engine Oil TÜV Thüringen Tested & Verified German Based Independent Verification Lab Cleans the engine, improves performance, reduces emissions Motor oil regains its original properties, as destroyed oil molecules are regenerated with NanoVit Completely new type of engine protection - not an oil additive, due to the structural concept of its mode of action Lubricating media (i.e. oil) is not influenced or changed by use The anti-friction layer forms a permanent chemical bond with the friction-stressed metal surfaces, where friction and wear are reduced and operational lifetime is prolonged An engine treated with NanoVit is afforded active wear protection and is effective under extreme mechanical stress Damage to engine by NanoVit can be ruled out Fuel & Maintenance as % of Costs International Transport Cost Structure Insurance 2% Maintenance and Repairs 5% Tires 1% Interest 4% Depreciation and Amortization 10% Taxes Other operating costs 9% Wages and personnel 52% 1% Fuel costs 17% Other National Transport operating Cost Structure costs Insurance 10% Tires Maintenance 4% 1% and Repairs 5% Interest 3% Depreciation and Taxes Amortization 1% 10% Wages and personnel 48% Fuel costs 20% >20% of total cost for transportation companies is fuel & maintenance Source: NIWO Jaarverslag 2009 Lower Fuel Use Fuel savings of between 7%-14% are experienced in relation to rpm and load values Coefficient of friction decreases through noticeable changes in the new surface properties and the modified oil film layer Heat transfer is reduced, reducing wear Effectively refurbishes worn and gritty surfaces to reset the manufacturer’s original parameters Regenerates surfaces, increases surface strength and cleans surface contaminants Lowers the friction coefficient through both the new surface properties and the modification of the properties of the oil-film layer Smoother Ride – Less Vibration & Noise TÜV Verification Testing Improved engine operation is reflected in more power and a reduction in noise by 0.5dB More Time Between Oil Changes Protects lubricant particle structure and improves the properties of the thin-film lubricant layer Reduces contaminants in oil by preventing surface degeneration Extends Engine Life Wear Increased Resistance to Wear with NanoVit TÜV Verification Testing Time/Seconds Parts treated with NanoVit showed 50% less wear than those treated with 10W40 motor oil NanoVit Reduces Maintenance Costs Decreased maintenance • Slows down oil degeneration, meaning fewer oil changes and maintenance cycles. • Protects from wear due to friction, increasing component tolerances and lifespan. Increased wear protection • Creates an elastic nano-layer to absorb energy without stressing the surface • Results in micro-hardening of the surface Increased lubricant lifespan • Nano-particles protect lubricant particle structure and improve the properties of the thin-film lubricant layer • Reduces contaminants in the oil by preventing surface degeneration Decreased Emissions – Hydrocarbons TÜV Verification Testing Hydrocarbon emissions were reduced by 63% after NanoVit application Decreased Emission – Carbon Monoxide TÜV Verification Testing Carbon Monoxide emissions were reduced by 85% after NanoVit application The Value Proposition – Example Value of Improved Fuel Efficiency - Assumptions Average MPG per truck: Cost of gallon of fuel: Miles travelled: Gallons of gas used per 125K: Fuel cost per truck per 125K: Average improvement in fuel efficiency of 10% (5.5 mpg) 5.0 $3.75 125,000 25,000 $93,750 $8,523 Savings Value of Longer Oil Change Intervals - Assumptions Oil change intervals (miles): Number of changes in 125K miles before NanoVit: Cost per oil change: Total cost of oil changes per 125K miles before NanoVit: Number of changes in 125K miles after NanoVit*: Total cost of oil changes per 125K miles after NanoVit: Total savings on oil changes given minimum NanoVit performance Total Saving per 125K miles driven: 20,000 6.25 $400 $2,500 0 $0 $2,500 Savings $11,023 *NanoVit guarantees 125K between oil changes but users have experienced longer intervals. Oil can be tested at normal intervals with independent 3rd party labs for approximately $15/test. The Value Proposition – Example Savings 1st 125K miles $11,023 Retail cost of NanoVit application for 2 WD and 4 WD semi with Normal to Heavy load (volume discounts available): $2,995 First 125K Return on Investment (ROI) 268% Payback period based on 125K miles per year On-going fuel efficiency (assuming 10%) 99 days $8,523/125K miles This is a WIN-WIN! Case Studies UK Haulage company Results from 9 comparison trip Improvement in Fuel Consumption Highest 42% Lowest 13% Average 29% Average Savings per 100K - £15,359 Experienced improved engine output – from 58 KW to 76KW – higher power at lower RMPs UK based Cargo Vessel 15 Month Study Reduction Oil Consumption – Main Engine 10% Oil Consumption – Auxiliary Engines (3) Ave 66% Fuel Consumption – Main Engine 18% Fuel Consumption – Auxiliary Engines (3) Ave 20% Cost of NanoVit applications €50,000 Total savings over study period €233,700 Case Study – Saturn Astra Before NanoVit Engine had 50,000+ miles on it before test Used NanoVit engine and gear products Max power output before NanoVit was at 6,000 rpm, developed 55.5KW Max power output after NanoVit was 4,800 rpm with 57.1KW developed Improvement of 1.6KW and reduced RMPs After NanoVit Lower average RPMs means more output, less fuel consumption, lower engine stress and a better acceleration rate Parameter CO CO2 HC O2 LAMBDA Rotation %vol % vol ppm % vol Min-1 Emissions Before application 0.277 14.6 105.7 0.111 0.994 812 Significant reduction in Carbon Monoxide Improved combustion lowered Hydrocarbon values. CO2 reduced by lower fuel consumption Result After application 0.041 15.3 39.6 0.269 0.956 816 85% Improvement 63% Improvement Pedigreed Product Tested extensively in Germany – TÜV verified Finalist Network of Automotive Excellence Award (as judged by Mercedes Benz & Mazda) A $ 3.5 million product liability insurance with Allianz No incidents or claims Third-party oil testing facility available for all samples related to start-up demonstrations Dutch government is in the process of adding to their Green Rebate Program Undertaking TMC Type 4 and/or SAE Type 2 testing and certification One Product, Multiple Benefits Cost benefit from both improved fuel efficiency and extended oil change intervals Improved engine efficiency with more power and smoother ride Longer engine life through less wear Quick payback period and excellent ROI Program structured to let you see the benefits before you buy Emission reductions result in high “Green Value”