Posted on 01/27/2014 9:05:31 PM PST by Kevmo
It’s Official US Startup Admits to Purchasing Rossi’s E-cat LENR Technology Published January 25, 2014 | By jennifer
A North Carolina based company called Industrial Heat LLC has come out and admitted that it now owns Andrea Rossi’s ecat low energy nuclear reaction (LENR) technology. Industrial Heat has put out a press release in which it confirmed rumors that it had spent $11 million to purchase Rossi’s device.
The New Home of the Ecat an aerial view of North Carolina's Research Triangle
The press release also confirmed speculation that Tom Darden of Cherokee Investment Partners a North Carolina equity fund is a principal investor in Industrial heat. It stated that one of Darden’s associates J.T. Vaughn is the manager of Industrial Heat LLC. Industrial Heat LLC is based in the Research Triangle region around Raleigh, North Carolina where many technology companies have operations. Cherokee’s website describes Vaughn as a Senior Analyst at the firm.
Tom Darden of Cherokee Investment Partners LLC, courtesy Bizjournals
Vaughn said that his company had acquired the intellectual property rights to the Ecat in the press release. Vaughn and Darden were convinced of the Ecat’s authenticity by a report prepared by physics professors Guiseppe Levi, Hanno Essen, Ronald Petterson, Torbojorn Hartman, Bo Hoistad, Roland Pettersson and Lars Tegner. The scientists tested the ecat in December 2012 and March 2013 and observed its operations. Vaughn and Darden also had an unidentified independent expert exam the ecat before investing their money in it.
The press release stated that Industrial Heat has prepared numerous patent applications to protect ecat technology but wouldn’t’ elaborate. The release didn’t say if any of these applications have been filed or not.
“The world needs a new, clean and efficient energy source,” Vaugh said of his reasons for acquiring Ecat in the press release. “Such a technology would raise the standard of living in developing countries and reduce the environmental impact of producing energy.”
JT Vaugn Courtesy Pure Energy Systems and Sterling Allen
The press release stated that Industrial Heat wants to enter into partnerships with other companies, universities and nongovernment organizations (NGOs) to develop LENR technology. It didn’t identify any of these partners or mention any specific uses for Ecat technology.
Predictably and sadly the cold fusion skeptics have already started attacking Industrial Heat. The Gizmodo blog is claiming that Darden and Vaughn were bamboozled and bought a reactor that might not actually work. Typically the skeptics provide absolutely no proof for their accusations they just make them and hope nobody questions their statements. Those who criticize Rossi for not verifying claims turn around and do exactly the same thing.
Tom Darden
Vaughn and Darden seem like hardhead and sensible businessmen who have done their homework. They actually looked into Ecat and got the facts before investing. Gizmodo mentions Rossi’s criminal conviction but doesn’t mention the involvement of distinguished professors such as Guiseppe Levi in the ecat project.
Industrial Heat’s confirmation is very good news, despite the skeptics. It’s the biggest investment so far in cold fusion and it proves there are far sighted businessmen interested in commercializing this important technology. Hopefully Industrial Heat will be able to commercialize the Ecat and looking into other LENR devices such as those at Brillouin.
Uh, perhaps because Rossi needed CAPITAL to bring the technology to market, just like any other inventor of a world shaking product. No billions unless you have a few million to get "up and running".
You can bet that Rossi still owns a percentage of the rights, and will receive royalties on each unit sold.
If that's what you consider pearl of wisdom. I consider the comment a pearl of stupidity.
I think there’s a lot of promising research going on in cold fusion (or LENR, as it is sometimes called). But, there’s something about the way Rossi conducts himself which makes me suspicious. And, consider this: If you had a virtually infinite energy source, would you sell the rights to it for a mere $11 million? I’d want more.
And just suppose you were an inventor with a technology potentially as big as Rossi's. Where are you going to get the money to bring that invention to market??
The $20MM (which is what was actually invested) is only Rossi's "down payment". The real big money will come as stock growth (you can be sure that Rossi still owns a significant percentage of the company, but less than 51%), and per-unit royalties, which no other investor will receive.
Just like every other high-tech product invented by a "lone wolf" inventor. That is what venture capital companies are all about.
Well, the impression I got from the text was “sold for $11 million”. There was no mention of rights retained, royalties, partial ownership, etc. I agree that those should be in there. But, it’s not like I have the contract in front of me!
Which is why ALL of us should reserve judgment. We don't have all the facts. So comments like yours (and I think it's interesting about how so MANY people on these threads are posting the exact same cookie cutter kneejerk comment about "it's a scam because Rossi only got $XXMM and would want more") are very much sheer speculation.
The ONLY thing we know is that the financial backer (Cherokee) is a well-established company that has been around for a long time, and that the principals of the company are well-known legitimate business types. The fact that Industrial Heat was talking to a high-level Chinese official testifies to their "global clout".
You don't get to that level in the financial world by being dummies or by failing to deliver the goods. Cherokee undoubtedly checked out both the technology AND Rossi. I suspect they even know which cheek of his ass has the birthmark.
BOOKbump
PRAY THAT IT IS THE LATTER.............
OK, people were saying Rossi wasn’t a fraud because he wasn’t soliciting money. Now he gets $20million?
1) The investing company got to run a demo with their setup and they found it works,
OR
2) The investing company is gambling on this being real.
AND
3) I have a hard time believing anything Rossi said and despite people saying his petroldragon process worked (supposedly based on the Fischer–Tropsch process) but he never produced one drop of oil in Italy. I would like to be wrong about Rossi but I don’t think I am.
I would think that an investment of $20million requires a fare bit of due diligence but then again Peter Jansson diverted money from the power company he worked at to Black Light Power and now works at Rowan U, The New Jersey State Teachers College. He’s a friend of Mills.
Has anyone seen evidence of the BLP demo, it was supposed to start at 11:00am EST?
It appears you brought a flock of them.
Hold on there. I know you’ve been following BLP for a while and in 2008 they got funding from two utilities, one in Oregon, and I think the other in New Mexico. There were supposedly one year away from production and now try to find those press releases on BLP’s site now and they spent millions too.
At this point, while I wouldn’t trust Rossi to mow my lawn, I will give him the benefit of doubt for a time.
So, again with, what do we look for to prove or disprove Rossi?
And you know this how??? Rossi was flat broke when he entered the USA. Years later (still in the USA), he is a wealthy man. According to Jed Rothwell (who I trust more than anyone else in the LENR field to be scrupulously honest), he got rich by licensing his rights to the Petroldragon process to a US company, who put it into use and made both him and the company "plenty dough".
So my opinion is that Rossi is like Thomas Edison...a slick dealer on the business side, but honest on the "technology side".
So yes, I think you're wrong.
I don't khow where you get the idea that I have been following BLP. I have said repeatedly that I have not.
BUT...a utility is not a venture capital firm. VC firms are much more "check the goods you are buying" operations.
I do not believe that Cherokee would have coughed up the big bucks without SERIOUS due diligence, both of the technology, AND Rossi's track record."At this point, while I wouldn’t trust Rossi to mow my lawn, I will give him the benefit of doubt for a time.
Your problem, not mine.
"So, again with, what do we look for to prove or disprove Rossi?"
The validation report that Rossi has been saying will be published soon, and working units sold.
Your trusting of Jed Rothwell is touching, really but it's like saying out of all the people in charge of the Third Reich, you trusted Goering.
Two Third Reich references and not one Goddard.
This is from wiki so keep that in mind:
In 1974, Rossi registered a patent for an incineration system. In 1978, he wrote The Incineration of Waste and River Purification, published in Milan by Tecniche Nuove. He then founded Petroldragon, a company for developing oil from waste, which collapsed in the 1990s amidst allegations of dumping toxic waste,[11] and accusations of tax fraud. Its assets were seized, together with Rossi's personal assets, and Rossi was arrested pending trial. Rossi spent four years in prison working on his legal defense in 56 trials, 5 of which ended in convictions related to tax fraud. Rossi wrote that he was acquitted in the other 51 trials.[12] The government of Lombardy spent over forty million euros to dispose of the 70,000 tonnes of toxic waste that Petroldragon had improperly dumped.[13] According to the mayor of Lacchiarella, Luigi Acerbi, "In the years when [Rossi] was working here, he didn't produce a single drop of oil, as far as we know."[12] At the conclusion of the trials in 1996, Rossi moved to the US.[14]
Vaughn said that his company had acquired the intellectual property rights to the Ecat in the press release. Vaughn and Darden were convinced of the Ecat’s authenticity by a report prepared by physics professors Guiseppe Levi, Hanno Essen, Ronald Petterson, Torbojorn Hartman, Bo Hoistad, Roland Pettersson and Lars Tegner. The scientists tested the ecat in December 2012 and March 2013 and observed its operations.
Oh yeah, we can trust Rossi's buddy Levi and the setup was already running in Rossi's 'lab'. I believe, no I don't
At least there's this:
Vaughn and Darden also had an unidentified independent expert exam the ecat before investing their money in it.
I sure hope their 'independent' analyst wasn't Sterling Allen.
I'm sorry but this smells. I can see a company wanting to get in on the ground level of such a game changing technology and depending on how well they're capitalized, $11 million may not be much since the potential to make money is limitless. That is, if it works.
People have continuously said Rossi can't be a scammer because he wasn't looking for money, well, that theory is out the window.
Huh, aren't you an EE? I'm pretty sure the coursework for an EE is a lot harder than a JD, not much use for Calculus and Physics for a JD.
It's like the old joke, what do you call the guy in last place in medical school? Doctor.
Pay no attention to the 500KW generator running during the 1mw plant that only ran at 500kw due to leaks supposedly.
Complete and total crap. Rothwell is one of the most scrupulous researchers I have ever seen. I guess you put great faith in Steve Krivit, who I trust as little as you trust Rossi.
"This is from wiki so keep that in mind:
You talk to me about Goering, and you quote WIKIPEDIA, whose prejudice against LENR approaches that of Science, Nature, and Scientific American.
What makes you think the mayor is telling anything close to the truth and not a handboy for the Mafia...who "own" the waste disposal business in Italy??
So yes, I'll trust Rothwell, whom I have observed over many years over an unknown Italian politician.
This cold fusion nonsense is a fusion of cargo cult science and cargo cult business.
http://en.wikipedia.org/wiki/Cargo_cult_science
I'm beginning to think YOU smell. Have you actually bothered to look into Cherokee's background?? It appears not...but I have. They have a strong base of technical experience, and I doubt that it is possible for Rossi to "scam" them. Neither you nor I know what other due diligence they have done. According to Rossi, they have built working E-Cats from Rossi's directions, with no other input from him. If they are building and testing their own E-cats, they have plenty of data for due diligence.
"People have continuously said Rossi can't be a scammer because he wasn't looking for money, well, that theory is out the window."
OF COURSE Rossi was looking for money. Why else work long hours in a lab if not??? You are assuming that his work is fraudulent but THERE IS ABSOLUTELY NO EVIDENCE OF THAT. NONE.
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