CEO

With the increasing concern over failing infrastructure and forever chemicals in our water supplies, demand for clean water access is radically increasing. So, if YOU had a brilliant strategy and amazing solutions to the problem would you keep them a secret? Probably not and neither will we! In this briefing we break the cultural habit of sitting on the good news, and draw back the curtain on decentralized water's blossoming future… Interested? See it here in the replay!

Transcript from recording

Opening

Riggs: We needed more compact systems that would fit in a business, and we've done that. 2018, my company, OriginClear, which has been a public company for some time, built this business that creates these Water Systems in a Box™, we call it. Modular Water Systems™ is the brand and it's doing fantastically. But there was still a problem because what we found out, especially during COVID when everything was going nuts, is that businesses needed help with money.

If you're asking a brewery to invest in wastewater systems, they're like, "I'm sorry, I'm funded to make beer. Where am I going to find $1 million to clean the water? I thought that was the city's job." So we realized that the way to really accelerate this is to make it a no brainer. We come along, we say, "Okay, sign here and you don't have to pay for the machine we're going to put in and just pay by the gallon, as you always did with the city. You just keep doing it with us." We call it Water On Demand™. And it is basically water as a service.

Introduction

Riggs: Welcome, everyone to the briefing. And I see people are arriving rapidly. Keith Roeten, "Sometimes doing nothing is good, but not when cleaning water." Okay. Keith was referring to the little outside of the show commentary. That was because we've been starting the webinar early these days and it's because there's been some button pressing, but now we fixed it. So we are live and happy campers. All right. So with that, we will jump into the briefing April 6th, briefing number 205 The World's New Water Network. All right.

Safe Harbor Statement and Disclaimer

So with that, hey, OriginClear in the news. So there's this magazine called Green Living. Here it is. And honoring Stewart Udall. Very, very an amazing guy in Arizona.

He's there with Lynda Bird Johnson, looks like. Showing off pieces of Arizona. So this magazine is a great little magazine about green, basically.

Perils of PFAS

And if we fast forward to 24, we get an article that includes us right here. We're commenting on these forever chemicals that Teflon and firefighting foams, varnishes, that sort of thing, and very long lasting.

And also was commented here that it impacts reproductive health. Interestingly enough, it even increases cholesterol. So you'll find them in personal care products, non-stick cookware, fast food packaging, stain resistant products, microwave popcorn bags, pesticides, cosmetics, paint and water resistant clothing. They have been getting rid of them, but they are out there. Per and polyfluoroalkyl substances PFAs. That was a nice little hit.

Okay, here's a report from the field. Our chief engineer for Modular Water Systems, Daniel Early, at Munson Point, which is a housing development. We've been telling you for a long time that housing developments are great candidates for decentralized water treatment because obviously you can locate the housing development without having to worry about sewage, which can be many millions of dollars. So let's see what he's got to say.

In the Memo

First of all, he sent me the memo here. I spent most of the afternoon today at Munson Point following up on the EveraSKID™, which in other words, it's a skid mounted system, 10,000 gallons per day Membrane BioReactor (MBR), meaning that it uses biology to clean the water. "I met with Jimmy Moon, who operates Munson Point, and he's very thrilled, 35 year veteran, very impressed with the autonomous function and the exceptional quality water quality being produced."

You heard that also is being stated about it, that other location in Moscow, Pennsylvania. They made the same comments. And he has connections in north Texas, which is absolutely booming and we'll cover that in the video. "There are at least five high value residential and mixed use commercial developments within five minutes of Munson Point. And they're planning to open new lots for construction and plan to get a second EveraSKID. Texas Instruments building a $30 billion facility in Sherman, Texas. And that will bring another 20,000 jobs, a lot more homes."

Of course, he will get an end user interview, which will be great, and then we'll get a press release going because we hide our wonderful performance way too much. So I've started saying to our engineers, "Hey, it's not enough just to make the water good. You better get some testimonials." So here we go.

Start of presentation

Dan Early: Good afternoon. This is Dan Early coming to you live from Munson Point, located just outside of beautiful Denison, Texas, located in the north Texas region just south of the Oklahoma border.

I'm on site today at our EveraSKID 10K wastewater treatment system. This is a system that Progressive Water Treatment through the Modular Water Systems product line, we were able to deliver this system to this particular residential development.

What is really unique about this particular project is, is that it's a membrane bioreactor type of technology. It is our plug and play system. It is a system that as soon as it's offloaded and as soon as you connect the pipe in and the pipe out and make your power connection, you're immediately ready to water up the unit and to put it into operation treating domestic Wastewater. This particular system has been online now for about 60 days, and the contract operator that's working for the developers is beyond thrilled.

Jimmy Moon He is the TCEQ (Texas Commission on Environmental Quality) licensed operator for this particular facility. And Jimmy was telling me earlier today that he is blown away by the treatment capability that the EveraSKID provides. Jimmy's got 35 years of wastewater operations experience, and Jimmy has seen a lot of different wastewater treatment applications over the course of his illustrious career. Jimmy is very, very, very pleased with the simplicity of the operations.

And the EveraSKID system is fully autonomous. We have our master control panel that is operating and monitoring and self-adjusting the treatment system in real time, and then it has our remote access capability where we and our process engineers and our back office can log in and can operate and track and assist in process operations with Jimmy Moon.

This particular system is a very easy to deploy system. It does not require a lot of heavy excavation, does not require a lot of heavy pipe work. It is a fully self-contained advanced treatment system because it's modular. We can place a second or third or fourth module in parallel to it and we can double, triple and quadruple the treatment capability. The system is capable of treating to a level that is suitable for reuse and reclamation. That would include irrigation, toilet flush, dust control, water features, landscape water features, that may be on a project site.

That is what this project represents. And we are very, very pleased, very excited about our opportunities here at North Texas. North Texas, from basically the Dallas Metroplex, north to the Oklahoma border is undergoing an absolute development boom. Major corporations have relocated into North Texas, and that is absolutely driving the need for water and sewer. The localities, they are unable to keep up with it.

And so a lot of the developers, especially in this neck of the woods, are turning to solutions like this that allow companies like Modular Water Systems and Progressive Water Treatment, allows us to deliver solutions to them that solve their water and sewer needs. That allows them to tap into the contingent future development value that is, with the real estate that is in this, located in this region. So check your maps. Look at where Denison, Texas and Sherman are located, Look at its proximity to Dallas, and just imagine that whole corridor expanding and growing with the influx of development and business and industry that's relocating to this region.

End of presentation

Riggs: Very, very good. So, as I say, we're going to get something from Jimmy Moon. We'll get some press releases going. And we also have plans to do the same thing for that other one that we reported on in Moscow, Pennsylvania. And more to come. We have a bunch of these that are coming off the line, which is, I think, high time. All right. So with that, I'm going to share something that I've been saying in emails and stuff like that and also to press. But I thought you should hear this, too.

What should you do at home for your water? Well, I shared what we did in our house because it seemed to be a good mix of good quality and low cost.

So the first thing we did was we got a whole home ultrafiltration system and it only filters down to 0.02 micron. Now that takes care of things like those plastics, those little tiny plastic particles. Good news about it is zero waste water, reverse osmosis for. So it depends on the system. But you can have up to 5 or 6 gallons of waste water for every gallon that you purify because it basically has this squeezing thing, the zero waste water here. It just filters it through. And the installer came through at the one year anniversary and didn't even have to change the filter. It was in good shape that way.

Here's an example of it. Basically, you have simply an ultrafiltration membrane and membrane life up to five years, so it just sits there and does this job. So that's one important element. The next one is an under-sink reverse osmosis system with an alkaline remineralization filter. Now there's two things. One is you want to remineralize your water, why the takes everything out and you want it to go back to what's called artesian water quality.

Artesian means deep in the ground. And that artesian well water has a lot of minerals and you want that. In addition in we wanted the water to be slightly alkaline, so we actually paid extra for that.

And here's an example just off. This is not something that I recommend. This is one of many, but I'll show you the big tank is the holding tank for the water. And then on the right are the reverse osmosis unit, which is the blue thing, and then some carbon filters. Very simple. And it mineralizes, as I was saying. So you have mineral water, which is great.

And then the next thing is a shower head for showering. Why? Because there's particles that get past that, that 0.02 micron whole home system that the shower head will get.

And here's the one that I use pro and pro max, and it is very good for those tiny contaminants and we have to replace that filter once a year.

So that's what we did and the whole thing should be less than $2,000 installed and you'll want to find a local installer. That way they maintain it. So that gives you the latest and greatest on that.

Now, this is an interesting thing. We've been taught that vaccines are, you know, have saved public health since the beginning of the 19th century, sorry, the beginning of the 20th century. But also before with smallpox, for example. But let's take a look at what's really happened in terms of time wise.

Every one of these the actual diseases were under control long before the vaccine came along. And you can go to learntherisk.org/diseases and find out more. So it seems that sanitation and clean water systems are the key. And why is that? Here's Dr. Marek, who was a conventional medic, and he learned a few things.

Dr. Marek: I was taught that vaccines and vaccination was the most important development, the most important medical intervention ever, that it changed the the natural history of almost every infectious disease. And we taught this blindly. We never given data to prove it. It's just assumed that vaccines are highly effective and very safe and have changed the natural history of all almost all of the infectious diseases. But when you actually look at the truth, you know, it's it's very far from the truth. So if you look at most diseases, measles, mumps, rubella, chicken pox, almost all of these diseases had declined significantly before the introduction of vaccination. And this is because of simple things, as you know, clean water, sanitation, better hygiene. So those interventions had a much greater effect on infectious diseases than vaccination."

Riggs: And to illustrate it, we have in East Palestine, half the CDC team that went in there got sick despite the air and water being quote unquote, safe. And it tells a story about how it was not a long term disease, but what they were getting was very similar to what the people living there are getting: headaches, sore throats, nasal congestion, etcetera. So here's the point.

There's only so much a vaccine can handle. Not toxins, not bad food, not contamination. You can't vaccinate against what's in East Palestine. Our conclusion is Clean Water Comes First™. And we've tended to forget that. That we've really got to focus on the clean water as the first and highest priority. And this is not to say anything good or bad about vaccines. That's not the topic of this briefing. But they're not a cure all. You have to have clean water.

Okay. With that, we have an interview at the New York Stock Exchange. As you know, World Water Day was the 22nd. I played for you last week some of the interviews and speeches. The next day, we went to the New York Stock Exchange, and this is what showed up on Newsmax.

Start of presentation

Jane King: OriginClear is doing some innovative and perhaps transformational things with water. With me is Riggs Eckelberry, the CEO and Ken Berenger the executive vice president. Let's just start, we set it up with water. It was World Water Day recently and you did something significant that day. So can you elaborate on that?

Riggs: Yes. Well, the 22nd yesterday was a big day for the world in water. In fact, a lot of U.N. symposia is happening this week as well. But we organized our own event working with New To The Street where we brought not only Ken and myself, but also our brand ambassador, Estrella Nouri. We spoke to an audience about this amazing trend that's occurring here, which is, as we call it, radical decentralization. What does that mean?

That means that all the, we used to rely on the big central systems, but because there's been underinvestment that's falling apart. And on top of it, we have a boom of deglobalization where companies are coming back to the US, Canada and Mexico. And that's creating a need. Why? Because nobody's going to build giant water plants for these returning factories, which are going to be state of the art and there's going to be state of the art water treatment systems integrated right in them.

Jane King: So basically what we're used to is like, a municipal water, we get our water from. But your company decentralizes that. So businesses, even households, I guess, at some point, right, could have their own water supply? So, explain how you do that. How do you provide that?

Ken: Okay. Well, you you mentioned households. The reason we don't drink our tap water is because 90% of water pollution is coming from the industrial. It's an upstream issue. So the idea is, we talk about an economic boom. The truth is there's 4 or 5 companies that can could manufacture. You know, right now we have an existing deficit of $1 trillion in our water infrastructure. So if the government so chose to write a check for $1 trillion, which they can do, it would take 40 years to replace what's crumbling now. And then, of course, the existing infrastructure would be old.

What we're doing is we're saying, look, this is being, not polluted at the city. The city, you know, the infrastructure happens at the city. So tries to make the water reasonably safe. Where is it being contaminated? It's upstream. It's at the commercial, agricultural and industrial level. So the term that Riggs uses, which I really am starting to fall in love with, is co-locate, right?

Literally treat the water where it's being made dirty. Okay. And also you're easing the burden of the business, right? But they are paying for it. So the idea is the net downstream effect is the folks that are drinking the water, the folks that really, you know, don't trust it are paying less, potentially not even paying anything. Right. And you're still providing this really great cost savings to a business that's going through a tremendous volume.

Riggs: Water to the people.

Jane King: Right. And the decaying current system that we have is leading to some of these problems like we see in Flint with the lead issues and things like that. So this would keep the water pure at its location. Right. And that's the only way.

Riggs: Any time you have an overloaded system, you do one of two things. You can beef up the system, which is not possible, or you can unburden it. So we take the industrial and agricultural aspect away from it. Now it can serve the people which are only 10% of the load. It can easily do that. Now we recently announced that we're doing a crowdfunding for this business Water On Demand.

And you know, right now anyone can invest in this coming asset boom. You know, looking at assets right now that are in freefall, banks are up, banks are down, oil is up, oil's down, No petroleum is... Whatever. Right? This is a brand new asset that's coming into play that has not been manipulated, right? It's coming out of government monopoly. And we are there on one side with technology to downsize from the city into these businesses, number one. And number two, enable cap financing so that these, as Ken calls them, bulge businesses.

Ken: The bulge bucket, yeah.

Riggs: The bulk of the businesses out there, get it without having to pay up front. And the crowdfunding, I will give you the link even, for people to go to.

Jane King: Yeah.

Riggs: www.oc.gold/blue. People go to that they can invest.

Jane King: Yeah. All right. Thank you so much, Ken and Riggs.

Ken: Thanks, Jane.

Riggs: Thank you, Jane.

End of presentation

Freewheeling Discussion

Riggs: So as you know, this same clip goes to Newsmax, of course, Bloomberg and Fox Business. So and there's a lot of placement on social and other things like that as well. So with that, you know, we are keeping it relatively short and sweet today. So I'm going to invite our fabulous panel. Ken and Estrella to join me.

Estrella: Hello.

Riggs: Hey, guys.

Estrella: Hey, guys.

Ken: Hey, That was a really great interview. I love that one.

Riggs: We'd been pitching, you know, the day before a lot, and so I think we were kind of in a groove.

Estrella: Yeah. You know what I loved about the, you got to talk about OriginClear and Water On Demand and really get into the specifics with that interview, which was really awesome.

Riggs: Very good point. It was in-depth and it was carried on mainstream media.

At NYSE

Ken: Oh, yeah, right. It was a genuinely cool experience to walk through the New York Stock Exchange. It's kind of like getting into Fort Knox. I mean, it was, you know.

Estrella: Oh, really was there security?

Ken: Oh, yeah. Oh, yeah. Like way harder than getting on a plane. But that's good, I guess, right?

Estrella: Yeah, that's great. You know you're safe.

Ken: From back in my days we just walked in. You just walked in. It was just, you know. But.

Estrella: Oh, wow.

Riggs: Everybody was shouting.

Ken: And everyone was yelling, right? Yeah. I don't think you could do interviews 20 years ago. 25 years ago, from the floor of this thing. It was just, it was absolutely, you know, it was like a, it was like a rave, you know, it was trying to have a conversation during a rave. But what I liked about this interview was we were able to, Jane is a great interviewer, because she knows.

Estrella: She is.

Ken: What we want to say and she's excellent at kind of teasing it out with just a brilliant, quick question. Right? So I enjoy, I enjoy her for that reason.

Estrella: Um, yeah, it was a great interview.

Call Ken

Riggs: Craig Alan Reaser says, "Did I miss the alpha round with Water On Demand?" No. Well, there's two things. Craig, if you're accredited, you must speak to Ken immediately. And if you're not, you can jump into oc.gold/blue and you will get current private shares. And I wish, I wish I could talk about what's happening with the, with Water On Demand on the big picture. But that picture, big picture is so confidential, I can't even say I can't talk about it. That's how...

Ken: But, you just did.

Riggs: I know. Anyway.

Ken: Oops.

Estrella: But if they sign an NDA.

Riggs: They sign an NDA and they get the data.

Ken: If you sign an NDA, we can, we can speak, we can speak in some interesting, we can provide a lot of context to what's going on. What's happening right now, I, you know, I wake up every morning going, "Wow." Let's put it that way. I just go, "Wow." And Riggs and I at night sometimes, like, if I told you five years ago we'd be standing here, he was like, "No." So it's, we're having fun. I mean, it's a lot of work, but it's a lot of fun.

Ken's World

I will tell you, Riggs, after watching Dan's interview.

Riggs: Yeah.

Ken: I have a 50 acre lot that's just begging for one of those EveraSKIDs.

Riggs: Yeah, You're going to come back to that.

Ken: I'm going to do that. I'm going to pull the trigger on that 50 acres. It's just, interest rates got so high, the debt service got so, you know, ridiculous. And guess what? I talked to realtors in the area. You know what they said to me? Take your time. He's never selling it. He's never going to sell it, because he wants to sell it to a residential builder. They cannot build there.

There's all of these you know, these are all $750,000 homes, groupings, you know, 20, 30, 40 beautiful stuff in Murrysville. Right. And they're all surrounding, you know, hills and stuff like that. You would have to get somebody to agree to dig under their entire development and run a sewer pipe for millions of dollars. Right? That's not going to happen.

Estrella: No.

Ken: One of those EveraSKIDs, I think that's a 10,000 gallon a day, Riggs? So, that would accommodate nearly 100 homes.

Riggs: Right. And he was saying you can parallel gang them up. So that works.

Ken: No, but I'm saying, I mean, that's 100 homes. I mean, the thing I want to do is like 30, 30 homes.

Riggs: Which would be like 5K, for example, sure.

Ken: Right.

Estrella: That's super exciting.

Development Opportunities

Ken: I'll do the ten to leave some room for and I want to put in, you know, the crops in the beginning in the middle and water the crops with a, you know, all that stuff. But no that's um, and it's amazing, Riggs, I think one of the greatest drivers of this revolution will be the rural, exurb, housing development opportunities that will come up. You know, just you look at that corridor now, people don't realize that corridor is, what, 200 miles? Right. It's about 200 miles and 100 miles wide.

I mean, you're talking hundreds of thousands of big, big lots could be developed. So it's, I mean, it's you know, this is the great — we saw inklings of the Great Escape during COVID. You know, people just fled the cities. And what they've done is, they've kind of, they all moved in near me and pissing me off. But so, you know, now I've got to move out a little bit further, but it's just not practical to do that without these, you know, without these residential based solutions.

So, I think not in the, in the very, very near future, Dan's going to start having communications with major home builders. There's a, there's a major luxury home builder named Di Caesar and one called Schuster. And they build the million dollar homes in my area. Um, I thinking of having a conversation with these guys and starting to, of course I want to buy up the land ahead of that. So we'll see what happens.

Estrella: Amazing. Congrats.

Ken: Yes.

Estrella: Yeah, that's a big deal.

Ken: I'll be like Gene Hackman in Superman. I'll buy up all the all the property before they. Never mind.

Annual Report

Riggs: Yeah. Go really fat. Yeah. Totally get it. So bottom line is you're right, we haven't been telling our story enough so that more and more of these reports come out with case studies, with testimonials and so forth. Now, one very important thing, the 15th of April is the annual report is due. That is, you know, what is that looking at? That's Saturday. So, one more CEO briefing and then that Saturday the 15th. Now there's a week grace period. So it may be any time during that week, the week of Monday, the 17th onward. But I believe that we will report really good numbers. I can't say more than that. But it's been really, really, it's been going great. And so, you know, on the fundamentals, this company is rocking.

Ken: Yeah, we're killing it. And I'll be in New York on the 18th and 19th and we'll be doing, we'll be doing more interviewing. And I know someone who lives there now, so you know.

Estrella: Very excited about it. Yeah, yeah, yeah.

Ken: You just wanted to be able to say, "I'm bicoastal."

Estrella: That's...

Ken: I mean, that was really 90% of it was. Yeah, I'm bicoastal, you know?

Estrella: I mean, it's worth it, no?

Ken: Yeah, right.

Riggs: We're excited. We're excited.

Estrella: Thank you.

Riggs: So excellent. Well, anyway, thank you for last week. That, the 22nd. The World Water Day.

Estrella: Yes.

Riggs: Looking forward to much more.

Estrella: Absolutely.

Riggs: Anything we want to bring up? I know it's a little bit short but wanted to give people a break.

The Longterm View

Ken: No, I would simply say this, anybody who is looking at the long picture. Right? The day to day stuff can get, it's innervating, right? I mean, nobody knows that better than me, right? But the day to day stuff is innervating. But the big picture, what we've built and what we are naturally, we are now finally liberating. And that's what I would say. This opportunity is finally being liberated to a place where it can thrive. If I want to, you know, if I want to get a little, you know, ephemeral there. Right.

It's not a very, it's not very Wall Street talk. It's a little bit more new-agey. Right? But the opportunity has finally been, you know, unshackled and um, it, what I think it'll do is I think it'll open up the eyes of like, every land developer in the world will go, "Holy smokes. How do I..." Right. So it'll, it'll start to, it'll start to become very viral. All right. And what'll happen is everything attached to this effort, it'll, you know. You know, a rising tide raises all boats. So for those of you who have supported us all these years saying, so, when is this thing going to you know, when is this thing going to work out? I'm going to say, soon.

Riggs: Happening right now.

Estrella: Yes.

Riggs: The annual report will give you that information because it's happening. At the end there is a zoom survey. Please do the survey. And. All right. Guys, now's your chance to sign off.

Ken: Good night folks.

Riggs: Sayonara.

Estrella: Yes, call him. Bye, guys. See ya.

Riggs: See you Estrella. Happy birthday to you.

Estrella: Yes. Thank you so much. Bye.