Interview with E-Cat Distributor License Broker, Roger Green
Roger has been arranging much of the distributor licenses for Andrea Rossi's E-Cat worldwide, personally investing $400k. He won't get anything for it until they start selling. Though the 1 MW plants have been on sale since October 2011, potential buyers seem to be waiting to see a continually-running demo unit first.
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By
Sterling D. Allan
Pure Energy Systems News
On May 14, I had a Skype call (recording
below) with Roger Green, CEO of
E-Cat Australia PTY LTD,
catching up with the latest developments, and chit chatting about
things. We met in person last October at the
E-Cat conference in Zurich (thanks to
Himansh Verma for sponsoring that flight).
I was fortunate to catch Roger between trips, as he's been away for two
weeks in Europe, and was heading back to Sidney.
Roger said he has been spending essentially full-time for fourteen
months now, out of his own pocket, helping Andrea Rossi line up
distributorship licenses for much of the world. This has nothing to do
with the manufacturing licenses. His travel expenses in meeting with
various interested parties, likewise, is coming out of his own pocket.
Because he is giving his all to this endeavor, his other businesses have
been lagging, and his cash flow has dwindled. But he is confident that
his investment will pay off.
Given the present risk level of the technology, the territorial
distributorship licenses have been selling very cheaply, relative to
what they could be worth. "Most people are putting in around $10,000."
"I have put in more than anyone by far: $400,000," he said, which
apparently has secured him a good chunk of Asia, along with Australia.
"I've put my life savings in and mortgaged houses."
He pointed out that: "If it wasn't emerging, and we sold one, then you
could add a few more zeroes to these license [prices]."
Roger's cut from bringing other licensees to the table comes in the form
of equity, not cash. So the only way he makes money is when the units
start selling.
All the license fee money goes to Rossi, which has been the primary
source of revenue that has been keeping the E-Cat endeavor going. And
given how productive Roger has been, Rossi has given him wide berth to
handle the licensing of most of the territories on the planet.
Roger is very clear in explaining to them the risk factors along with
the potential benefits.
He said: "I've attracted very good people: patient, philosophers,
dreamers, and poets, with a sprinkling of a few engineers." But he also
describes them as talented, and capable. "I do have very serious, mature
scientists on board."
How It's Done
Roger said that the way these license deals work is as follows:
"We procure the license, we form a company, we issue share certificates and the equity, and then basically its an organic movement, slowly making contacts in all of these countries."
A Few Territories Still Available
According to Roger, the following is a breakdown of territory slots
taken and available:
- North and South America, China and Russia -- all spoken for by large company ["spoken for" means "taken"]
- Europe -- everything but Hungary, Romania, Bulgaria, the Ukraine, and 10% of Portugal are spoken for
- Middle East -- Israel, UAE, Saudia Arabia are taken, everything else is available
- Africa -- all spoken for, via 17 investors
- Australasia -- Roger's
- Asia -- Roger and his family (Japan through Burma)
- India - Roger's partner
In all, Roger and his family and friends own about 1/4 of the world's
territorial distribution rights for the E-Cat.
Regarding Africa, he said his pitch has been:
"Just imagine, shipping in some E-cats, bolting on some generators, and we have remote electricity to bring a whole continent out of poverty."
How much a person invests in a license is proportional to the equity
they get in that license relative to the sum price of the license.
Just as a heads up, a point was raised by a reviewer of this article in
its draft form that spurs me to do a
follow-up article after I've had a chance to do more research.
Apparently, EU and other laws are very strict about not establishing
artificial monopolies through licenses, to assure that people can 1) get
a good price from where the price is best, and 2) get product from where
it is available. From what I've been told, as long as the licenses give
the holder the right to sell both in the country and elsewhere, there is
no problem.
No Sales Yet, but Likely to Commence Soon
 The 1 MW E-Cat goes through it's final 24-hour test before shipping to America around April 30, 2013. . |
Notwithstanding the 1 MW E-Cat has been available for sale since the
October 28, 2011 demo I attended in Bologna, no commercial sales have
come in yet. Everyone seems to be in a "wait and see" mode. "Haven't
found anyone brave enough to do it yet."
The second unit that is presently making its way to the United States
(could be a month before it begins operating) is going to a licensee
agent, not technically a "customer." It is going into an end user
application that produces heat, but the agent who bought it is the
partner Ross has, who is handling all of the distributorship licensing
in the Americas ("We don't know who it is"). That partner is also
receiving a Hot-cat module as well as a natural-gas-powered module for
demonstrating those capabilities.
Once that unit is installed and running, even though it is not a public
demo unit (remember Rossi's comment to me in our recent
interview: "This is not a circus"), there are likely to be
opportunities for distributor and manufacturing licensees, who are under
NDA, to come in and see, and to bring potential customers as well.
After composing this story draft, asking for Rossi's review, I
specifically asked him about the previous paragraph, and he responded:
"Yes, it is true." Then he added: "I also said that qualified
JOURNALISTS will be allowed to visit the plant, provided they have legs
(he,he,he...) ...and you have legs...snakes don't!" (If you've been
following this saga for the past 2.5 years, you will catch that joke.)
Each 1 MW E-Cat (produces heat in the range of 103 - 130 C) sells for
$1.5 million USD.
Rossi said that the lead time for an order, after purchase, is about 4
months.
Up until now, there hasn't been a unit that prospective licensees,
partners, and customers could go see in operation. The first unit that
was sold went to a confidential military customer who doesn't allow any
visits.
But once the U.S. unit is operational, providing heat in a real
application, with data viewable in real time by qualified parties, the
skittishness of potential buyers is likely to begin to give way to money
changing hands and purchases being made.
Also, soon there will be another operational unit in Northern Italy,
outside of Bologna, where qualified parties will be able to observe an
operational 1 MW plant.
Once the sales commence, Roger estimates that it will take 2-3 years to
get things established and well organized in rolling out the product in
all the territories.
The primary website for incoming order inquiries is
http://E-Cat.com which then makes
referrals based on the licensee's territories.
Interview Recording, with Images
At first, I thought I'd take an hour or two to use Windows Movie Maker
to insert a few photos to go along with the audio recording I made of my
interview with Roger. It morphed into a three full-day project for me. I
ended up making around 350 insertions, a good majority of them being
photos I've taken, both at the Oct. 28, 2011
demo in Bologna, and at the September 8-9, 2012
E-Cat conference in Zurich.
It was actually a lot of fun for me to do this. I was able to sneak some
humor in as well. I hope you like it. Unfortunately, this project took
the place of my doing the LENR-to-Market-Weekly, so that will be
postponed a week.
I hope you "like" the video.
Moving Up in Top 5
Given this news, I'm moved the E-Cat up to position #2 in the
Top 5 Exotic Free Energy Technologies
listing. The
Self-Looped Motor-Generator class of technologies (aka Q-mo-gen
[since the shape of the letter Q conveys the idea of "self-looped with
energy left over", a term I coined]) is still in #1 since it appears to
be closer to making a large difference in the market.
Full Disclosure
I should mention that I am not an impartial reporter here. In
response to my solicitation, Roger told me that once they make their
first sale, he will start out by contributing $10,000 to PESN, becoming
a major sponsor of the work we are
doing, which he appreciates, as do many others in the industry.