Case 2: Danfoss AquaZ – Danish Water · PDF file28/04/2009 · April 28, 2009...
Transcript of Case 2: Danfoss AquaZ – Danish Water · PDF file28/04/2009 · April 28, 2009...
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Case 2: Danfoss AquaZ – Danish Water Forum
• Drivers of Opportunity– Potable Water Scarcity– High Water Desalination Costs
• Danfoss AquaZ Value Proposition
• Our Solution: The Cost-Effective Aquaporin Membrane
• The Current RO/NF Market and its Development
• Key Facts
• Company Development State and Future Challenges
• Our Vision
Danfoss AquaZ
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Case 2: Danfoss AquaZ – Danish Water Forum
The Story of Danfoss AquaZ is about
• Astonishing fundamental research
• Nanotechnology
• Million € investments
• Skunk Work
• Risk of failure
• Billion € gain perspectives
• But initially it’s about clean water
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Case 2: Danfoss AquaZ – Danish Water Forum
Driver of Opportunity: Potable Water Scarcity
Source: Elsevier B.V. 2008
Facts on water:
• Covers ¾ of the Earth’s surface!
• 3% is potable!
• 25% of population have no access to satisfactory quality/quantity!
• > 80 countries with severe water problems!
• Worldwide drought and desertification will sharpen scarcity.
• This is NOT ONLY a 3rd World problem!
• According to the Worldwatch Institute, more than two-thirds of the world’s population may experience water shortages by 2025, thus affecting practically every country in the world, including the developed, unless they reduce demand and/or develop additional water sources.
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Case 2: Danfoss AquaZ – Danish Water Forum
Driver of Opportunity: High Water Desalination Costs
Specific Energy Consumption for Different Water Sources and Desalination Technologies
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Conventional BWRO SWRO MED METC MSF
Desalination Technology
Tota
l Sp
ecif
ic E
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gy
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nsu
mp
tio
nEl
ectr
ical
/Th
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al k
Wh
/m3
Thermal Processes
Sea Water Desalination
Brackish Water Desalination
Ground Water
Source: Gary J. Crisp,GHD Australia, September 2008www.ghd.com.au
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Case 2: Danfoss AquaZ – Danish Water Forum
0,00
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RO, FilmTec SW30HR-380, 9 GFD, 50% Recovery AquaZ, 45 GFD, 85% Recovery
O&
M &
To
tal C
ost
s U
S$/m
3
Other Misc Unit Costs**Cartridge FiltersSolids DisposalLaborMembrane ReplacementMaintenanceChemical CostsFinished Water PumpingPermeate Lift PumpingMembrane/PX Booster PumpingFiltered Water PumpingRaw Water PumpingOther Capital Costs*MembranesPrefiltrationDewatering EquipmentInstrumentation/ControlElectricalContractor Overhead & ProfitSkidsContingenciesBuildingEngineering & CM
Sea Water Reverse Osmosis Desalination Costs vs. AquaZ @ 190 k m3/day
US$ 0.74/m3
RO/Booster Pumping**
33%of Total Costs!
US$ 0.47/m3
37% Total Cost Reduction!
SWRO Danfoss AquaZ
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Case 2: Danfoss AquaZ – Danish Water Forum
Danfoss AquaZ Value Proposition
Conventional Plant 80% Smaller Plant
Same Amount of Water
Up to 400% More Water
Same Size Plant
Up to 70% Less Energy
OR
• Danfoss AquaZ develops a cost-effective membrane technology, which will increase the efficiency of sea water desalination plants by 5-10 times!
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Case 2: Danfoss AquaZ – Danish Water Forum
Our Solution: The Cost-Effective Aquaporin Membrane
• The membrane purifies water through its incorporated proteins called “Aquaporins”. Aquaporins isolate water molecules based upon electrostatic physical recognition leading to production of truly pure water
H2O !• They operate at the thermodynamically
lowest energy level for purification.The purification process can be gravity-driven and may increase water throughput by 5-10 times compared to traditional state of the art desalination technologies.
• Unlike other Aquaporin-based membrane projects Danfoss AquaZ is deeply focused on developing reliable membranes, which can be produced using industrialised scalable processes and can withstand harsh working environments.
• … and we have our own GMO approvedmanufacturing of aquaporins…
Polymer Polymer
Aquaporin
Water Channel
Danfoss AquaZMembrane withproprietary NanoMembraneredundancy!
NanoMembrane
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Case 2: Danfoss AquaZ – Danish Water Forum
2008 World Market for Membrane Elements US$ million, Manufacturers level
RO525
NF125
UF575
MF875
0,1
1
10
100
0,00001 0,0001 0,001 0,01 0,1 1 10
Impurity size (μm)
Tran
smem
bra
ne p
ress
ure,
dP
(bar
)O
PERA
TIO
N C
OST
Brackish water desalination Foods &
beverages
Fresh water
Wastewater treatment
Ultra pure water
Seawater desalination
Pathogens(bacteria & viruses)
Potable water
Danfoss AquaZ potential
Chemical & pharma-ceutical
The Current RO/NF Market
Market Size: 600-700 m US$; CAGR 8-16%
• Danfoss AquaZ Membranes substitute current Reverse Osmosis (RO) and Nano Filters (NF).
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Case 2: Danfoss AquaZ – Danish Water Forum
Seawater RO Desalination
• RO/NF Elements are to a large extent standardized providing a lucrative retrofit opportunity
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Case 2: Danfoss AquaZ – Danish Water Forum
Key facts
2005 Mail from MT Technologies, USA to Jorgen Mads Clausen, DanfossSubject: Unique business proposal
– Carlo Montemagno, Dean of Engineering, University of Cincinnati– Steven Tozzi, Business Man, Serial Entrepreneur
Danfoss Ventures: global market and technology investigations (IPR)
2006 Danfoss AquaZ A/S established– Danfoss 51,0%– BankInvest 25,5% (BI New Energy Solutions)– MT Technologies 23,5%
HQ, Nordborg, Denmark
Subsidiary, Danfoss AquaZ Inc., Cincinnati, Ohio
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Case 2: Danfoss AquaZ – Danish Water Forum
Senior Management
• Jorgen Steen-Pedersen - President and CEO– The project is headed by Jorgen Steen-Pedersen, who
leads a focused team of international researchers working on the membrane development.
– Before being appointed head of Danfoss AquaZ in 2006, Jorgen successfully managed various R&D- and venture departments at Danfoss.
• Carlo Montemagno - Professor and Co-founder– Dean of Engineering, University of Cincinnati– Fellow of the American Academy of Nanomedicine– Recipient of the Feynman Prize for Experimental Work
in Nanotechnology– Previously Chair of the Department of Bioengineering
and Roy & Carol Doumani Professor of Biomedical Engineering, UCLA.
– At Cornell University he served as associate professor at the Department of Biological and Environmental Engineering and as director of graduate studies in biomedical engineering
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Case 2: Danfoss AquaZ – Danish Water Forum
Current Investors
• Founder, Carlo Montemagno– See previous slide for a biography on Carlo
• Danfoss Ventures A/S– Danfoss Ventures is the corporate venture arm of the
Danfoss Group.– Danfoss Ventures is a leading corporate venture investor,
investing in early stage companies within Water and Energy.
– The Danfoss Group is a $ 5bn+ industrial components manufacturer with acitivities in Heating, Refrigeration, Motion Controls and Mobile Hydraulics.
– For more information, please visit: www.danfoss.com
• BankInvest– BankInvest is a Danish venture capital firm focusing on
early stage investments within Cleantech– For more information, please visit: www.biventure.com
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Case 2: Danfoss AquaZ – Danish Water Forum
Company Development State and Future Challenges
• By 2010 a ø25 mm Danfoss AquaZ Membrane will be available for “small membrane applications” such as:
• To gain distribution power and increase application knowledge Danfoss AquaZ will partner with one or more major suppliers in the current RO/NF market using their current communication channels, push/pull strategies and brands.
• Financial investors are invited to pursue an interesting business opportunity with Danfoss AquaZ
• For more information please visit: www.danfoss-aquaz.com
Tap water filters Lifeboat/rescue kitsTravel filter kits
Aquarium filters etc.
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Case 2: Danfoss AquaZ – Danish Water Forum
- Aquaporin
- Bacteriorhodopsin- Cytochrome
Oxidase
- Na+/K+ ATPasen- β-galactoside
permease- Glucose permease- Etc.
Our Vision
Functional Functional IngredientsIngredients[Biological Cell Wall Proteins]
NanoNanoMembranesMembranes
Applications & Applications & Market NichesMarket Niches
- RO/SWRO membranesRescue kits
- Solar Energy and Carbon Dioxide (CO²) Uptake
- Controlled Medication Dosing for Bioengineered Pharmaceuticals
- Etc.
Energy Conversion
Primary Business Focus