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ECOtality, Inc. (ETLY.OB) – Splitting Water

Water is one of our most abundant resources. Some 70% of the earth is covered with it, and for well over 100 years it’s been known that water is made up of two very important elements. Hydrogen and Oxygen. Ever since the discovery of the chemicals that make up water, scientists have been trying to “split it” back into its component parts so that it could be used as a fuel. Hydrogen is a very combustible gas, and oxygen is an oxidizer that allows combustion of a fuel to take place. Take two parts hydrogen and two parts oxygen and you have rocket fuel.

Not only do you have rocket fuel, but the only emissions from this incredible fuel is water vapor. No carbon dioxides, no nitrogens, no mercury, no acids. Just water vapor. Warm, wet, Steam. Just as the early metal smiths tried for years on end to turn lead into gold, chemists have hammered upon water molecules with various equipment, trying to bust their atoms back into their component parts for use as an inexpensive, but efficient and clean fuel. The good news is that they accomplished it. The bad news was that it took more energy to do it, than it returned. In the lingo of investing, the return on investment was quite poor.

Not only was it costing more to split the water into its component parts, there were other daunting problems concerning the use of hydrogen as a motor fuel. Having large canisters of compressed hydrogen in the trunks of cars, would create a safety hazard on the nations hi- ways. Liquefying hydrogen reduces the hazard of explosion, but raises the costs of production.

Yet, with the prize of cheap, abundant, clean energy always acting as the carrot, science has never given up. Ecotality is certainly glad they didn’t give up, because they are the sole owners of a new technology called “Hydrality”, and it for the first time, creates the promise of providing hydrogen from water, with a price that is competitive with fossil fuel, but that is also produced “on demand”, so that storage is no longer necessary. This is the pot of gold the alchemists have been striving for.

Using their unique technology, “Hydrality” can produce hydrogen on demand using readily available materials — magnesium and water — in a system that emits no exhaust other than pure water. These materials are environmentally friendly, non-pollutant and do not contain combustive or toxic elements. Combining Hydrality’s production on demand, along with current technology fuel cells, provides a constant demand driven stream of clean efficient fuel. Working with such notable names as NASA, CalTech, Jet propulsion Labs, and Arizona Public Services, Ecotality is driven to develop this exciting technology and explore the myriad of uses where it could be employed.

Don Karner, is the Hydrality project manager, and this is what he had to say while working with the APS on their Advanced Hydrogasification Project; “Through extensive testing and analysis of Hydrality, we have discovered that the system also has tremendous potential for the storage of hydrogen to support industrial processes like coal hydrogasification and renewable energy storage.” But maybe the most exciting discoveries have come from the CEO of Ecotality himself. “In the process of researching and developing the Hydrality technology, we have identified several additional applications for Hydrality that include stationary use, remote power, back-up power systems, and large scale industrial and utility use.”

If Ecotality only had the Hydrality technology under its wings, it would be a very exciting company, and could very possibly become the single major force to be reckoned with in the hydrogen from water sector. But as fascinating as Hydrality is, it’s only one aspect of Ecotality’s umbrella of technologies and companies, all of them equally as exciting. Ecotality has its hands on the pulse of the new energy heartbeat, and it doesn’t take a “rocket fuel” scientist to see why. Intelligent investors would be well advised to keep an eye on this company.

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