IX Power Clean Water is manufacturing, selling, installing, and maintaining an innovative machine for treating produced water. OrganiClear efficiently removes carcinogenic organic compounds, heavy metals, and other toxic contaminants that exist in water produced from oil and gas (O&G) operations…
IX Power Clean Water is manufacturing, selling, installing, and maintaining an innovative machine for treating produced water. OrganiClear efficiently removes carcinogenic organic compounds, heavy metals, and other toxic contaminants that exist in water produced from oil and gas (O&G) operations, mining, and industrial operations without leaving a toxic waste stream. The treated water can be legally discharged, recycled for subsequent operations, or used for agriculture, livestock, and with additional treatment, municipal water systems. IX Power Clean Water is raising an equity capital round of $2.5 million and expects to reach $123 million in annual sales within five years, using a total of $5 million in equity capital. Problem Water generated along with oil & gas (O&G) production introduces hundreds of billions of gallons of contaminated water into the environment each year. Produced water is highly saline and contaminated with a complex mixture of salts, volatile and semi-volatile organics, metals, organic acids, and particulates, as well as additives from the drilling process. O&G companies pay to have this contaminated water trucked to reinjection sites for disposal—an expensive and time-consuming process that can represent as much as 10% of the total cost of hydrocarbon production. Reinjection of produced water has also recently been linked with earthquake activity. Still too, O&G firms that want to treat water for either recycling into production or for discharge into the environment are traditionally faced with high cost of treatment and inconsistent results. Solution OrganiClear’s three-part treatment system cleans 99% of all organic compounds from produced water and offers O&G companies and water users a cost-effective treatment process to decontaminate produced water on site. OrganiClear removes oil and grease, suspended solids, biological organisms, dissolved phase organics including BTEX (benzene, toluene, ethylbenzene and xylenes ) and NPD (napthalene, phenanthrene, and dibenzothiophene), lead, cadmium, chromium, arsenic, phenols, chemical O2 demand, biochemical O2 demand, and iron. In addition to lowering O&G production costs, OrganiClear provides a new water resource for agriculture, livestock and people, and a more environmentally friendly solution for disposing of produced water. OrganiClear has been extensively field tested and the technology thoroughly peer reviewed. Commercial demonstration units and initial sales begin in early Fall 2014. Business Model Initial OrganiClear customers are in the United States in regions of heavy oil extraction, shale ‘fracking for gas, as well as in traditional oil and gas fields. IX Power will provide OrganiClear units for existing treatment trains as well as total treatment solutions, integrating OrganiClear with front-end separation and filtering techniques and back-end removal of total dissolved salts. IX Power sells systems that range in price from $250,000 to $2.5 million and drives revenue through the sale of OrganiClear machines, custom engineering fees, maintenance plans, and re-sale of additional equipment. Market Opportunity The global market for produced water management exceeds $40 billion. The treatment equipment market in that segment is valued at $15 billion, growing annually at 10%. Increased demand for oil & gas, high environmental and regulatory hurdles, the high cost of water disposal, and regional clean water scarcity are driving market growth.
Team (3)
Sectors IX Power serves:
Energy & Utilities
Industrials
Manufacturing
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