- QS Energy (OTCQB:QSEP) secures a $25 million order for its Applied Oil Technology in Southeast Asia and Africa.
- Potential contract expansion could reach 400 units, valued at $2 billion.
- Structured payment terms of 50/25/25 slated to begin in Q3-Q4 2025.
QS Energy, Inc. (OTCQB:QSEP), a leader in crude oil transport technology, has announced a significant breakthrough in its commercial endeavors with the receipt of an initial $25 million order for its Applied Oil Technology (AOT) systems. This order encompasses five AOT units and marks the onset of a much larger deployment framework, potentially expanding to 400 units with a total contract value of $2 billion. This advancement is poised to significantly enhance crude transport efficiency and sustainability across Southeast Asia and Africa.
The AOT technology is uniquely designed to reduce the viscosity of crude oil by over 10% using electric fields, thereby improving transport efficiency and reducing energy costs. QS Energy has structured a 50/25/25 payment schedule for this contract, ensuring a robust cash flow starting from the third to fourth quarters of 2025. The systems will be manufactured in the United States in collaboration with established partners, including Industrial Screen and Maintenance, Precision Urethane, ReadyFlo, and Forward-MFG.
Partnering with VIPS Petroleum, QS Energy has solidified its role as an exclusive regional distributor for these innovative systems. This government-backed program not only underscores the commercial viability of AOT technology but also positions QS Energy for substantial global expansion into other markets. Additionally, QS Energy will garner revenue from improved oil flow performance as a result of the AOT deployment.
Underpinned by extensive field trials and testing, this deployment program signifies a new frontier in crude transport. Through this initiative, Southeast Asia and Africa are set to emerge as leaders in modern crude transport, with this model driving further expansion discussions with regions such as Australia and the Middle East.