By: Dylan Sikes - AllPennyStocks.com News

Friday, July 19, 2013

There are many companies developing promising technologies as solutions to answer the bell for more environmentally friendly power sources. They run the whole energy gamut, from moss on rooftops to cars powered by vegetable oil. When it comes to engines, traditional combustion has been the standard for a century, albeit with vast improvements across the years. Coates International, Ltd. (OTCBB:COTE) is aiming to make the next significant change in how engines run and what can power them. The New Jersey-based engineering company has 18 patents in the U.S. and more than 100 internationally patents for combustion engines and related technologies.

The company has developed the Coates Spherical Rotary Valve (CSRV) System, what the Company calls “the most positive valving system ever built.” The CSRV system employs technologies that nearly double the breathing capabilities of today’s poppet valve, a key in reducing friction and boosting brake horse power, revolutions per minute and torque. To add a bit more color, pitting a five-liter poppet valve engine head-to-head with a CSRV engine under the same conditions showed the poppet engine would generate maximum RPMs of 5,700. The Spherical Rotary Valve engine in comparison reached 14,850 RPM's.

Coates has also created a new design for wheel bearings, natural gas generators and a hydrogen reactor that is capable of splitting molecules in ordinary tap water to generate Hydroxy gas. The concept of utilizing electrolysis to split water molecules for a hydrogen/oxygen mix has been around for a long time, along with the problems involved with making it happen. In short, the process was known to have much inefficiency related to the large amount of energy used in creating the gas (which in turn is burned to create more gas…kind of a perpetual energy-type problem).

The problem has been overcome recently as engineers have figured out how to generate greater amounts of Hydroxy gas in different, more efficient manners. In the Coates system, which the company announced on Thursday along with a new video of the system in action on their website, the Hydroxy gas is harvested from tap water on demand by the hydrogen splitting reactor. It then powers the company’s CSRV engines. The video shows the application powering a 14 horsepower CSRV engine.

Powered effectively by tap water, the CSRV engine powered by the Hydroxy gas produces zero emissions.

The company noted in Thursday’s statement that conventional engines would likely experience “catastrophic failure in a very short time” utilizing Hydroxy gas due to the fact that hydrogen has no lubricity. Coates noted that they are working on utilizing the technology in more powerful CSRV engines.

Now, only time will tell whether the technology will ever make it to the masses, but it’s another significant development in green technologies. In fact, powering an engine with water is about as green as it gets.

Shares of COTE have struggled to gain any substantial traction as the company looks to exit the developmental stage. Shares have slipped from around 75 cents two years ago to lows of just over one penny last month. A rebound has followed after hitting those lows, with shares climbing back up to around 4 cents.

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