Rotary engine TurboMotor for general application

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1 Rotary engine TurboMotor for general application Conference name April 06, 2010 Kiev Eugene DRACHKO R&D Company Tech Resource-Motors Kiev

2 Problem Description & Market Need The time is an irreplaceable human resource. We lose time, being in a transport. Safe and fast transport is our dream and aim. We offer the TurboMotor-engine for a modern transport and general application. Our «TurboMotor (TM)» combines positive qualities of the known types of engines and does not have their specific disadvantages. A transport industry is basis of economy of the developed countries and it is a greatest market in the world. Engines are base components of transport. This market is estimated by thousands of milliards of dollars (by trillions).

3 Optimum engine is «TurboMotor» as a synthesis of the best qualities of pistons, rotary & gas-turbines PRINCIPLE: A new type of rotary engine has discrete strokes of working process but fuel burning is steady The surplus pressure and high temperature gas is permanently in combustion chambers PCT-publication WO/2009/072994; UA-patent The main TurboMotor properties is: 1. Multi-fuel (petrol, diesel fuel, airkerosene) 2. Reliability (robust construction, there is not detonation, guarantee of spontaneous combustion) 3. Economical (small consumption, minimum internal friction) 4. Powerful and light (specific power is like GTE) 5. Eco-safe (a small temperature of burning peak, a time of fuel burning is longer) 6. Cheap (TM is 2-3 times cheaper compare to piston engine) 7. Many other advantages. Unique TM property is possibility to have a compact build-in reducing gear for the increasing of torque or turnovers, and also possibility to have 2 output shafts which have a different turnovers.

4 Stage of development is making demo-prototype with 200 h.p. power Kinematics of TurboMotor Covering of TurboMotor TurboMotor appearance Rotary assembling

5 Power-plants comparison of hybrid s heavy-duty tracks which have weight up to 50 tones with engine 200 kwt Diesel 200 kwt «TurboMotor» ТМ-200 kwt Generator 6000 rpm Generator 2000 rpm Scale: 1 meter «TurboMotor» Generator Parameter Diesel Generator Revolves (rpm) Weight (kg) х х 420 Dimentions(L, H, Ǿ, mm) 1000 х х 520

6 TurboMotor is base component of power-plants for different applications Stationary power-plants (without transmission) Light transport (without power electronics & air-condition) TurboMotor Heavy-duty transport

7 COMMERSIAL VALUE OF DIFFERENT ENGINES (aircraft engines) Piston engine Rotarypiston engine TurboMotor Gas-turbine engine Working principle Appearance 1 h.p. price 1 h.p. cost $100 $150 $400 price $85 $120 $40 Rate of profit ~15% ~20% ~1000% $500 $425 ~15%

8 TurboMotor-business and aviation Business aviation market ( $111 bln) very need for engines which has specifications like ТМ. There is market price 1 h.p. PE is $100 and 1 h.p. gas-turbine engine is $500. So PE price with power 300 h.p. will be $ and gas-turbine engine price will be $ For example, Rolls-Royce a new GTE RR300 has price $ The costs of serial producing TM (with the same power) is no more $ The annual profit (200 working days) if producing is 10 ТМ per a day with price $400 per 1 h.p. (the price 1 ТМ with power 300 h.p. is $400 * 300 = $ for 1 ТМ) will be: $ *200*10 - $10 000*200*10= $220 mil «ТМ-300» per year is no many, but it is necessary ТurboМotors with power 100, 200, 500, 700, 1000 h.p. We believe monthly incoming will be more than $17 mil.

9 Opportunities We seeking for Partner & $4.25 mil investments for creating enterprise for producing minimum 10 items of TurboMotors (300 h.p. and more) per 1 day. We sure the incoming of such enterprise will be more than $3 mil. per week (more 200 mil. per year). License selling may be additional and even a main incoming of TurboMotor-project. The validity of investment solution (V) in a quantitative sense is: risks * Σ (-investments + profit ). We have 5 project periods in half year and corresponding risks, investments and project profit : V = 0.5*(-$0.25) + 0.3*(-$1.0) *(-$3.0) + (1-0.1)*$ (1-0.1)*$200/2 = = - $ $0.3 - $ $ $90 = - $ $ = $ Total investments is $4.25 mln $ mln $10 Risk 1.0 $ Working prototypes 2-3 items of TurboMotor (200 hp) $0.25 mln Small series 5-7 items of TurboMotor (200 hp) $1.0 mln Project incoming Project profit Series goods 10 items of TurboMotor per 1 day $3.0 mln Enterprise incoming estimate more than $17 mln per month (It is about $200 mln per year) Years Break even point $3 Investment risk is $0.875 mln per 1.5 year. Project profit is $ mln per 2.5 year The RATIO of Profit to Investment Risk is 107

10 Eugene Drachko project chief TurboMotor-Project Team

11 Detonation Cycle Gas Turbine Engine (DCGT) of Turbine Truck Engines, Inc. (TTEG.OB), USA, Is Competitor to TurboMotor The DCGT operation principle is similar to TM-principle it is periodical pumping air-fuel mixture to combustion chamber. But TurboMotor is robust, 3 times smaller and lighter than DCGT. DCGT- there are same pots in sides + Disadvantages of DCGT 1. Combustion chamber is open during explosion. This decrease effectiveness. 2. The separate construction of turbine & compressor + long pipes decrease mass-dimension DCGT behavior. 3. The DCGT weight is more 4 times. 4. The DCGT has no inbuilt reducer for concordance turbine power with loading.

12 Example of market requirement and international collaborating at rotary engine affair (news release): Strategic Alliance Between Turbine Truck Engines and AMEC Gains Momentum In January 2009, Turbine Truck Engines, Inc. and China's Aerospace Machinery and Electric Equipment Co. Ltd. (AMEC) entered into a strategic alliance, agreeing to collaborate on the engineering and technical development of the patented Detonation Cycle Gas Turbine Engine (DCGT). AMEC intends to develop 150 and 400 horsepower versions of the DCGT. Once developed, the engine will be manufactured in Aerospace Mitsubishi's state-of-the-art engine assembly plant. The plant is already producing engines annually, and is expected to reach 15 million units annually when the facility is complete.

13 Strategic Alliance Between Turbine Truck Engines and AMEC Gains Momentum AMEC to Utilize the Resources of Shenyang Aerospace Mitsubishi Motors Engine Manufacturing Co., Ltd. in Strategic Alliance With Turbine Truck Engines, Inc. DELAND, FL--(Marketwire - August 24, 2009) - Turbine Truck Engines, Inc. ("TTE") (OTCBB: TTEG) -- In January 2009, Turbine Truck Engines, Inc. and China's Aerospace Machinery and Electric Equipment Co. Ltd. (AMEC) entered into a strategic alliance, agreeing to collaborate on the engineering and technical development of the patented Detonation Cycle Gas Turbine Engine (DCGT). TTE also granted AMEC the exclusive license to commercialize the engine in China's automotive and busing markets when the design process is completed. TTE has learned that AMEC will have full access to the resources of Shenyang Aerospace Mitsubishi Motors Engine Manufacturing Co., Ltd. (Aerospace Mitsubishi) in the engineering and development process. Aerospace Mitsubishi is a joint venture (JV) between five companies from China, Japan, and Malaysia. AMEC's sister corporation, China Aerospace Automotive Industry Group (Aerospace Automotive), has a 30% stake in the JV, and Aerospace Automotive will be the channel through which AMEC will access Aerospace Mitsubishi resources. AMEC intends to develop 150 and 400 horsepower versions of the DCGT. Once developed, the engine will be manufactured in Aerospace Mitsubishi's state-of-the-art engine assembly plant. The plant is already producing engines annually, and is expected to reach 15 million units annually when the facility is complete. AMEC and Aerospace Automotive are wholly owned subsidiaries of China Aerospace Science and Industry Corp (CASIC). CASIC ( is one of the largest state owned enterprises in China and employs more than 100,000 people, over 40% of which are technical and engineering personnel. CASIC is comprised of seven research institutions, two manufacturing bases, and several production enterprises. Of the 150 CASIC subsidiaries, six are publicly traded companies on the Hong Kong and China Exchanges. The corporation is responsible for the development of China's space program and is considered the most technically advanced enterprise in China.

14 Contact information: Eugene Drachko, tel.: R&D Company TechResources-Motors, Kiev

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