Presentation on theme: "LaserSense, Inc. Mission Vision"— Presentation transcript:
1LaserSense, Inc. Mission Vision LSI desires to be the exclusive global provider of a unique, proprietary capability that will be used to optimize the productivity of well drilling equipment by providing more accurate and complete information regarding the performance of drill heads used in shale gas operationsJOHN M. ZARROLICO-FOUNDER230 NORTH MONROE STREETMEDIA, PAPhone: (240)MissionThe mission of LaserSense is to provide well drilling companies with an advanced, state-of-the-art system, based on accurate measurement of acoustic emissions (AE), for monitoring wear of the drill head while also providing real-time data regarding drill head effectiveness and rock formation composition
2IntroductionProblem: Drilling rigs need to operate as efficiently as possible:They are in short supply in some placesDrill head wear reduces efficiency of drill rig operation,Changing / Replacing the drill head is expensive and time-consumingAlso…Problem: Variations in underground rock formations affect drill rig performanceIs the underground formation changing? How is this affecting drill head performance and wear?Can we improve how we map underground fractures?Currently, well drilling rigs use a variety of sensor systems (ie pressure, torque) to monitor the drilling process
3How Can Well Drillers Optimize the Drilling Process? The Problem:How Can Well Drillers Optimize the Drilling Process?Can Acoustic Emissions (AE) help to optimize the drilling process?In 1999, Xiaoqing Sun, in a paper titled “A study of acoustic emission in drilling applications”, presented at the The 37th U.S. Symposium on Rock Mechanics, asserted that AE features can be “… used to identify drilling situations such as the extent of bit wear, impending bit failure (damaged bearings) or formation changes.”
4How Can Well Drillers Optimize the Drilling Process? The Problem:How Can Well Drillers Optimize the Drilling Process?Is AE a viable method for monitoring the drilling process?As far back as 1992, in a paper titled “Acoustic – Emission Monitoring During Hydraulic Fracturing”, Lisa Stewart & B.R. Cassell asserted that “Acoustic emissions have been used with varying degrees of success to map hydraulic fractures in sedimentary formations.”But they also stressed that “the high attenuation of seismic waves in sedimentary rock imposes limitations in the instrumentation and acquisition configurations that can listen to fractures.”What does this mean?AE can be a powerful tool for providing real-time information regarding drill head wear and performance but current AE tools and techniques lack the capability and robustness to be successful in this application.
5RLI can be tailored to measure AE, for a wide variety of applications A Solution: RLI (Robust Laser Interferometer) for Measuring AERLI Will Enable AE to Become a Powerful New Tool for Monitoring the Drilling ProcessWhat is RLI?An advanced, proprietary device, based on laser interferometry, that can be tailored to serve as a condition-monitoring (CM) or non-destructive testing (NDT) tool in a wide variety of applicationsWhat does it do?RLI measures vibration and acoustic emissions (AE)How is it different?RLI relies on light whereas all competitive systems rely on electro-mechanical sensorsRLI can be tailored to measure AE, for a wide variety of applications
6Piezoelectric Accelerometer Technical Overview: What Are Conventional Methods for AE? (They are based on electro-mechanical sensors)Mass AccelerometerA mass is suspended in an electromagnetic field and generates a current when the surface it is attached to vibrates (accelerations are associated with movement )Strain GaugeSmall, electrical elements applied to surface of machines or structures - shortening or lengthening generates changes in resistance of a circuit that is associated with stressPiezoelectric AccelerometerSimilar to mass accelerometer but material itself, rather than electromagnetic coil generates the electrical signalAll have limited measurement capability, tend to be costly to install, lack sensitivity in “noisy”, real-world settings
7What is “Acoustic Emissions” (AE)? Technical Overview:What is “Acoustic Emissions” (AE)?AE refers to the generation of transient elastic waves produced by a sudden redistribution of stress in a material. These stresses can be generated by mechanical loading, including the type of events that a drill head experiences as it cuts through rock formations deep underground.What causes AE?AE starts with stress. There are several different types of mechanical stress:Tensile, compressive, bending, shear, torsionWhy does this matter to us?In response to this stress, the material changes in shape. This change in shape can be elastic (not permanent) or plastic (permanent). We are more concerned with plastic deformation, especially when it is caused by crack development, fracturing etc. This cracking or fracturing process (whether it is the drill bit itself or the surrounding rock that is fracturing) is what we attempt to measure.
8RLI enables AE to be applied in “noisy”, real-world settings A Solution: Why is RLI Better for Measuring AE (Compared to Current Conventional Methods)?Superior PerformanceBandwidth: 0 Hz to 524,000 HzDynamic Range: 180+ dBImproved “sensitivity”, better resolutionLower CostNon-Contact version available - no need to mount accelerometersMinimal installation & calibration of sensors; quick set-up; simple, user-friendly interfaceSubstantially reduced need for ‘a priori’ informationHigher Resolution MeasurementsMore accurate failure predictionFewer “false alarms” (false alarms take equipment out of service when its not necessary)Broader scope of conditions detectedRLI enables AE to be applied in “noisy”, real-world settings
9$25,000 Shale Gas funds would be used for Steps #1 and #2 above Commercialization Plan Summary(Completed Over 18 months)Demonstrate Feasibility of RLI for Use in Well Drilling ApplicationsComplete Signal Analysis and Modeling of Drilling Process in Laboratory and Field SettingsComplete System PrototypeRefine “Marketing & Sales Plan”Complete Manufacturing PlanLaunch the New System for Well Drilling ApplicationsImplement the LaserSense “Marketing & Sales Plan” for Well Drilling Applications$25,000 Shale Gas funds would be used for Steps #1 and #2 above
10Manufacturing & Assembly Current System - 4th generation:The combination of mechanical and electronic components is proprietary - several specific components are proprietarySystem software is unique and proprietaryCurrently assembled in NC; R&D in MD, WV and FLPlanning enhanced assembly operations in PA by early 2014Cost reduction in acquisition of parts & streamlined assemblyTo be led by an experienced Executive with 25+ years high level manufacturing experienceFuture Systems - 5th Generation, 6th Generation etc:Rapid incorporation of system enhancements and options by mid 2014At least 60% smaller, lighter than 4th Generation systemHand-held point-and-shoot capabilitySpecial purpose “front-ends”, processing capabilities for specific applicationsRLI can be tailored for many different applications and configurations
11Management Team Joseph Karpov: VP, Manufacturing & Engineering Previously served as VP - Manufacturing, for a manufacturer of sensorsJoe will spearhead preparation and implementation of LSI Manufacturing Plan, from his office in State College, PA.B.S., Mineral Economics, Penn State UniversityJeremy Leahman: Consultant / Board of AdvisorsExtensive high level management & field technical experience related to industrial & predictive maintenance and well drilling lubricantsMBA, Darden School of Business, University of VirginiaBruce Lewis: CEOExtensive small business start-up experienceExtensive sales and marketing experience related to industrial lubrication, predictive maintenance, non-destructive testing (NDT)Manages day-to-day business of LaserSenseJohn Zarroli: Director, Business Development / Co-FounderExtensive small business start-up, sales & field technical experience, related to predictive maintenance, NDT & Reliability-Centered MaintenanceB.S., Industrial & Management Systems Engineering, Penn State UniversityNon-Contact is a key driver of benefit
12Financial Projections: Shale Gas / Well Drilling Revenue & Profit $200,000$850,000$2,000,000$4,500,000Expenses$240,000$1,050,000$1,700,000$3,200,000Net($40,000)($200,000)$300,000$1,300,000
13Funding Plan Capital Raised To-Date: $350,310 total Debt: $298,310 Convertible Debt: $272,718Equity: $52,000Capital Sought - Round 1: $750,000 by 4th qtr., 2013Business Development (Internet, Trade Shows & Conferences, Sales & Marketing Training & Expenses, Market Research & Analysis)Strengthen IP protection strategyUse of Funds from Shale Gas Contest: $25,000Validate RLI as an effective tool for monitoring drilling process:University laboratory trials (6 months): $17,000Field trials (2 months): $3,000Advanced Acoustic Emissions Consultant (2 months): $5,000Non-Contact is a key driver of benefit