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OLIE, INC.
February 2013
OLIE, INC.
• Olie, Inc. (Olie) is a company focused on emerging, clean energy storage technologies.
• Olie owns worldwide rights to the patented Rechargeable Alkaline (RAMcell) battery technology - considered one of the most cost effective and environmentally responsible battery technologies in the world.
• Small format RAMcells have been sold to leading retailer and to Original Equipment Manufacturers (OEM) since 1994.
• Large format RAMcells are currently under development and will target the $48 billion lead acid battery market.
• Large Format RAMcells are expected to revolutionize the battery market. • Historically, small format RAMcell batteries and charger kits were sold at
retail in Canada. • New retail business is now in place in the US, Europe and South Africa
with new opportunities being pursued in several markets. • A recent focus on the use of RAMcells in OEM products including solar
garden lights and LED lighting and has resulted in a growing OEM business.
THE COMPANY
OLIE, INC.
• The RAMcell technology was developed by the same scientist who invented the single-use alkaline battery technology.
• Over $40 million spent on R&D to date. • Ongoing intellectual property focus with 28 patents issued in key
international markets. • RAMcells are pre-charged and ready to use. • RAMcells do not suffer from rapid self discharge issues like other
rechargeable batteries and hold their charge for 7-years. • Hassle free charging – RAMcell can be recharge at any time with no
memory effect. • 1000’s recharges depending on use and frequency of recharging. • Available in AAA, AA, C and D sizes and 12, 9 and 6 volt battery packs. • Large format RAMcells are 1/3 the weight and size of a comparable
lead acid battery. • RAMcells are low cost, and use readily available raw materials. • RAMcell use no heavy metals and is the only consumer battery to be
awarded the prestigious EcoLogo.
THE RAMCELL TECHNOLOGY
OLIE, INC.
• Through an asset purchase in 2012, Olie is combining the small format and large format RAMcell businesses.
• The acquisition brings together all patents, know-how, laboratories, manufacturing, personnel, supply contracts and business relationships.
• This acquisition is key to completing the development and market launch of the large format RAMcell.
• In association with this acquisition and a new focus on OEM applications the sale of OEM batteries grew by close to 200% in 2012.
• OEM products using RAMcells including solar lights and spotlights began selling in 2012 at Home Depot US, Wal-Mart US, West Marine, Wal-Mart Canada and other retailers.
• Retail sales of batteries and charger kits are poised to expand into several new markets in 2013.
• Based on its R&D, manufacturing and marketing expertise Olie has been approached to bring to market new battery and charging technologies.
RECENT HIGHLIGHTS
OLIE, INC.
72% 4%
24%
Global Shipments
Rechargeable Batteries
Alternative Energy Storage
Primary Batteries
GLOBAL BATTERY MARKET US$89 BILLION/YEAR - 2012
Data from Freedonia Group, Inc.
OLIE, INC.
72%
8%
20%
Global Shipments
Lead Acid
Nickel
Lithium
RECHARGEABLE BATTERY MARKET US$63 BILLION/YEAR - 2012
Data from Freedonia Group, Inc.
OLIE, INC.
• In 2011 China closed over 1,500 lead-acid
battery plants due to health issues related to
toxic lead.
• Issues continue with lithium battery fires and
explosions.
• Raw material price fluctuations.
• NiCd batteries banned in Europe in 2008 due
to health issues related to toxic cadmium.
RECENT MARKET DEVELOPMENTS
OLIE, INC.
8
SMALL FORMAT RAMcells
OLIE, INC.
• RAMcells are now being used in a growing number of OEM products replacing lead acid, NiCd, NiMH, lithium and single-use batteries.
• A recent focus on products that have historically used lead acid batteries has resulted in significant new business.
• A number of new OEM products using RAMcells are under development.
• Sales are conducted through contract manufactures, agents and direct with OEMs.
SMALL FORMAT OEM SALES
OLIE, INC.
• RAMcell is the lowest cost rechargeable battery and the only one that can replace disposable alkaline batteries in every application.
• RAMcell batteries and charger kits have been sold under several brands and retailer private labels since 1994.
• Available in Canada, US, Europe, and South Africa.
• Sales in China and India to start in 2013.
• Retail sales are conducted through a growing network of distributors.
SMALL FORMAT RETAIL SALES
OLIE, INC.
• Several innovative chargers are available. • 2-position, 4-position and 8 position chargers. • Wall-plug and compact USB chargers.
RAMcell CHARGERS
OLIE, INC.
• ISO 9001 certified plant located in Nova Scotia, Canada.
• 40,000-sq. ft. facility on 10.5 acres of industrial land with room for expansion on additional 5 acres.
• Two automated lines with a total annual capacity of over 75 million AA and AAA batteries with:
• Assembly
• Processing
• Packaging
• QC operations
• Land and equipment are valued at over $5 million.
SMALL FORMAT RAMcell MANUFACTURING
OLIE, INC.
13
LARGE FORMAT RAMcells
OLIE, INC.
LARGE FORMAT RAMcells
All the Advantages of Small Format RAMcell and more: - New construction format - Same raw materials used - Improved charge and discharge rates - Better utilization of active materials - Scalable to any size battery - 1/3 weight & size of lead acid battery - Maintenance free - No heavy metals used
OLIE, INC.
RAMcell 100 Amp Hour Battery vs
Lead Acid 100 Amp Hour Battery
RAMcell 100 Amp Hour Battery VS
Lead Acid 34 Amp Hour Battery
SIZE & WEIGHT ADVANTAGE
OLIE, INC.
0 1 2 3 4 5 6 7
Years
NiMH
NiCd
Lead Acid
RAMcell MnZn
Charge Retention at 20°C
RAMcell SHELF LIFE ADVANTAGE
Lead Acid
Lithium
NIMH
Projected
Wh/Kg 30 67 90 150 150
RAMcell ENERGY DENSITY ADVANTAGE
RAMCELL
FLAT PLATE
THE POWER OF RAMCELL
OLIE, INC.
OLIE, INC.
$/KW Hour* ~$1000 $550 $170$120 $150
$ / K
W H
ou
r
Lead Acid
Lithium
NIMH RAMCELL
FLAT PLATE
Projected
* : $ per KWh value are taken from public information and internal cost estimates.
RAMCELL COST ADVANTAGE
OLIE, INC.
Off Grid : $10 billion/year(1)
• Cell tower
• Traffic control systems
• Cable network systems
• Uninterrupted Power Supply
• Off-grid storage
• Wind
• Solar …
Automotive : $30 billion/year(2) • Starter Lights & Ignition
• Hybrid electric vehicle applications
LARGE FORMAT RAMcell MARKET FOCUS
(1) Lux Research, June 2011 (2) Lucintel, August 2012
OLIE, INC.
• 3 billion batteries end up in US landfills each year.
• This equates to over 100,000 tons of battery waste per year in our landfills.
• The toxic metals used in batteries: lead, cadmium, mercury, and nickel –are all poisonous to humans.
• RAMcells contain NO toxic metals.
• RAMcells significantly reduce the amount of heavy metals and waste entering landfill sites.
• RAMcell is the only battery to be awarded the prestigious EcoLogo.
THE ENVIRONMENTAL ADVANTAGE
EcoLogoTM is North America’s largest, most respected environmental standard and
certification mark
OLIE, INC.
NATIONAL RESEARCH COUNCIL
CANADA
STRATEGIC PARTNERSHIPS
Note: Joint or sponsored
OLIE, INC.
INVESTMENT OVERVIEW
The company is seeking an investment of $12.6 million, on terms to be negotiated. Use of Proceeds from this investment are as follows:
Lab Manufacturing and Testing Equipment 1,000,000$
Flat Plate Research and Development 800,000
Engineering of Manufacturing Equipment 1,500,000
First Generation Flat Plate Manufacuring Line Construction 4,000,000
Manufacturing Line Start-up/Flat Plate Inventory Build-up 2,200,000
Cylindrical Materials and Finished Goods Inventory 500,000
Discounted NSBI $7 million Debenture Purchase 1,000,000
Patents and IP Cost 100,000
Working Capital and Contingency 1,500,000
Total Investment 12,600,000$
OLIE, INC. OLIE, INC.
Actual
Revenue 1,810,600$ 3,894,800$ 7,527,700$ 12,201,200$ 22,339,700$ 41,172,700$
Cost Of Goods Sold 1,698,600 3,142,100 3,815,000 5,157,100 8,824,200 15,309,800
Gross Profit 112,000 752,700 3,712,700 7,044,100 13,515,500 25,862,900
R&D 258,600 536,600 1,037,100 1,681,000 3,077,800 5,672,400
SG&A 192,500 142,000 274,400 444,800 814,500 1,501,100
total Operating Expenses 451,100 678,600 1,311,500 2,125,800 3,892,300 7,173,500
EBITDA (339,100)$ 74,100$ 2,401,200$ 4,918,300$ 9,623,200$ 18,689,400$
Projection - Fiscal Year Ended September 30,
2013 2014 2015 2016 2017Year Ended
June 30, 2012
PROFORMA FINANCIAL PROJECTIONS
• These projections are based only on the small format RAMcell business. • Large format RAMcells target the $43 billion lead acid market with annual growth of more than $2 billion. • Gaining a 1% share of the lead acid business would represent sales of $430 million to Olie.
OLIE, INC.
World Trade Center Suite 404 - 999 Canada Place Vancouver BC
30 Pollard St Richmond Hill Ontario
41 Tantramar Cres Amherst Nova Scotia
Management Directors Head office
Toronto office
Battery Plant
Gregg K. Vernon P.Eng
Executive Chairman
Frank Borowicz QC CA(HON)
Independent Director
Grant Vernon
Independent Director
Wayne Hartford
CEO, Director
Robert Gardner
President, Director
Stephen Meldrum
Chief Operating Officer
Josef Daniel-Ivad PhD
Chief Technology Officer
Dorlyn Evancic
Chief Financial Officer
Rob Fashler
Chief IP Officer
Doug McKillop
Plant Manager
LEADERSHIP TEAM
OLIE, INC.
Cost Reducing and Sustainable Technology • RAMcell is a proven technology • Large format RAMcell is a Game Changer for power storage • Highest performance/cost ratio for rechargeable battery • High energy density • “Industry Best” shelf life with lowest self discharge • Readily available, Lowest Cost anode/cathode materials • Proven Manufacturing expertise and operating plant
Exclusive Intellectual Property • Current portfolio of 28 worldwide patents in place • Ongoing focus on new patents and patented improvements to extend exclusivity
Experienced Team • Highly experienced management team • Global Perspective • Strong R&D partners • Strong strategic alliances
SUMMARY