Novofuel high-capacity Lithium-ion Batteries
• NovoFuel’s most exciting new market initiative involves a key component of our hybrid Renewable Energy Systems (RES) solutions — high capacity lithium-ion batteries (2.5kWh-20kWh and beyond). Through our world-class partners, Lithium Battery Engineering, LLC (LBE) (www.lithiumbatteryengineering.com) and Custom Electronics, Inc.(CEI) (www.customelec.com), a new line of state-of-the-art high capacity lithium-ion batteries have been designed and are being produced under the NovoFuel brand in response to rapidly expanding backup and portable power market opportunities.
• NovoFuel’s custom Lithium-ion product line consists of the following: a 2.5kWh 24V battery, a 3.5kWh 48V battery, and a 5kWh-7.5kWh 48V battery. All batteries will be constructed with large format prismatic cells instead of the typical small cylindrical cells, resulting in a much more cost-effective battery assembly process. Since the batteries are modular, they can easily be stacked to handle larger power requirements up to 20kW and beyond. Each of the batteries can be housed in either a ruggedized Seahorse case for outdoor off-grid applications, or a NEMA case for indoor grid-supplementing applications. Inverters and chargers can either be on-board or out-board, depending on customer preferences. Business development, sales and marketing are being handled by a highly respected and successful battery industry professional who has over 20 years experience with several major companies selling lithium-ion batteries in government and commercial markets.
• The NovoFuel batteries can be used for numerous portable and backup power applications. Portable applications include first-responder and military mission-critical field operations. For backup power applications, NovoFuel will market the batteries as a stand-alone product, and as part of our overall hybrid RES solution strategy. This is a huge and rapidly growing market, as there is increasing global recognition of the role of large lithium-ion batteries for energy storage as a backup power source. According to a 2015 forecast by Lux Research, the stationary energy storage market will climb from $1.5 billion in 2016 to $6.5 billion in 2020. Target market applications include small business & home backup power, telecom cell sites, new technology LED streetlights now being installed in many municipalities, power-hungry medical cannabis grow operations (see below), and a variety of outdoor applications where grid power is unavailable or insufficient — including farming, mining and oilfield operations, as well as rural and remote off-grid electrification needs in developing countries.
• One particular RES application worth addressing in more detail is legal cannabis grow operations. At the present time, marijuana growing for medicinal purposes is legalized in 24 U.S. states (Pennsylvania was the latest to join the ranks in April, 2016), and there is pending legislation to follow suit in some 10 other states. Four states, Washington, Colorado, Alaska, and Oregon, as well as the District of Colombia, have also legalized it for recreational purposes; many other states are considering similar legislation. Marijuana growing is legalized throughout Canada.
• According to the ArcView Market Research Group: “The unrestrained use of energy to cultivate cannabis cannot be sustained in legal cannabis markets. Growers who invest early in optimizing their energy efficiency and product quality will be best positioned to thrive as the industry grows and becomes more competitive.” In ArcView’s annual (2016) Market Research Report, national legal sales were $5.7 billion in 2015, up from $4.6 billion in 2014….and expected to grow to $7.1 billion in 2016. By 2020, legal market sales are pegged at $22.8 billion (at a CAGR of 31%). Legal cannabis sales represent a growing revenue source for states; tax and license fees in Colorado alone increased from $76.1 million to $135 million in 2015. These facts make it very clear that this is a market segment with tremendous opportunities for hybrid RES solutions.
• Elon Musk’s Tesla Motors company is stimulating and seeding the market for large capacity lithium-ion batteries. While Tesla’s initial focus has been on automotive batteries, it is now pushing stationary batteries for home and business backup power. Although this exploding market is large enough for multiple players, the NovoFuel team believes it has significant advantages over the Tesla offering and similar offerings from other companies. NovoFuel batteries have a strong value proposition vis-à-vis the competition in the following areas: (1) U.S. made product; (2) optimum engineering solutions customized to meet customers’ specific needs; (3) more reliable battery construction through use of fewer large format flat cells instead of many small cylindrical cells; (4) use of the safest cell chemistry available; (5) 100% individual cell monitoring for maximum performance and safety; (6) on-board inverter and on-board charger depending on customers’ requirements; (7) the ability to move more swiftly in meeting customer’s needs; (8) superior service; and (9) competitive prices.”
• The NovoFuel team is currently assembling the first product, the 2.5kWh battery, in two versions — a high energy configuration and a high power configuration (see below). These batteries are now available for customers to order. Attached are specification sheets and photos. Customers interested in ordering these batteries should contact NovoFuel at email@example.com or by calling 610-660-0268.