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Axion Power Concentrator 25: Beginning Nov.28, 2011 RE: Viridity and the Power Cube

It was a dreary day as I drove the rolling hills toward New Castle this morning; low wispy clouds, lingering, the kind cell tower tops disappear into, a fine, intermittent misting rain, weather so typical for a late November western Pennsylvania day. Having lived a solid hunk of my life in Pittsburgh, I found the 54 degree temperature quite satisfactory. 

I came armed with an umbrella of which I never used, as the inclement weather abated, if almost magically just in time. 

As I entered the white temporary tent thrown up to shield the attendees from the elements, the first bit of news I learned was that the CEO of Viridity was unable to make the ribbon cutting ceremony. Maybe some folks were disappointed, but I was not, because I came to see the Power Cube, up and running, hooked into the grid. And it was.

I would guess there were about 40 or so who made the journey, some from New York City, Florida, the Viridity folks from eastern Pennsylvania. Late arriving stragglers may have taken the number to 50.

I kind of want to scream loudly: Hey world! Do you not realize what happened today!

This is an incredible development that caught all of us Axion Concentrator followers completely by surprise. A classic right out of left field potential bonanza for us first floor level investors. This is much bigger than any of us could have ever expected, or than any of us ever imagined.

We shareholders now share in the ownership of the first of its kind, multi-purpose, battery powered virtual generation device, that can take in power, or discharge power at an ultra fast rate of 250 milliseconds response time. I am not sure what, if any device out there, battery, flywheel, molten salt, or whatever, save capacitors, that can keep up with, or even come close to what the Power Cube can deliver in the electrical demand response market.

I also want to reiterate what I learned when I attended my first Axion Power function, the Shareholders Conference, June 20, 2011. Everyone I talked to was most cordial, informative, and of course, very up beat. Many knew about the Axion Power Concentrator.

Beyond the startling 250 milliseconds fact here are some other fascinating tidbits I learned today:

--I should start off with perhaps the most significant, and that is that testing of the PbC continues, and now has passed, "100s of thousands of light cycle discharges and charges." If only I could age so gracefully.

--CEO, Thomas Granville, stated that the energy storage sector will be a $122B industry by 2022. He joked that he did not think Axion would get all of it.

--The Power Cube is movable, such that electric companies can move Power Cubes to where they are needed most, such as demands that the time of year brings; north in the colder months, and then south in the warmer months.

--The Power Cube can be moved via a tractor trailer (the Cube is 40 feet long), or shipped in an elements protected shipping container. I deduce that this means the Power Cube can now be shipped internationally, safely.

--We should all offer thanks to FERC, for lowering the necessary watts needed to help stabilize the grid. Otherwise, PJM, Viridity, and Axion Power would not have been able to cut today's ribbon. Axion is one of the first to follow the new rule making, implement and deliver a system, from building out the Cube to testing, to large string application that provides rapid response. And rapid response is key, because with the new October 24, 2011 rules, the faster the response, the more owners and users of the Power Cube get paid by PJM. This is a key advantage the Power Cube delivers.

--The PbC can deliver 2500 full discharges with 95% efficiency, and charges significantly faster with partial state charging called, "Duty cycle." (I'm not completely sure what all this means.)

--The half megawatt Power Cube consists of 600 plus PbC batteries (this number is up for debate, as I also heard 500 plus batteries).

--The power Cube is in active and live communication with Viridity and PJM. Today, the Power Cube was following its instructions to, "Do nothing." I'm guessing because the local grid was stable.

--As in the latest conference call, Thomas Granville spoke of other potential PbC applications in hybrid locomotive, hybrid vehicle, solar, wind and military.

--I probed a few questions about the HT30, and was returned that indeed the HT30 is the next generation, more powerful than the PbC, but that was it. It appears the HT30, and what it can do, is under tight wraps,

Speaking of tight wraps... 

--I noticed not far from where the ribbon was cut a small mountain of battery cases atop stacked pallets. Doing a very brief and possibly inaccurate count, I believe what I saw was some 54,000 empty battery casings, neatly wrapped in plastic, and hollow sounding when I tapped a couple. Whether they are destined to become PbC or flooded batteries I did not ascertain. If I am off on this number, it's because I chose to error on the side of caution...a lower amount.

My take away from this journey is that Axion has quietly stunned the world with how well the Power Cube can interact with the grid.

It's only a matter of time until large investing houses understand that what Axion Power is doing is unique, in unexplored territory, where the only investment models out there are "start up" investing models that can aid in investment decisions. The only problem is that Axion Power is so unique, there just may be no investing model out there for the big players to use.

When I left Axion Power headquarters, I did not see nary a dreary cloud during my return drive to my hotel, but rather, if almost innately, felt the growing and maturing confidence of all present at the ceremony today about Axion Power's future. 


I will be "off the Seeking Alpha grid" tomorrow, while I make the return trip to Philadelphia.