Business man

Publication Date: July 31 2016

Subject Matter: Sustainability & Hot Water - Proven Performance 

Calgary, AB, Canada – CAPEX-WORLD Corp ("CAPEX") announced today that it has empowered one of its Mexican clients (the “Community”) to reduce carbon emissions by almost 99% and 95% in operating cost, to heat up to 7,000,000.00 liters of fresh water annually from 21 to 90 degrees Celsius, with a plan to increase capacity up to 12,000,000.00 liters annually by December 2018 reflecting the same performance, terms and conditions.

This Community will replace every gas boiler system with a static, solar energy system (“Green System”), this Community will save on average approximately MEX $14,822.08 in annual maintenance, repairs and Propane expenses while preventing carbon emissions of up to 1,000 kilos annually per each single system. This Green System only costs MEX $13,500.00 installed which is just 60% more in comparison to the gas boiler system.

With monthly savings of approximately MEX $1,235.17 per each single Green System, a full return on investment will happen after 11 months. The objective is to replace all 128 systems by June 2017 and thereafter to equip the up to 205 new rooms with the Green System for a total annual savings of MEX $3,038,527.08 in this category and prevent up to 205 tones in carbon dioxide annually.

This proven Green System works as follows: long copper collector “bars” that are placed inside resistant and transparent glass pipes, that when exposed to the sun creates heat from the different frequencies of the ultraviolet radiation. Inside these copper pipes, there is an inexpungible liquid that accelerates the exchange of thermal energy from and to the hot and cold water tank in an endless circulation process. The isolated and visually hidden tank is built to accommodate hot and cold water simultaneously. In this tank temperature loss in a cold night should not exceed 3 degrees. This system works with up to 5 atmospheres of pressure and must be installed in a perfect inclination towards the South. It only takes 2.4 hours on a summer day for this tank to heat 150 liters and up to 5 hours on a cloudy day. Because this Community uses purified water that is very low in minerals, the maintenance on this system is almost null. This Green System comes with a 15-year guarantee and is expected to work more than 20 years without wear and tear repairs.

In this region and community, the most common method employed to heat water is the inexpensive-model of the gas-based- boiler which must burn gas 24 hours a day in order to allow the benefit of “on demand hot water” (the “Traditional System”). For a single hotel room with up to 4 people, this system consumes between MEX $600 to MEX $1,000.00 a month in gas and the cost of this Traditional System installed is approximately MEX $4,000.00. Unless gas is provided through a central tank and common distribution system, this method is very expensive to maintain because this system requires a gas replacement tank on average every 3 to 4 weeks, approximately MEX $1,000.00 every 9 months’ in replacement parts to the boiler, trucks and manpower. With an approximate cost of MEX $0.27 to heat one liter of water, this Traditional System is expensive, inefficient, polluting and potentially dangerous i.e. explosions and or fire threats.

This Green System is made in Mexico by a factory that employs more than 150 people, is certified and operating since 1975. This goes perfectly with our core philosophy to assist the domestic community to move towards sustainability and or create new and decent work places in Mexico. For existing and future generations, this Green System significantly reduces carbon emissions and we hope more entrepreneurs, business owners and households will join us and make the same transition to clean energy.

CAPEX’s advisors took a lead role in this endeavor, primarily in identifying and defining the opportunity, researching alternatives, negotiating with providers, presenting to and authorizing the solution with the client. We also performed a feasibility analysis, financial and risk models, incorporating the agreements and implementation plan, obtaining securities for performance and guarantees for the products and or managing other activities that without such would not have allowed this conversion to happen at the speed and efficiency demonstrated herein.

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for and on behalf of
Daniel Portnoy
President & CEO
Calgary, AB Canada