American Power Group Corporation provides patented dual fuel conversion system.
The company’s patented dual fuel conversion system is an external fuel delivery enhancement system that converts existing diesel engines into efficient and environmentally friendly engines that have the flexibility, depending on the circumstances, to run on diesel fuel and compressed natural gas (CNG) or liquefied natural gas (LNG); diesel fuel and pipeline gas, well-head gas or approved bio-methane; or 100% diesel...
American Power Group Corporation provides patented dual fuel conversion system.
The company’s patented dual fuel conversion system is an external fuel delivery enhancement system that converts existing diesel engines into efficient and environmentally friendly engines that have the flexibility, depending on the circumstances, to run on diesel fuel and compressed natural gas (CNG) or liquefied natural gas (LNG); diesel fuel and pipeline gas, well-head gas or approved bio-methane; or 100% diesel fuel.
The company’s proprietary technology displaces approximately 70% (average displacement ranges from 40% to 65%) of normal diesel fuel consumption with various forms of natural gas. Primary end market applications include both primary and back-up diesel generators, as well as mid- to heavy-duty vehicular diesel engines.
In August 2015, the company entered the flare gas capture and recovery business through a relationship with Trident Resources LLC (Trident) whereby it licensed their proprietary existing and next generation natural gas liquids (NGL) compression/refrigeration process. The company provides flare capture and recovery services to the oil and gas production operators who need to meet their mandated flare gas capture limits by processing their previously flared gas for an agreed upon processing fee. It sells a portion of the NGL being processed by it as fuel, emulsifiers/dilutants or as feed stock to be further processed by refiners. The majority of the remaining associated gas comprises of methane, which is not sold but, if further processed, could produce pipeline grade natural gas for use in stationary and vehicular engines utilizing its Fueled By Flare dual fuel solution.
Customers
The company’s dual fuel technology upgrade is suited for the large domestic and international installed base of both stationary and vehicular diesel engines. The stationary market includes primary and backup diesel power generators for oil and gas drilling rigs, shale gas recovery pumps, hospitals, cold storage warehouses, data management centers, and government and manufacturing facility applications. Vehicular applications include corporate and private route fleets, long haul logistics fleets, refuse haulers, and public transit and government vehicles.
The company provides its flare capture and recovery services to oil and gas production companies, who are seeking to eliminate the flaring of their excess hydrocarbon gases generated by the drilling process in order to meet various regulatory requirements. In addition, it sells the resulting NGL into various end markets for heating, emulsifiers, or as a combined NGL liquid called Y Grade that could be sold to midstream companies who separate the liquids into their final commodities.
Sales and Marketing
The company’s dual fuel conversion operations address the alternative fuel market in three segments: North American Stationary, North American Vehicular, and International. To address these markets, the company has put in place a sales organization consisting of direct sales, exclusive dealers/certified installers, non-exclusive dealer/installer agreements, sales representatives, and in-country international distributors. It also has co-marketing relationships with various national and regional CNG and LNG fuel suppliers. The company has 27 domestic dealers/certified installers, and exclusive distributors in 5 countries that market and distribute its products.
Intellectual Property Rights and Proprietary Rights
The company’s American Power Group, Inc. subsidiary has an exclusive, worldwide license under one U.S. patent for dual fuel conversion technology owned by M&R Development, Inc. It uses the names American Power Group, Inc. and Trident in interstate commerce and asserts common law rights in and to those names.
History
The company was founded in 1992. It was formerly known as GreenMan Technologies, Inc. and changed its name to American Power Group Corporation in 2012.