"A work of art, music, or literature that is regarded as the most important or best work that an artist has produced"
I strongly believe Kalina Power has the potential to be a multi-billion dollar company in the coming years and its only a matter of time, the story has yet to unfold.
I strongly believe the market has not woken up to the potential of this company and I am quietly accumulating more at these levels.
Kalina power Limited
Ticker : KPO
SOI: ~305 million
Market cap ~32 million
What is ORC? - A use for waste heat.
"The Organic Rankine Cycle is a thermodynamic process where heat is transferred to a fluid at a constant pressure. The fluid is vaporized and then expanded in a vapor turbine that drives a generator, producing electricity."
Generating power from Waste heat is a multi-billion dollar industry currently being serviced by only a handful of companies using ORC technology (organic rankine cycle)
The image below illustrates the current market share.
There are 3 main companies dominating the industry with ORMAT leading the way.
ORMAT
NYSE: ORA
Mcap 2.4billion
As you can see, Kalina is very small compared to ORMAT, in fact we are 1/75th the size of ORMAT.
Kalina has yet to take a slice of this Delicious pie
The Kalina Cycle vs ORC
In the red corner we have ORC, slow, bruised, and out-dated technology.
In the blue corner we have Kalina, a new fighter that is armed with technology and tricks the others cant seem to do.
Above is a list of the main manufacturers of the ORC technology.
ORC technology has strict building requirements and the liquid inside the power plant cannot be changed, what this means is ORC technology will not work if the waste heat simply isnt hot enough.
Kalina can work with much cooler waste heat due to the flexible build options and the ability to change the liquids composition inside the plant on a per job basis, disruptive technology with the potential to disrupt the waste heat industry, welcome to the future, welcome to Kalina.
Below is a table from the latest presentation showing some advantages over ORC systems.
Efficient, Safe, Reliable, Proven
I want to talk about India, I believe they are just as big as China as opportunity comes...
India are one of the largest producers of Iron, Concrete, and glass, all 3 of these industries can use the ORC cycle to their advantage, so there is no reason they cant use a safer, more effective system to get the job done cheaper.
Geothermal
"Geological Survey of India conducted a study and has identified 400 medium to high enthalpy geothermal springs in India, clustered in seven provinces, namely The Himalaya, Sohana, Cambay, Son-Narmada-Tapi (SONATA), Bakreswar, the Barren Islands and Godavari province."
The above quote is in regards to using the ORC cycle, and i wonder how many more potential sites can be identified if using the Kalina cycle that runs on lower temperatures?
I started to dig more and more looking into the potential market size of India... and here it is.
With just some basic napkin maths... and being conservative
Lets say we took just 1/20th of the potential Mw's in India's waste heat market, that would be 44x 5mW Kalina plants generating roughly 264 million dollars in revenue a year, not bad for a turnkey solution that is self-sustaining and zero emissions
Conclusion:
I dont care about little pips here nor there, I see massive potential and I wanted to share my research notes and thoughts on how I feel about the potential of this company.
Solid management team are ready to kick some serious goals and to show the world how special the Kalina Cycle is, remember folks all im asking for is a fair slice of a massive pie
Efficient, Safe, Reliable, Proven - This is Kalina
Ciao!
KPO Price at posting:
10.5¢ Sentiment: Buy Disclosure: Held
(20min delay)