Energy Trends

The chart below from the Energy Watch Group shows the heart of the problem.

The red line is the World Energy Outlook (WEO), from the International Energy Agency (IEA), which predicts the demand for oil will rise from the 85 Million Barrels per Day (Mb/d) range to nearly 120 Mb/d around 2030.

This is the fundamental disconnect: a projected demand by consumers of 120 Mb/d and a projected supply by the producers of only 1/3 of that amount.

This means that in year 2030 2/3 of the fossil fuel demand has to be covered by new fuels that we do not have today.

Oil Production Chart

KDV Financial Highlights

Input materials

One of the key issues is about the price of the input materials as the KDV plant doesn´t need to process expensive materials to convert it to synthetic Diesel.

Our process is able to take just all the unwanted residues by the Industry, by the agriculture, by the houses, and this means that we can access to cheap materials or even we can be paid (tipping fee) to take out this residues to get a big value from them.

Business model

Another key issue is concerning the business model and the final destination of our product directly as diesel or indirectly as energy (electricity production) and the net selling prices we can get for our energy carrier.

Some countries are just changing their legislations with the clear aim to promote the production of new,clean and renewable energies with excise tax exemptions and proper prices for the production of new energy carriers.

Feasibility study

Every project is really different even in the same country, that is why it is highly recommended from the beginning to draw up a Feasibility study, in order to develop the right Business model based in the KDV technology.

Beside of the right analysis of the specifics of each project, as a highlights we would say that our projects are expecting to have a production cost per liter around 23 to 25 euro/cents and a global investment payback of 4 to 6 years.