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Energtek Inc. (EGTK.PK) Should be on Your Radar!

Energtek, Inc. is a leader in the development and commercialization of Adsorbed Natural Gas (ANG) technology. They develop technologies that deliver natural gas from any natural gas source to consumers even when no gas pipeline and compressing infrastructure is in place. Founded in 1998, Energtek operates in the United States, Asia, Europe, and the Middle East.

Energtek utilizes proprietary, low-pressure storage technology to provide this “well-to-wheel pipeless natural gas supply” solution. They provide these solutions for fleets of small vehicles and industrial consumers. Adsorbed Natural Gas (ANG) technology enables hi-tech and cost-effective storage of Natural Gas (NG) by maximizing the quantities of gas stored in a tank. Adsorption lessens the infrastructure, fueling, and energy costs when it comes to supplying consumers where there are no gas pipeline feeds or refueling infrastructure in place.

Adsorption is the adhesion of molecules of liquids, gases, and dissolved substances to the surface of a solid. The ability of a solid to adsorb depends on the chemical makeup of the solid and its physical structure. Activated charcoal has a very large surface area because of its porous nature. This gives it the ability to adsorb large quantities of natural gas.

In a conventional high-pressure storage tank, gas is forced into the tank under pressure. The maximum pressure and volume of gas held in the tank is limited by the physical properties of the tank and its valve. The addition of a microporous material into the tank, like activated carbon, makes it possible to store a larger volume of natural gas in the same container, at the same pressure. It also makes it possible to store the same volume of natural gas in the container at a lower pressure.

Energtek’s products include gas storage tanks, vehicle conversion systems, filling stations, and bulk transportation equipment. In addition, they develop Fast Interchangeable Tanks systems, which are for two- and three-wheeler conversion to natural gas fueling. Energtek also offers their Low-pressure Mobile Pipeline, which is a bulk transportation solution that provides natural gas supply solutions to industrial consumers. On top of all that, the company’s technologies enable new markets of motor vehicle fleets and large commercial consumers to benefit from economical and environmentally friendly natural gas.

In June Energtek announced the signing of a Memorandum of Understanding with a natural gas distribution company in Uttar Pradesh, India. The agreement furthers the company’s efforts to commercialize their proprietary bulk storage and transportation technology in the growing market of India. The Memorandum of Understanding advances gas bulk-transportation projects using the primary elements of Energtek’s Low-pressure Mobile Pipeline (LMP) technology. Energtek goal is to transport natural gas from India ‘s national transmission grid to a local city distribution network. Various industrial operations and Natural Gas Vehicle (NGV) fueling stations can then use the transported gas.

Energtek Inc. announced on July 23, that they have signed a purchase contract with the Philippine National Oil Company – Exploration Company (PNOC-EC) for natural gas extracted from the San Antonio stranded gas well in the Filipino province of Isabela. The purchase contract allows Energtek to implement their business model as a commercial distributor of natural gas in emerging markets across Southeast Asia, which facilitates the first phase of the world’s first commercial ANG project. Energtek utilizes their hi-tech storage technology to supply natural gas to small vehicles. This first phase of the project calls for the vehicle conversion and ongoing supply of natural gas to 3,000 three-wheelers, or tricycles, in Isabela. The company forecasts revenues from vehicle equipment sales from this initiative to gross more than $1.2 million. Additionally, continuing natural gas sales are forecast to exceed $2 million each year.

Last week, the company announced they would sponsor the Compressed Natural Gas – Natural Gas Vehicle (CNG-NGV) Philippines Forum. This will be at the Diamond Hotel, in Manila, on August 27-28, 2008. Energtek CEO Lev Zaidenberg will chair a session on the “Commercial NGV Conversion of Three-Wheelers in the Philippines.”

During the session, Mr. Zaidenberg will detail Energtek’s progress implementing the mass-scale conversion of three-wheel vehicles in the Philippines to operate on natural gas. He will outline Energtek’s goal to meet the Filipino Government’s request of converting at least 500,000 tricycles, utilizing the principles of natural gas low-pressure compression and adsorption, which is an Energtek specialty and area of expertise. In addition to the multimedia presentation, a recently converted tricycle will be on display at the forum.

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