Coates International Ltd (OTCMKTS:COTE) is the developer of the Coates Spherical Rotary Valve (CSRV) system technology, which can power industrial generators, or be adapted for use in piston-driven internal combustion engines of varying types, producing only ultra-low levels of harmful emissions.
Prior to this week, COTE was a super-subpenny stock that had a hard time getting out of its own way, but the blockbuster press release that hit wires has driven a rapid move on the chart of more than 1000% and an explosion in volume. In fact, on Wednesday, stock set a new all-time high for number of shares traded, with 620,957,000 changing hands on the day.
The catalyst for the huge boost in activity on Coates International Ltd (OTCMKTS:COTE) stock seems to have stemmed from the announcement of a deal that could provide some serious cash-flow. The company received official notification from Secure Supplies Mexico LLC that the solar system project in Mexico is budgeted for $412,000,000 USD over a three year period. The Company will deliver 40 to 50 CSRV large industrial electric power generators to operate on gaseous hydrogen produced on site.
Company President and CEO, Mr. George J. Coates, comments: “This is only one of the projects that our Company is involved in with Secure Supplies. These projects work in the following way: Secure Supplies set out on the site where hundreds of solar panels are erected producing electric power and producing hydrogen, which is stored in special expansion tanks. When the sun goes down, the Coates CSRV electric power generators fire up operating on the stored hydrogen, which is produced by the sun. These CSRV generators are synchronous and only produce the power required at any given time up to 50 M.W. These are the most “green” projects ever. These projects are many worldwide. Coates CSRV engines are the only engine suitable to operate on gaseous hydrogen continuously. (Source: Globe Newswire)
The company expects the deal to be “a turning point”, which could generate upwards of $40 Million if everything goes according to plan.
On-site electrical power generation using a series of generators can meet all or part of industrial facilities power requirements. Coates’ advanced electrical generation equipment uses patented technology to provide electrical power that is reliable, safe, stable, efficient and environmentally friendly at a fraction of the cost of purchasing electricity from utility companies.
Additionally, with traditional engines, oil changes are recommended every 3,000 to 5,000 miles. On the other hand, with COTE’s CSRV system incorporated in the engine design, oil change intervals are extended to approximately 50,000 miles or more. No engine oil is present in the head of the CSRV Engine, so the oil does not contact the hottest parts of the engine.
COTE is still a highly speculative play at this point, as we mentioned above, the stock is only just now waking up, so we would have to characterize it as very high risk. It is also fair to say that the expected proceeds from the huge deal announced this week will certainly be catching people’s attention as they have caught ours. It’s also no secret that super-subpenny and subpenny stocks have been seeing an unusually high amount of activity recently. Stay up to date on any happenings with COTE by signing up for our free newsletter. Your information will always be kept safe and secure. Just submit your email into the box below and Street Register will take care of the rest!
Disclosure: No one at Street Register has been compensated in any way for the publishing of this article, nor do we hold any position in COTE stock, short or long.