Why is Borealis so careful about disclosure?
We need to protect ourselves in these areas while patents are still pending. The United States Patent and Trademark Office keeps patent applications confidential, and the reason is to protect inventors who continue to file patents. The reason for our caution is that these technologies are ‘game changers’; either a fundamental advance in what is supposed to be a “mature technology” or an altogether undeveloped field.
Under NDA protection, we can, and regularly do, make in-depth technical disclosure. (Click to request the Non-Disclosure Agreement)
The Chorus® Motor has been completed. Specific products are now being designed, with a goal to license once the superiority of Chorus® has been demonstrated to potential licensees in the marketplace.
The Cool Chips™and Power Chips™are in advanced prototyping. When these prototypes have been satisfactorily completed, announcements will be made.
The Photon Power™ Technology, which uses solar power to produce electricity, is currently being evaluated to determine if it is commercially viable. Patents are excellent and provide wide coverage.
Borealis Green Steel™ is dependent on obtaining funding, either internally or externally. With suitable funding, a Green Steel™ Plant can be constructed within between 15-33 months. The plant would be capable of producing 150,000 tonnes of green steel per year, and it would serve as a marketing and technical platform for full-scale steel plants.
Our strategic aims are nothing less than obtaining a lead position in the specific markets in which our technologies enjoy an overwhelming advantage. In devising our strategy for accomplishing this, we are using two different models: The Cola Syrup model and the Intellectual Property (IP) model. Management believes that these two models will allow Borealis to realize maximum benefit from our technology.
Cola Syrup Model
The Cola Syrup is primarily a royalty model; the syrup maker doesnt actually sell a single can of soft drink, but it does make and control the formula which is shipped to bottling plants around the world. The syrup maker in this model owns a controlling interest in the syrup making plant and a majority share in the bottling plant with only one bottling plant being in each market (or niche market). In this model the syrup maker does not interfere in the day-to-day business of the bottler, who best knows both his market and his clients.
This model is attractive to us, and it has already been demonstrated that a single company can tailor its packaging and marketing efforts to individual markets, and not lose competitive advantage by being based in one place.
This analogy can be extended to the heat pumping business. A heat pump can be used in dozens of very distinct fields, such as medical devices, instrument cooling, automotive air conditioning, RAC, HVAC, White Goods, electronics, and even specialty racing helmets. And while in some markets (such as White Goods), a Cool Chip™ needs to be very competitively priced to force out existing technology, in other markets (such as cooling microprocessors), a much greater margin can be had given the virtual market vacuum which now exists. For these and other reasons, no one company, no matter how aggressive, nimble, and intelligent, could ever hope to successfully dominate more than one or two of these markets, let alone all of them. But the Cool Chip™ will be in many ways a modular product, with Cool Chips™ applicable across the entire range of heat pumping products.
Using the Cola Syrup model, Cool Chips plc is the syrup maker, with worldwide exclusive rights to manufacture Syrup or Cool Chips™, but it is only allowed to sell these chips to the niche companies (Bottlers), in business such as cooling electronics, HVAC, aerospace, White Goods, etc. Each of the licensee companies would have the exclusive right to sell in its market, but no rights to any others. Target companies who already have a strong market presence have been identified for some time, and mutual interest discussions have been on-going.
The same approach works for Power Chips™, and, to a lesser extent, Chorus® Motors.
Intellectual Property (IP) Model
The IP model has been successfully used in many fields where the technical advance was significant and new. Each company that licenses the IP agrees that any advances or improvements are not only the sole property of the original owners, but any advances or improvements are automatically shared with all other licensees. This will insure that all licensees and sub-licensees will benefit from improvements in the technology and will minimize or eliminate inter-licensee disputes concerning the technology. The more companies that will have a vested interest in keeping the technology as the property of the licenser and licensees, the greater the economic and political resources that can be brought to bear to defend against intellectual property infringement or theft.
Structurally, Borealis is a virtual company in the sense that unlike other most companies, the Internet plays a dominant role in our day-to-day operations and working practices, and is the means by which we manage our business, discuss new ideas, and allow our company to use a talent pool unrestricted by geographic constraints. We have no single physical office as our activities, personnel, and projects are spread around the world. We have a very high degree of flexibility as a virtual company, flexibility that doesnt come with being located in a physical building in an office park.
Our structure allows us to attract talent on the basis of our needs, and without paying the high financial or personal costs of relocating our employees. Weve drastically increased flexibility and reduced our overhead without the concerns of a physical building, parking, or even a physical location to hold our Annual General Meeting of Shareholders. Were a technology company; were innovators; and weve already adapted/changed to take advantage of the Internet to be a 24 hour, on-line company. Modern communications technology has allowed us to circumvent the traditional problems associated with working on 4 continents and 18 time zones. Because of this, we have access to facilities and personnel about which a company of our size would normally only dream. We can hire exactly the people we want from around the world without regard for relocating them physically in one place, and those who stay with us are those who are best able to adapt to changing technologies and environments.
As a virtual company, most of our business decisions and communications take place through the Internet, with mailing lists for specific groups of people acting as forums for discussion and decision making. As we avoid conventional office space overheads, our staff can work in an environment congenial to them, in most cases, their own homes. Numerous studies have shown that this form of working, tele-commuting as it‘s sometimes called, shows productivity improvements of up to 40% over the distractions of the conventional office environment.
We also make little distinction between shareholders and employees. All Borealis employees are also shareholders in the parent, Borealis Exploration Limited. All shareholders are welcome to become employees simply by rolling up their sleeves and pitching in - and many frequently do just that. We believe this is a healthy and responsive approach to the management and operation of the company.
The Borealis Family of Shareholders have funded Borealis for many years by the purchase of shares in the subsidiary companies and loans of shares and cash to get the Family of Companies bills paid. We have had revenue over the years, basically from private transactions, but because of our accounting being that of Development Stage companies the revenue was always taken against accumulated deficits and never publicly reported.
Borealis Exploration was a Canadian company for three decades, before moving to Gibraltar in 1998.
From a business point of view there is no change in the operating structure and activities. Most of the other companies in the group, such as Roche Bay plc, have already been incorporated in Gibraltar.
Borealis is one of very few publicly traded companies that are headquartered in Gibraltar, and we are confident that in this we are simply blazing a trail which others will follow. We have discovered that Gibraltar is an excellent place for a company to be domiciled. Gibraltar is fully within the European Union, its location in Europe is near the geographic centre of Borealis’ work, and it also offers a very comfortable, English-speaking environment.
Gibraltar GAAP is the accounting standard, which is very similar to UK GAAP. All Companies in the Borealis Family conform and comply with all the rules and regulations of the Gibraltar Authorities. It should be noted that we no longer report to or are under the regulation of the Canadian Securities Authorities nor do we report to the US Security Regulators.
Forward Looking Statement
Copyright © 1995 - 2019 Borealis Exploration Limited. All rights reserved.
Wheeltug and Chorus are Registered Trade Marks of Borealis Technical Limited
Forward-Looking Statement may be found at http://www.borealis.gi/fwdlook.shtml