Petram provides the most energy efficient rock breaking technology on Earth. When compared to traditional jackhammers, Petram's High Power Electric Pulse System provides 20x the speed at 50% of the cost and 1% of the noise, vibration and dust. It was originally licensed from an Auburn Patent based on NASA funding for rock breaking on the moon. Company has two Fortune 500 customers serving utility infrastructure, oil and gas, and construction and is beginning to commercialize.
Petram's mission is to be the most energy efficient rock-breaking technology on Earth. It is our vison to reduce the world's carbon footprint by 1,000,000 tons per year. We aim to solve the following problems: 1) to dramatically increase the yield per unit time of bedrock excavation in an urban environment particularly for utility underground infrastructure while drastically reducing noise, vibration and dust, 2) to increase the rate of concrete demolition while lowering cost and time , 3) to increase the permeability of subsurface wells increasing the amount of water and geothermal production, and 4) to double the yield per well in an oil and gas application while dramatically decreasing the amount of water needed for fracking applications. Products will be sourced and Made in the USA!
The members of the team include engineers and scientists from leading universities(including two from Auburn University) and product and go to market experience at utilities, refineries, gas pipelines and pulse power space applications. CEO Frank Magnotti is a 30-year cleantech veteran with two public exits and has sold to over 500 utilities in 50 countries.
We desire to be a technology, product, and training provider to 100 franchised and licensed service providers located throughout the United States. These franchisees will both distribute the product and provide the necessary service to the end customers (utilities, construction and demolition EPC's, water well and heat pump providers.) in their geography. We would receive a franchise fee and product and consumable sales revenues from the franchisees. Strategic partnerships with investor-owned utilities, electric cooperatives, EPC's, water service providers, and major construction firms would be desirable as they could become the franchisees and/or the major end customers.
We generate revenue through franchise fees per geography, capital equipment sales and recurring consumable sales. These sales are at an approximate 50% gross margin even at low volumes . Therefore we would expect an increasing and robust gross margin spurred by increasing consumable sales as we scale. For every system sale of approximately $400k there are an approximate $200k of annual consumable sales from the probe tips which need to be replaced from daily to quarterly depending on use.
We are trying to fill out a $10MM round with a financial lead, 1-2 financial followers and1-2 strategics to scale up the commercialization of the surface level product and complete the R&D of the deep well product. We are capital light as we do final assembly, system integration, and final quality assurance while outsourcing machined parts and components in the United States. Therefore, funding will be used almost entirely to build a sales and distribution organization and completing R&D efforts with the benefit of AI enhanced modeling and design for deep well products.
Our innovate product creates upwards of 2.42 GW (2x Doc Brown in Back to the Future!) from only 1kwh of energy. We create this by discharging high energy density capacitors in less than a millisecond through our proprietary spark gap, cable and probe system into an ounce of water. The water bypasses the steam phase creating a dense plasma ball that creates pressure shock waves of >200kpsi. We have ten patents issued and three filed. Our product roadmap comprises three different rock breaking applications each at a different TR level. For surface bedrock-breaking excavation or concrete demolition we are at a TR-level 8-9 and are taking orders now. We have demonstrated performance in the lab and a customer's site in NY. For shallow well applications <500'including water wells and geothermal heat pumps we are at a TR level 6-7 and have demonstrated in the lab, at a customer's test facility and we will be demonstrating in the field this quarter. Expected rollout of product is 2026. For deep well products up to 10,000' for oil and gas, hydrogen and industrial geothermal we are at a TR level 5. It incorporates the same technology as the shallow well, but the energy systems must be designed to be distributed down hole instead of residing at the surface with up to a 500' cable. This product will be available commercially in 2028. We have our pulse power R&D facility located in Notasulga, Alabama close to Auburn University where we recruit engineering interns.
Over the seven years ,99% self funded from founders and commercial revenue with $150k from an angel .
