Our Business Strategy
STWA is in the business of acquiring, licensing, and developing new, novel technology from academia, and developing the technology into commercially viable products for select niche industries. Our current and primary product portfolio is dedicated to the crude oil production and transportation marketplace, with a specifically-targeted product offering for enhancing the flow-assurance parameters of new and existing pipeline gathering and transmission systems.
Our primary goal is to provide the oil industry with a cost-effective method by which to increase the number of barrels able to be transported per day through the industry’s existing and newly built pipelines. We also seek to provide the oil industry with a way to reduce emissions from operating equipment. We believe our goals are realizable via viscosity reduction using our AOT product.
There is currently rapid growth within the petroleum industry, and regulatory growth within governmental bodies worldwide. We believe, STWA’s AOT system allows the petroleum industry to gain key value advantages boosting profit, while satisfying the needs of regulatory bodies at the same time. We believe we can successfully provide valuable, simply installed, low maintenance, turn-key systems that would provide benefits to the petroleum production, transportation and refinement industries.
Our business model is to acquire and license intellectual property developed by universities such as Temple University, that the Company believes hold potential for development to commercial application. From there, the idea is developed into a test prototype series for validation that the idea is scalable to full-size from the laboratory, and then developed further to a commercial-grade series of niche products for the intended market. The manufacturing of the commercial-grade products is then conducted by third-party vendors and suppliers under contract(s) with the Company. These vendors are broken up by product component subcategory, enabling multiple manufacturing capacity redundancies and safeguards to be utilized. In addition, the strategy allows the Company to eliminate the prohibitively high CAPEX costs of building, operating and maintaining our own manufacturing facilities, ratings, personnel and licenses, thereby eliminating unnecessary capital intensity and risk.
Our identified market strategy is to continue meeting with oil and gas industry executives in the upstream, gathering, and midstream sectors from both domestic and foreign companies. Our goal is to introduce our technology to oil and gas companies and to demonstrate potential value for the purposes of negotiating commercial implementation of our AOT technology to their existing infrastructures.
Our strategy includes:
| 1. |
Finalize manufacturing of our AOT Midstream commercial product line. |
| 2. |
Complete the multiple certification processes for our AOT Midstream commercial product line. |
| 3. |
Continue developments for implementation of our AOT Midstream product for commercial use. |
| 4. |
Gain clearance from customers’ procurement divisions for installation of AOT Midstream products into their operations. |
| 5. |
Publish material events, collaborative arrangements, framework agreements and joint development agreements. |
| 6. |
Co-Present with customers at various trade conferences in the United States. |
| 7. |
Continue to make inroads and meet with key strategic potential customers in the following geographic regions: |
| b. |
Williston, Bakken Basin, USA |
| c. |
Niobrara, Denver-Julesberg Basin, USA |
| 8. |
Continue to make inroads and strategic alliances with additional supply chain and logistics support to rapidly expand our production capacity beyond its current physical limitations, adding capacity, reach and stability with pre-approved supply chain members that meet the criteria of the customers’ procurement divisions. |
| 9. |
Further develop two additional AOT product models beyond the AOT Midstream for reach into the upstream and gathering energy production and transport sectors. |
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10. |
Continue to develop collaboratively additional scientific and technical whitepaper reports, product development enhancements, and additional products with our engineering support, consultants and relationships. |
