Originclear Inc's Business Segments

OriginClear is a leading provider of water treatment solutions and the developer of a breakthrough water cleanup technology. Through its wholly owned subsidiaries, OriginClear provides systems and services to treat water in a wide range of industries, such as municipal, pharmaceutical, semiconductors, industrial, and oil & gas. To rapidly grow this segment of the business, we strategically acquire profitable and well-managed water treatment companies, which allow us to expand our global market presence and technical expertise. To enable a new era of clean and socially responsible water treatment solutions, we invented Electro Water Separation™, a breakthrough high-speed water cleanup technology using multi-stage electrochemistry, that we license worldwide to water treatment equipment manufacturers. Water is our most valuable resource, and the mission of The OriginClear Group™ (the “Group”) is to improve the quality of water and help return it to its original and clear condition.

OriginClear, Inc. was incorporated on June 1, 2007 under the laws of the State of Nevada. We have been engaged in business operations since June 2007. We recently moved into the commercialization phase of our business plan having previously been primarily involved in research, development and licensing activities. Our principal offices are located at 525 South Hewitt Street, Los Angeles, California 90013. Our main telephone number is (323) 939-6645. Our website address is www.OriginClear.com.

Outsourcing is a fast-growing reality in water treatment. Tougher regulations, water scarcities and general outsourcing trends are driving industrial and agricultural water treatment users to delegate their water problem to service providers. As Global Water Intelligence pointed out in their report on October 30, 2015, “Water is often perceived as a secondary importance, with end-users increasingly wanting to focus solely on their own core business. This is driving a move away from internal water personnel towards external service experts to take control of water aspects.” External service experts are typically small–privately owned and locally operated. Consolidating these companies could lead to enormous economies of scale through sharing of best practices, technologies, and customers.

Decentralization is an even greater trend in water, similar to what has been seen in energy decentralization through solar and wind off-grid generation.

Water is becoming increasingly scarcer. McKinsey’s Transforming Water Economies forecasts that “without action, global water demand could outstrip supply by up to 40 percent by 2030.” Furthermore, existing water infrastructure in the United States is aging and water loss is increasing.

According to Lux Research, updating our national water infrastructure will require an investment of $270 billion – money that will be hard to pull together for projects that could take decades to complete. In the meantime, centralized water systems are forcing water users to treat their own water with small, modular water treatment systems.

OriginClear is acquiring companies to help industrial water users treat their water themselves, and often reuse it. We believe those companies are going to grow tremendously because of this “local water” growth trend. We believe that assembling a group of water treatment companies is an opportunity for significant growth and increased Company value for the stockholders.

Since 1995, PWT has been designing and manufacturing a complete line of water treatment systems for municipal, industrial and pure water applications. Known as an OEM (Original Equipment Manufacturer), PWT utilizes a wide range of technologies, including chemical injection, media filters, membrane, ion exchange and SCADA technology, in turnkey systems that it designs and builds. PWT also offers a broad range of services including maintenance contracts, retrofits and replacement assistance. In addition, PWT rents equipment through contracts of varying duration. Customers are primarily served in the United States and Canada, with PWT’s reach extending worldwide from Japan to Argentina to the Middle East.

On January 12, 2016, we announced that Minnesota-based public utility, Xcel Energy (NYSE:XEL), awarded PWT a large-scale contract for a boiler feedwater treatment system. The contract totaled nearly two million dollars and uniquely utilizes all Dow Chemical (NYSE:DOW) products, including Ultrafiltration (UF), Reverse Osmosis (RO) and Electrodeionization (EDI) processes. On January 17, 2017, we announced that PWT had recently completed the installation and startup of this project. This was the third large power plant project that PWT designed, built, installed and successfully started up, bringing the total such orders to approximately $3.5 million for 2016.

On November 21, 2016, OriginClear designated PWT as its first complete systems manufacturer, and plans to make PWT its first complete systems manufacturer for both licensees and end-users. We believe that acquired companies in the Group can become captive distribution points for its technology.

OriginClear is currently in discussions for additional, accretive acquisitions of companies specializing in complementary markets and applications.

OriginClear Inc. Overview

OriginClear Inc. is a water treatment company that specializes in providing advanced technological solutions for the treatment of various types of water, primarily focusing on produced water, wastewater, and other industrial applications. The company is headquartered in the United States and operates across multiple international markets, particularly in Asia, Europe, the Middle East, and North America.

Segments

OriginClear’s operations can be segmented into various key areas:

1. Water Treatment Technologies: The core of the company’s offerings lies in advanced water treatment technologies, particularly the Electro Water Separation™ (EWS) process. This patented technology is designed to treat difficult-to-manage water, including produced water from oil and gas operations, as well as wastewater from other industrial processes.

2. Joint Ventures and Collaborations: OriginClear actively collaborates with other companies and organizations to expand its technological reach and market presence. It engages in joint ventures, particularly in the fields of algae-based waste management and water treatment solutions.

3. International Operations: The company is strategically positioned to extend its technology and solutions globally, with a focus on Asia, Europe, the Middle East, and North America.

Products and Services

OriginClear offers a range of products and services tailored to different water treatment needs:

1. Electro Water Separation (EWS) Systems: These modular systems are designed to successfully treat produced water and wastewater without the use of chemicals. They can efficiently separate oil, suspended solids, and other impurities from water.

2. ECOPOD Systems: A notable product is the ECOPOD, developed in partnership with ECT Services & Solutions. The ECOPOD is a modular, scalable water treatment system that can achieve irrigation-grade water from produced water, making it suitable for agricultural and environmental applications.

3. Algae-Based Waste Management Systems: Through its joint venture with Ennesys, OriginClear engages in the development of systems that utilize algae for waste management. These systems convert liquid waste into beneficial byproducts such as liquid fertilizers and algal biostimulants.

4. Technology Licensing and Training: The company offers licensing agreements and resources to support international partners, including training for technology maintenance and marketing communications aimed at enhancing the operational capabilities of its licensees.

International Operations

Asia:
- China: OriginClear established a presence in China through its subsidiary, OriginClear Technologies (Hong Kong). The company has focused on building partnerships, notably with Mr. Ming Xu for joint ventures in water treatment, including the potential establishment of an OriginClear Excellence Center for training and support.

Europe, Middle East, and Africa:
- France and GCC: OriginClear is involved in a joint venture with Ennesys in France, focusing on algae-based waste management systems. This collaboration has led to the development of solutions that convert waste into valuable products. In the Gulf Cooperation Countries, Ennesys is working with local landscaping companies to recycle food waste into fertilizers and algal products, although significant revenue generation has yet to materialize from these ventures.

North America:
- OriginClear has made strides in North America, particularly with its ECOPOD systems for produced water treatment. The pilot system in California has demonstrated capability in transforming oilfield produced water into irrigation-grade water, showcasing the effectiveness of its EWS technology.

Conclusion

OriginClear Inc. is leveraging its cutting-edge water treatment technologies and collaborative ventures to address global water management challenges. Through its active presence in Asia, Europe, and North America, the company aims to establish itself as a leader in sustainable water treatment solutions, addressing both industrial needs and environmental concerns globally. The ongoing development of joint ventures and partnerships further enhances its capabilities and market reach.