Wednesday, April 16, 2014

Ener-Core, Inc. (ENCR) Completes $4.6 Million Private Placement and Proceeds to Successful Implementation of Business Plan

Ener-Core is a company that manufactures their patented Gradual Oxidizers which effectively enable the conversion of poor quality waste gases into electrical power with the lowest known emissions. With the Ener-Core Gradual Oxidizer married up to standard gas turbine engines, this will allow brown industries to sell power from their waste gases. Their target customers include any industry that emits low quality waste gases such as land fills, dairy farms, poultry farms, the oil and gas industries, and even the mining sector.

Typically, for example, you may see what is referred to as a flare stack outside a petroleum refinery or chemical plant where a pressure relief valve will allow for the release of a flammable waste gas such as methane that may be over pressuring the plant equipment. As the waste gas heads into the flare stack, a pilot light ignites it and you see what appears to be a smoke stack with flames as the waste is deliberately combusted. With Ener-Core’s technology, the pollution from the combustion can be avoided and the waste gas can instead be converted directly into power. In coal mines where the methane concentration is too low to even flare off and simply heads into the air, the methane can instead be collected and converted to power.

This is crucial for the atmosphere as well since methane is 21 times more potent as a greenhouse gas than carbon dioxide. As there is 200 times more carbon dioxide in the atmosphere than methane and methane chemically breaks down over time, carbon dioxide concentration is of the first most concern. However, the accelerated melting of the polar ice caps has released high concentrations of methane gas from the underlying permafrost. This introduces a feedback loop which can accelerate the potential dangers of climate change/global warming even further.

Ener-Core has been working closely with gas turbine companies as they do not have the technology to use these low quality waste gases, and it has been estimated that their potential market size can be up to $77 billion.

As their key products, the Ener-Core Powerstation FP 250 and the Ener-Core Powerstation KG2-3G are high priced capital goods that promise reliable operation over a 20-year period. To attract customers to their product, Ener-Core needs to demonstrate that they have a strong balance sheet. Ener-Core certainly wants to assure their target market that they will be around for some time to provide service over the years to customers that purchase the Powerstations. With the help of Roth Capital Partners, LLC, the company feels it has now achieved its goal by the raising of $4.6 million by a private placement of senior secured convertible notes.

The convertible notes mature in October, 2015, and are convertible into company stock at $0.67 per share. Monthly interest payments are payable in company common stock or cash. Along with the notes, the company has also issued warrants to purchase up to 4,097,016 shares of common stock exercisable at $0.78 per share. With over $4 million now in its cash coffers, Ener-Core can proceed to successful execution of their business plan.

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Please see disclaimer on the QualityStocks website: http://disclaimer.qualitystocks.netEner-Core, Inc. (ENCR) Completes $4.6 Million Private Placement and Proceeds to Successful Implementation of Business Plan

Ener-Core is a company that manufactures their patented Gradual Oxidizers which effectively enable the conversion of poor quality waste gases into electrical power with the lowest known emissions. With the Ener-Core Gradual Oxidizer married up to standard gas turbine engines, this will allow brown industries to sell power from their waste gases. Their target customers include any industry that emits low quality waste gases such as land fills, dairy farms, poultry farms, the oil and gas industries, and even the mining sector.

Typically, for example, you may see what is referred to as a flare stack outside a petroleum refinery or chemical plant where a pressure relief valve will allow for the release of a flammable waste gas such as methane that may be over pressuring the plant equipment. As the waste gas heads into the flare stack, a pilot light ignites it and you see what appears to be a smoke stack with flames as the waste is deliberately combusted. With Ener-Core’s technology, the pollution from the combustion can be avoided and the waste gas can instead be converted directly into power. In coal mines where the methane concentration is too low to even flare off and simply heads into the air, the methane can instead be collected and converted to power.

This is crucial for the atmosphere as well since methane is 21 times more potent as a greenhouse gas than carbon dioxide. As there is 200 times more carbon dioxide in the atmosphere than methane and methane chemically breaks down over time, carbon dioxide concentration is of the first most concern. However, the accelerated melting of the polar ice caps has released high concentrations of methane gas from the underlying permafrost. This introduces a feedback loop which can accelerate the potential dangers of climate change/global warming even further.

Ener-Core has been working closely with gas turbine companies as they do not have the technology to use these low quality waste gases, and it has been estimated that their potential market size can be up to $77 billion.

As their key products, the Ener-Core Powerstation FP 250 and the Ener-Core Powerstation KG2-3G are high priced capital goods that promise reliable operation over a 20-year period. To attract customers to their product, Ener-Core needs to demonstrate that they have a strong balance sheet. Ener-Core certainly wants to assure their target market that they will be around for some time to provide service over the years to customers that purchase the Powerstations. With the help of Roth Capital Partners, LLC, the company feels it has now achieved its goal by the raising of $4.6 million by a private placement of senior secured convertible notes.

The convertible notes mature in October, 2015, and are convertible into company stock at $0.67 per share. Monthly interest payments are payable in company common stock or cash. Along with the notes, the company has also issued warrants to purchase up to 4,097,016 shares of common stock exercisable at $0.78 per share. With over $4 million now in its cash coffers, Ener-Core can proceed to successful execution of their business plan.

About QualityStocks

QualityStocks is committed to connecting subscribers with companies that have huge potential to succeed in the short and long-term future. We offer several ways for investors to find, evaluate, and learn more about investing in these companies.

Sign up for “The QualityStocks Daily Newsletter” at www.QualityStocks.net

The Quality Stocks Daily Blog http://blog.qualitystocks.net

The Quality Stocks Daily Videos http://videocharts.qualitystocks.net

 The Quality Stocks “Ones to Watch” http://gotstocks.qualitystocks.net

Please see disclaimer on the QualityStocks website: http://disclaimer.qualitystocks.net

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