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Bluerise BV team 7
Bluerise BV Delft, NL

Bluerise - Ocean Energy

Sustainable energy and cooling from the ocean.
Invest in Bluerise and create an energy breakthrough!

$749,164 INVESTED
257%
$291,105 1
Required Days left
6.00% 3 years
Interest rate Duration
The concept

UPDATE: Thank you so much! After reaching our goal of €250.000 the day after the public launch, almost 400 investors have helped us reach our second goal of €500.000. To increase our impact and the growth of Bluerise as a company, we have decided to keep our campaign open for overfunding up to €750.000. It will enable us to further grow our team and speed up the preparations for the first two projects in the Caribbean. This will increase the value of Bluerise’s share in these projects and increase the value of your investment.




Summary issue

  • Issuing entity: Bluerise B.V.
  • Type of issuance: Convertible loan
  • Issuance amount: € 250.000
  • Minimal nominal value per participation: € 20
  • Use of funds: Growth
  • Risk profile: High (Click here for more information on Symbid risk profiles)
  • Interest rate: 6,0% (single)
  • Secured: None
  • Repayment: After three years possibility to extend with two more years
  • Possibility for early repayment: Yes
  • Compensation early repayment: 10% compensation for investor when early repayment
  • Conversion: Under certain circumstances you can convert to shares of Bluerise B.V.
  • Symbid costs issuing entity: 7% success fee (Excl. VAT)
  • Symbid costs investor: 1% administration fee (Excl. VAT)

Summary issuing entity

Bluerise has developed cutting edge energy technology to harness the ocean’s power. We are ready for our commercial rollout and with your investment we will start building our first project in the Caribbean!


We all agree that the world needs more sustainable energy and needs to be less addicted to fossil fuels. Solar and wind energy are great alternatives. Now there is a new source of energy: Ocean Thermal Energy. The ocean covers 70% of the planet. It’s our biggest natural solar collector. The surface collects and stores vast amounts of heat from the sun, but at the same time, the deep ocean is very cold. This temperature difference in the ocean is a giant source of sustainable energy, sort of like a big battery.


We are Bluerise and we are going to provide sustainable electricity and cooling where it’s needed most: in the tropics! (watch the video). In this part of the world more than a billion people live close to the coast. And more than half of the expensive and unsustainable electricity is used for air-conditioning.


We started initial technology development in 2012 and we are now ready for the next phase: scaling up our company to build our first projects that will provide sustainably cooling with ice cold water from the deep ocean.


How does it work?

By pumping ice-cold water from 1000 meter depth, we can cool buildings. Think of houses, hotels, data centers, airports, but also greenhouses. This is 10 times more efficient than regular air-conditioning. It saves 90% of the energy used for cooling. This translates into cost savings that can go up to more than 60%.


But there is more.

We will produce electricity using the temperature difference between the surface and the deep ocean. Wind and solar are important sources of sustainable energy, but they are only available when the wind is blowing and when the sun is shining. This means we always need dirty energy backup systems. That will soon be history, because Ocean Thermal Energy is available year-round, day and night.



The past years, we have developed the technology to unlock this ocean potential. We have built and tested demonstration systems together with Delft University of Technology. Our innovation has been recognized by different awards and is ready to be built.


We have set up offices in Delft and in the Caribbean and built a team of passionate people with the right technical expertise and entrepreneurial experience. We are cooperating with governments, we have eager customers and experienced partners ready to start building the first deep Seawater District Cooling project in the Caribbean.


The first project in the Caribbean will save as much energy as 1000 households use. It will be a global showcase and will open-up the market for many more and larger scale projects. Over 100 countries have access to the ocean energy resource, so it will be an important source of energy for the future.


This crowdfunding campaign is your opportunity to join us in this next phase of our company. Show that together we can change the world for the better. Be the Change, Be Cool and join us in this energy breakthrough!

Unique Selling Points

  • Ocean Thermal Energy is a very constant source of sustainable energy, available day-and-night, year-round, and a competitive energy alternative in an enormous market.
  • Bluerise has a technological advantage. We have developed Ocean Thermal Energy Conversion (OTEC) technology to increase technical and economic efficiency. Core elements of our innovations have been filed as i-depot at the Benelux Office for Intellectual Property.
  • Bluerise has a diverse, outstanding and expanding team with entrepreneurial experience.
  • Bluerise has signed agreements for the joint development and operation of the world’s largest combined Seawater District Cooling systems and OTEC power plants in the Caribbean, Latin America and Asia.
  • We are ready to start building and we have established the necessary partnerships for successful execution of our projects. All of our partners have long proven track records in the industry.
  • Bluerise is globally recognized as a technology leader in this emerging industry with fast growth potential. We are regularly invited to renowned conferences to share our insights.

Revenue model

Currently, our main source of revenue comes from providing consultancy services to our customers. We have undertaken multiple paid feasibility studies and resource assessment studies, that are required before the decision to actually start a project can be taken. In Curacao, Jamaica and Sri Lanka these studies have led to the next phase of the project, with Bluerise as co-developer. In this next phase, we will also provide professional services for the projects we are developing in the form of project management and engineering.


Our main source of future income however, will come from our participations in the projects we are developing. As co-founding project developer, the ultimate sale of our participation after commissioning of our projects will yield a high return on investment.


Combined, these revenue streams will not only ensure shareholder value for our investors, but will also provide the short term income to help finance our growth and our technology development roadmap.

Achieved so far

Since our incorporation in 2010, Bluerise has worked on the development of the market with the start of different projects, as well as developing its technology. Some of our achievements are:

Market:

  • Selected as development partner by Curacao Airport and signed a development agreement with Curaçao Airport for the development and construction of a Seawater District Cooling system for the airport area
  • Signed a Joint Venture agreement with partner New Leaf Power for the development and construction of a Seawater District Cooling servicing the Jamaica Montego Bay Freeport Area.

  • Contracted for feasibility studies for development of Ocean Thermal Energy projects in Colombia (San Andres and Barranquilla) and Sri Lanka and a waste heat recovery project in The Netherlands.

Technology:

  • Built and proved Ocean Thermal Energy technology demonstrators in cooperation with TU Delft.

  • We have developed proprietary control system software, which has provided Bluerise with exclusive expertise to optimize system operation.

  • We have developed proprietary resource assessment software, which we use to provide consultancy services to our customers, such as feasibility studies.

  • Bluerise is member of the committee on OTEC (TC114/PT20) for the International Electrotechnical Commission (IEC), providing International Standards and Conformity Assessment for all electrical, electronic and related technologies.

Company:

  • After founding, attracted 4 additional shareholders

  • Established offices in Delft and Aruba

  • Established network of local representatives

  • We have surrounded ourselves with advisors, industry experts and successful entrepreneurs

  • Bluerise is a certified B Corporation: we adopt best practices in sustainability and corporate social responsibility(link). 


Subsidies and recognition:

  • Bluerise has been recognized with renowned international awards and distinctions, including Sustainia 100, Postcode Lottery Green Challenge final, Dubai Utility Cup winner, Duurzame Dinsdag, Kairos 50, Duurzame Jonge 100

  • So far, received about 400 thousand euro government subsidies and grants from The Netherlands and the European Union

  • Bluerise has been accepted into the YES!Delft, Young Transatlantic Innovative Leadership Initiative (YTILI) and EU Climate-KIC programs

Required investment and purpose

The target amount for this crowdfunding campaign is € 250.000.


Your investment will bring us to the next phase in our growth path. We will reinforce our project organizations in Delft and Aruba and make the step to the realization of the first project. We will also send a project engineer to the project location in Jamaica to support our local partner, both with technical and commercial activities. We expect this to take about six months. 


With a successful start of our first project, the market will open up with many new opportunities to commercialize our sustainable cooling and electricity systems.


Investor incentives

Early bird

Investors that make their investments within the first €100.000 funding are rewarded with an additional conversion discount of 5%.


Collectable - €200+

All investors that invest €200 or more will receive a super special collectable: an engraved bottle containing the very first deep seawater to come out of our first deep seawater pipe. You will have an amazing story to tell your grandchildren when you explain how you helped create this energy breakthrough.


Hall of fame  - €10.000+

All investors that invest €10.000 and over will receive a once-in-a-lifetime package. You will be invited to see our technology first hand in the lab of the TU Delft after which you will join us to an exclusive, inspirational investor dinner. And when our first cooling plant is ready, you will receive an exclusive invitation for two persons to the grand opening. We will provide the accommodation, and ask you to take care of the trip. You will have the option to have your name engraved in the entrance hall of the energy plant. And, to top it off, you will be invited to a truly unique adrenaline ocean experience. We hope you are not afraid of depths!


General risks of investing in SME’s

  1. Negative impact through changes in rules and regulations by political decisions 
  2. Changes in macro-economic conditions
  3. Performance of issuing entity is dependent upon functioning of board members
  4. Risk of competitors in markets where issuing entity is active
  5. Tax risks through changes in regulations, new regulations or political decisions 

Company specific risks

Diverse, complex market:

There is a level of uncertainty of what the global energy market and mix will look like in a few years from now. We are confident that a market will be addressable as we have identified multiple revenue streams and overall added value as a result of synergies with other industries, such as agriculture, aquaculture, freshwater production etc.

All stages in our roadmap are designed to test the market and to ensure resiliency and flexibility on our business strategy.


Financial country stability (currency, inflation, country insolvency):

Many investors will perceive the financial stability of our target market quite low. Some countries peg their currency to (e.g.) the US dollar. This could reduce the financial risk of a country. Still, in general, the financial stability risk of the countries that are likely to apply Seawater District Cooling and OTEC is high. This risk can be considerable. It is important to investigate the financial stability early in the process. Some of the financial country risks can be transferred to government via contractual arrangements. Additionally, these risks can be reduced by having part of the debt in the local currency. Inflation risks can be passed on through the sales of energy. Finally, it may be necessary to generate an adequate financial buffer.


Environmental impact:

The environmental risk of Seawater District Cooling systems and OTEC is deemed to be limited. Air pollution, visual nuisance, and wildlife hinderance are expected to be low. The biggest risks are potentially leakages of working fluids in the ocean, and changing local temperatures in the ocean. Therefore, the systems will be designed to be robust and safe, and independent environmental impact assessments will be done to validate this. It is recommendable to execute such an assessment in an early stage to prevent large setbacks in later stages.


Supplier risks:

Many key system components have to be sourced abroad and not all materials are always readily available. This adds considerable risk to our projects. Therefore, it is important to select trusted suppliers that can deliver when required. Local sourcing and stocks of spare parts are ways to reduce the need to take the plant out of operation for a longer period. Suppliers can be kept committed via long-term fixed price contracts, supplier guarantees, and financial supplier (equity) participation. Additionally, it is beneficial to have a backup supplier in case the first supplier can not deliver.


Acceptance:

The positive impact of our projects on nature preservation, energy independence, lower energy prices, local employment, and various other aspects are likely to gain support from local communities. However, it is very important to communicate these benefits, because otherwise opponents could capture the public debate or influence decision makers. A stakeholder analysis and corresponding communication plan help to inform the local community about the project and take primary concerns away. Partnerships and social investments in local initiatives will help to gain a broad support.


Risks while investing through convertible loans

Loss of capital

Lender issues a (subordinated) convertible loan to convert at a later stage to depository receipts to become a shareholder of the company. Lender expects an (exponential) growth of value of the company with the possibility to sell the depository receipts with a capital gain. However, in most situations such capital gains do take more than an additional five years after conversion to be realized. In exchange for the possibility of a high return in case of a scenario of exponential growth of the value of the company, there is a risk the investment will be lost in case the company is not doing well. 


Subordination of loan 

The lender agrees that its claims against the borrower under the convertible loan agreement used on the Symbid platform rank below all other, non-subordinated, claims against the Lender as referred to in Section 3:277.2 Dutch Civil Code (‘BW’).


Please be informed further on our general risk page about the risks as outlined above and find out more on our default reporting before you start investing. 

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Remi Blokker
CEO

Remi is co-founder of Bluerise. Remi also co-founded NoWiresNeeded and Avinity Systems, both successful past ventures. A few years back, he became intrigued by the potential of Ocean Thermal Energy and is now dedicated to making Bluerise a success. He holds a BS Electrical Engineering from Amsterdam Polytechnical (cum Laude) and a Master Degree Business in Energy Systems from TU Delft.

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Berend Jan Kleute
CTO

Berend Jan is co-founder of Bluerise. He holds a BSc in Mechanical Engineering and an MSc in Offshore Engineering from the Delft University of Technology. Through his involvement in various international offshore renewable energy projects in collaboration with industry and universities, he found his passion and works hard to accelerate Ocean Thermal Energy to come to fruition.

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Paul Dinnissen
CIO

Paul has a strong entrepreneurial background in the IT and Internet industry since 1989. He sees similarities between the early Internet market and the market for ocean energy today. In 2011, Paul switched to renewable energy and became partner and CIO in Bluerise. That same year he founded the international OTEC foundation to raise global awareness for Ocean Thermal Energy Conversion (OTEC).

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Diego Acevedo
VP Business Development

Diego is an entrepreneur with a passion for renewable energy. He studied Mechanical Engineering at the University of Florida (magna cum Laude), and worked in Florida and France prior to studying Sustainable Energy Technologies at TU Delft (MSc) and joining Bluerise as partner and VP Business Development. Diego runs our Aruba office and is on the board of the Aruba Chamber of Commerce.

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Joost Kirkenier
VP Engineering

Joost holds an MSc in Mechanical Engineering from TU Delft with a specialization in thermodynamics and energy technology. He also studied in Colorado and at the ETH in Zurich. Combining energy and entrepreneurship he worked on the commercialization of kite power technology after which he joined Bluerise as partner and VP of Engineering.

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Bluerisers

We have built a great team of ambitious Bluerisers, local representatives and students with a great passion for sustainability and who all share our common vision of creating an energy breakthrough using the ocean’s power.

Legal structure

The issuing party is a B.V. incorporated under the laws of the Netherlands in Delft and registered with the chamber of commerce under 50463268  The address of the issuing entity is Molengraaffsingel 12, 2629JD Delft.  The website of the issuing entity is www.bluerise.nl.

Contact person: Remi Blokker, info@bluerise.nl.

The issuing entity has a number of private shareholders.

Human development

We have surrounded us with a team of senior advisers and ambassadors that support us building our company and realizing our ambitious mission. Amongst them are Peter Boerma, ex-CEO of Delta Energy, energy industry veteran; Dimmes Doornhein, seasoned entrepreneur and experienced board member, serving many companies; Fabien Cousteau, aquanaut and lifetime ocean conservative, and most recently Robert-Jan Messemaeckers, seasoned quality- and riskmanager for large projects.

The product

Bluerise develops sustainable energy and cooling systems using the power of the ocean in the tropics. The oceans, being the world’s largest solar collectors and energy storage in one, provide a vast amount of sustainable energy, day and night.


The cooling systems work by pumping ice-cold water from 800-1200 meter depth. This deep seawater can cool buildings, such as houses, hotels, data centers, airports, but also greenhouses. This is ten times more efficient than regular air-conditioning. It saves 90% of the energy used for cooling. This translates into cost savings that can go up to more than 60%.


Our systems to generate power use the temperature difference between the surface and the deep ocean with a principle called “Ocean Thermal Energy Conversion” (OTEC). OTEC can provide a stable, renewable source of power, day and night, without the need for energy storage. Bluerise developed a highly efficient OTEC cycle enabling lower costs per kWh produced.

Unique Selling Points

Product specific USP’s:

  • Sustainable energy and cooling using the power of the ocean is available day-and-night, year-round, and a competitive solution in an enormous market:

    • Stable and reliable: No need for backup or storage, because ocean energy is always available, unlike wind and solar energy.

    • Competitive: cooling cost reduction can go up to more than 60% and we can provide long term cooling and power contracts, eliminating price volatility for the customers.

    • Sustainable: the use of deep seawater is environmentally benign and it’s up to 10 times more efficient cooling than regular air-conditioning, saving 90% of the energy used, and reducing CO2 emissions on a large scale.

  • Other:

    • Compact solution: best option for densely populated areas, like most coastlines, capable for the highest power and cooling load per area

    • Reducing peak power demands for the utility

    • Multiple revenue streams and overall added value as a result of synergies with other industries, such as drinking water, cooling greenhouses for fresh food and other products.

Company specific USP’s:

  • Bluerise has a technological advantage. We have developed OTEC technology to increase technical and economic efficiency. Core elements of our innovations have been filed as i-depot at the Benelux Office for Intellectual Property.

  • Diverse, outstanding and expanding team with broad entrepreneurial experience.

  • Bluerise has created an innovative business model, with revenue streams coming from both professional services and early project participations.

  • Bluerise has signed agreements for the joint development and operation of the world’s largest combined Seawater District Cooling systems and Ocean Thermal Energy Conversion (OTEC) power plants in the Caribbean, Latin America and Asia.

  • Bluerise has established the necessary partnerships for successful execution of our projects. All of our partners have long proven track records in the industry.

  • Bluerise is globally recognized as a technology leader in an early market with fast growth potential and we are regularly invited to renowned conferences to share our insights in this emerging industry.

  • Other advantages of Bluerise:

    • We have local knowledge and talent and offices in our target markets.

    • Located in Delft, we have access to one of the top technical research universities in the World and one of the leaders in Organic Rankine Cycle technology development. Also, we are able to continuously attract engineering top talent from Delft University of Technology to aid in the construction of our technical solutions.

    • As a Dutch company we are fortunate to have the support of the Dutch government in our development and relative easy access to what can be considered our home market: Saba, Statia, Bonaire, Aruba, Curaçao and St Maarten, the Caribbean islands in the Dutch Kingdom.

    • The Netherlands is an international hub for offshore and maritime technologies providing Bluerise with access to renowned expertise, suppliers and contractors.

Revenue model

Currently, our main source of revenue comes from providing consultancy services to our customers. We have undertaken multiple paid feasibility studies and resource assessment studies, that are required before the decision to actually start a project can be taken. In Curacao, Jamaica, Colombia and Sri Lanka these studies have led to the next phase of project development. In this next phase, we also will provide professional services for the projects we are developing in the form of project management and engineering.

Our main source of future income however, will come from our participations in the projects we are developing. As co-founding project developer, the ultimate sale of our participation after commissioning of our projects will yield a high return on investment.

Combined, these revenue streams will not only ensure shareholder value for our investors, but will also provide the short term income to help finance our growth and our technology development roadmap.

The first step in our commercial roadmap consists of the development of commercially attractive and currently bankable projects based on the use of deep seawater for cooling. These cooling focused projects provide perfect synergy with our Ocean Thermal Energy Conversion (OTEC) technology, which uses the same deep seawater infrastructure. This approach allows for expertise and value creation and revenue streams to satisfy our early investors with attractive multiples. This will ensure subsequent forward development to scale the technology. With a successful start of our projects, the market will open up with many new opportunities to commercialize OTEC power plants to a wide market.

Scalability

Bluerise’s business is scalable because we have:

  1. A competitive solution within an enormous market: ocean thermal energy is one of world’s largest renewable energy sources and is available to over 100 countries. It has an important role to play in the future energy mix being one of the very few constant energy sources, available day and night, year-round.
  2. Technology advantage compared to competitors: we have developed advanced OTEC technology to increase technical and economic efficiency.
  3. Additional market opportunities using the same resource: ocean thermal energy will also be used to produce drinking water, cool greenhouses for fresh food and produce other products, providing parallel revenue streams.

Current status

In the past few years, with our small and committed team, we have worked diligently with an efficient budget, positioning ourselves as a leader in the global arena for ocean thermal energy.


We have developed and validated our OTEC power technology enabling lower costs per kWh produced. Core elements of our innovations have been filed at the Benelux Office for Intellectual Property.


We have designed, built and tested our OTEC demonstration system together with Delft University of Technology. Results of the tests performed matched theory properly. It is proof of the working principle of our technology and has provided us with a lot of (hands-on) expertise. We continue the development of the system and crafted a roadmap for the scale-up of our technology in preparation for our first pilot under real world conditions.


Right at the incorporation of Bluerise preparations were made to secure an anchor customer at a viable location for such an initial pilot facility. This customer was found on the island of Curaçao, part of the Kingdom of The Netherlands. This project is now being developed with strong support from our customers and partners. Since, also other projects with different partnerships and locations have been initiated suitable to our strategy. This led to assignments and partnerships in Colombia, Jamaica and Sri Lanka, where we have performed feasibility studies with a positive outcome and have moved on towards project development.


Bluerise has an established brand, international network and a proven track record with both entrepreneurial experience and technological expertise. Every day we work hard on developing technology and turning it into a large commercial success.

Planned developments

Bluerise is nearing a fast growth stage with commercial deep seawater cooling projects ready to start. Execution of these first projects, focused on deep seawater cooling, will help us to accelerate the commercialization of our OTEC power technology.

Target group

Bluerise has identified tropical islands and coastal regions as its early market. Due to their scale, most of these islands and communities depend solely on import of diesel or heavy fuel oil for electricity production. These are amongst the most expensive continuous generation methods, and after coal, produce the largest amount of CO2 per kilowatt-hour. Being dependent on oil based products also subjects these markets to intense volatility in their cost of energy.

Also, most islands have large concentrated demands for energy and cooling along the coast, combined with the relative steep coastlines allowing us to provide an economically attractive alternative. Ocean thermal energy systems require minimal land use and provide a source of constant energy and cooling; the temperature in the tropical ocean varies only slightly. This quality allows for ease of integration into the current electricity infrastructure.

Target customers are utilities, large energy users, governments and project developers in the equatorial region.

Market size

The market size is over 100 countries and territories when considering direct access to the ocean thermal resource. In these countries ocean thermal energy can be an important part of their energy mix.

Without taking into account any replacement of existing capacity, or increase in the electricity share of the energy demand, an average of 37 GW of additional capacity per year would need to be built in the tropics during the next 25 years. This represents investments in excess of 100 billion USD per year, which is especially interesting when taking into account the large concentration of the population near the coasts. Providing this additional capacity with affordable, renewable power plants is a major opportunity. Ocean Thermal Energy is key for energy independence in tropical coastal areas.

The International Energy Agency forecasts a substantial rise in energy demand coming from tropical regions. By 2035, new power generating capacity in tropical regions (without including China) will need to be installed to cover in excess of 7,000 TWh/year.

Competition

Renewable energy is our core activity, and as a consequence our competitive landscape has multiple dimensions. First of all, broadly, there is competition from existing and upcoming fossil resources like LNG. Secondly, there is (perceived) competition from other renewable energy resources such as solar and wind. And third, there is competition with a handful of other OTEC developers.


Fossil fuels will only have a temporary role in the transition phase to a sustainable future. Other renewable energy solutions like solar and wind have the disadvantage of not being available 24 hours per day. These resources alone can only partly cover the electricity demand, even in combination with storage. There is a clear need for a constant renewable energy resource that can can provide this required stability to the electricity grid by generating large-scale power at a constant rate around the clock. The ocean, being our largest natural solar collector and battery in one, can fill this need.


There is a limited number of parties around the world working on OTEC technology, most notably in the US (a.o. Lockheed Martin), France, Japan, Korea and The Netherlands. Having built a good relationship with many of them, we created a setting conducive to collaboration, more than competition.


Our main competitive advantage is our OTEC technology, which increases the technical and economic efficiency of ocean thermal energy systems, making them more efficient than the technology that is currently applied in various installations in Hawaii, Japan and Korea.


Secondly, Bluerise was the first to design a large-scale, commercially viable deep seawater cooling system powered by OTEC and where the output ‘waste’ water is used for activities such as seawater cooled agriculture.


Current customers

Bluerise has provided its professional services to many customers, both public, such as the Colombian and Dutch government, semi-public, such as Curacao Airport Holding, and private, such as Ecopower Lanka and Frisia Zout BV. These established customer relationships, as well as project stakeholder engagement, are key priority to Bluerise. Together we will successfully develop and execute our projects.

Customer feedback

“Energy costs are extremely high in Jamaica, particularly for hotels, where 60 percent of the costs are because of air conditioning. Our deep seawater cooling will slash those costs by at least 25 to 30 percent and provide clean cooling for our hotels in Jamaica. That’s the technology that Bluerise in the Netherlands will be bringing to Jamaica working with New Leaf Power. Hotels in Jamaica will want to support this project because it’s clean, because it’s a source of power that’s untapped in Jamaica and because it’s cheaper than the alternative and in the end, that’s what they want, they want cheaper power, cheaper cooling that’s clean and green. And deep seawater cooling will provide all of this.”

Robert Wright

CEO New Leaf Power (partner of Bluerise in Jamaica)


“The nations of the Caribbean are predominantly of SIDS in which the challenges and disadvantages in their sustainable development quest include limited availability of land based natural resources. The conventional approach to such issues as energy security, food security and water management have yielded very little success because they have failed to sufficiently integrate our maritime resources. Given that the sea and ocean account for more than 90% of the total area of the Caribbean, it is both PRACTICAL and SENSIBLE that efforts to build energy, food and water security, which are becoming increasingly difficult to attain due to the threat of climate change, should focus more on our maritime resources. Fortuitously, deep seawater ocean technologies, such as OTEC and SWAC, provides an opportunity for us to simultaneously address these areas. Consequently, there is urgent need for our governments to mainstream OTEC and SWAC within the sustainable development strategies for the respective islands."

Dr. Devon Gardner

Head, Energy Unit

Caribbean Community (CARICOM) Secretariat


Other relevant feedback:


“FMO sees great potential in the use of cold deep seawater to meet the energy needs of developing nations in the tropics, and is very interested in projects like the Seawater District Cooling project Bluerise is developing in Jamaica."

Clem Bibo

Energy Department Investment Officer

FMO, The Netherlands Development Finance Company


“Together with Bluerise we are integrating seawater cooled greenhouses. We reinforce each other in water, energy and climate expertise and I see major opportunities for sustainable food production."

Meiny Prins,

CEO Priva

Sales pitch

Enjoy clean, sustainable cooling and power from the ocean. Bluerise develops large scale, low-cost, sustainable cooling and power by using the ocean's thermal energy in the tropics. Our products save 90% of the energy consumed for cooling, and provide reliable power year-round, day and night.

What has been done before

We have been contracted for a number of feasibility studies for development of Ocean Thermal Energy projects, amongst others in Curacao, Colombia (San Andres and Barranquilla), Sri Lanka and The Netherlands.

Our sales efforts have led to Bluerise currently co-developing the following two projects:

  1. Curacao based on an development contract secured with the Curaçao International Airport to develop and operate a Deep Seawater District Cooling system, combined with OTEC power generation.
  2. Jamaica where we have signed a Joint Venture agreement with our partner New Leaf Power for the development and construction of the world’s largest Deep Seawater District Cooling servicing the Jamaica Montego Bay Freeport Area.

Marketing & sales channels

We are growing our business network continuously. For us, visiting dedicated conferences, often as speaker and panellist, such as the annual CREF (Caribbean Renewable Energy Forum) or the annual OTEC Symposium, is a good way to meet our potential customers. We are seen as thought leaders in the industry and contribute with opinion articles in many leading publications.

Marketing objective

Through our marketing efforts, connections and network, our project in Curacao has already been profiled and is regarded as one of the top sustainable solutions in the world: http://www.sustainia.me/items/using-the-ocean-to-power-tropical-islands/.

Since last year, world-renowned oceanographer and documentary filmmaker Fabien Cousteau became ambassador of Bluerise and our Curacao project. He helps to bring together different stakeholders and educates them about the need for a sustainable use of the ocean.

Partnerships

We address an international market in a competitive market segment. It is therefore crucial to establish long-lasting partnerships with local partners. Over the past few years Bluerise has developed this network of relationships and partnerships necessary to start and execute our projects. Some of the key partnerships for the start of our roadmap are:

  • Curaçao Airport Holding (CAH)

CAH is a government-owned limited liability company that owns the International Airport properties and surrounding terrains. CAH is Bluerise’s anchor customer with whom Bluerise has a development agreement.

  • New Leaf Power

NLP is a full service energy solutions company serving Jamaica and the Caribbean. Bluerise and NLP jointly set-up the Seawater District Cooling consortium for our project in Montego Bay, Jamaica. As part of this consortium, NLP will provide services for client acquisition, financing, and regulatory and environmental permitting, amongst others.

  • Ecopower Lanka Engineering Services

Ecopower is one of the leading solar energy providers and system integrators in Sri Lanka. Bluerise and Ecopower have established a cooperation to develop the OTEC resource in Sri Lanka.


Partnerships with research institutes worldwide:

  • Delft University of Technology

TU Delft is ranked as one of the top technical research universities in the World and one of the leaders in Organic Rankine Cycle technology development. Bluerise has its beginnings at the TU Delft, the TU Delft serves as host and validator of our research activities. Bluerise provides paid consulting services to the Ocean Energy Platform of TU Delft.

  • Universidad Nacional de Colombia (UNAL)

UNAL is the largest university of Colombia with an established Oceanography and Coastal Engineering research group. Bluerise formally partnered with the UNAL in 2012. Through this

cooperation we have been able to fund the feasibility study of projects in Colombia and we have

an ongoing roadmap for development of OTEC technology in the country.

  • University of Curaçao (UoC)

Bluerise has close contact and continuing conversations with University of Curaçao, including the exchange of knowledge and technology. A Memorandum of Understanding (MoU) with the University of Curaçao is being drafted. UoC has a UNESCO chair in sustainable water management and is repositioning themselves as a ‘Blue’ university.

  • Saga University

Earlier this year Bluerise has signed a Memorandum of Understanding (MoU) with Saga University, Delft University of Technology, and Xenesys in which they have agreed to increase cooperation in OTEC development. Saga University has a renowned position in the OTEC research with an existing demonstration plant in operation in Kumejima, Japan, since 2013.

  • UTM Malaysia

Bluerise cooperates with Universiti Teknologi Malaysia (UTM) in researching the feasibility of OTEC in its coastal waters and in neighboring regions, such as Indonesia. UTM has created an Ocean Thermal Energy Centre for the promotion of OTEC as a new industry to Malaysia.


Technology and construction partners:

  • A Hak

A.Hak is an established industrial services provider with decades of experience in pioneering infrastructure installations. We have partnered with A.Hak to aid in the construction of our project in Curacao.

  • James Fisher and Sons plc

James Fisher and Sons plc provide turnkey offshore works - from concept to completion - and have the necessary expertise and experience to successfully complete offshore projects in very challenging environments.

  • Greenvis

Greenvis is a leader in the engineering and design of district energy services. We have partnered with them in the development of the Seawater District Cooling system in Curacao.

  • Priva

Priva is the market leader in climate control and information systems for the Horticulture. Priva is our partner in the development of a viable industry stemming from alternate use of deep seawater in tropical greenhouses.

Turnover so far

From our inception, we have generated a turnover of €664.000. For 2017 we expect a turnover of €146.000, actual turnover for the current year per 1/9/2017 is €124.070, with a €1.612 short term liability to trade creditors. 

Projected turnover

Turnover projections for the coming years are:

  • 2018: €1,0 million
  • 2019: €2,8 million
  • 2020: €5,6 million
  • 2021: €10,1 million

Assumptions

In our financial model the main assumptions are related to the projects we are involved with: the number of projects and the development pace. Per project, we model the various phases, being pre-development, development, construction and commissioning. We have estimates for the investments required, the schedule and the expected percentage of our participations.

Invested so far

So far, about €2.5M has been invested in Bluerise, through share capital, loans by shareholders and in-kind shareholder contributions (off balance sheet).

Loans

Bluerise shareholders have provided subordinated loans with a 7 year term at 5%, in total €152.212. The first term will expire 31/12/2018 with a €34.106 repayment.

Bluerise shareholders have provided convertible loans in 2016 and 2017 with a 3 year term at 5%, in total €159.738.

Investment requirement

The target amount for this crowdfunding campaign is € 250.000. This investment will bring us to the next step in our growth path.

For 2018 we plan to do a financing round of €2.75 million. Currently, we are engaged with a number of investors for this round.

Purpose of investment

Your investment will bring us to the next phase in our growth path. We will reinforce our project organizations in Delft and Aruba and make the final step to the realization of the first project. We will also send a project engineer to Jamaica to support our local project partner, both with technical and commercial activities. We expect this to take about six months.

Return

There are a number of scenarios in which exits are possible or necessary. These scenarios are derived from our financial model, using Monte Carlo simulation to show many possible outcomes by varying the underlying assumptions.

High-performance scenario:

Bluerise is growing fast. The projects are progressively developed and the technology works well. New, even bigger markets are being launched and the systems are scaled up to 20-100 Megawatt.

In order to facilitate further growth:

a) Bluerise goes to the stock market

b) A number of large private investors take a large majority stake in Bluerise

c) Bluerise is taken over by a major strategic offshore party

If Bluerise grows into a company with projects over 200 Megawatt installed assets, a value of over 1 billion euros is not unthinkable. Depending on dilution after the next round of investment and the valuation at the next round, a return of 10x is not imaginary.

Average return scenario:

The business model works, but growth is difficult and projects have a longer lead time than expected. Due to the delayed return on projects, it may be necessary to attract additional capital to cover current costs. Issuance of new shares will result in dilution of existing shareholders.

The scenarios described above are still possible, but the yield is accordingly lower. Therefore, the return will strike at 2 or 3x the inlay.

Low-yield scenario:

Bluerise runs into unexpected problems rolling out her projects. Despite the high energy savings potential and cost advantage, it appears difficult to attract funding or run projects against technical or organizational problems, or find it difficult to contract customers. In that case, Bluerise will sell its developed technology in the field of cooling and electricity production to an industry leader and then abolish itself. This allows all loans to be paid off.

In none of the above scenarios, the investor may derive any rights.

Risks

Diverse, complex market:

There is a level of uncertainty of what the global energy market and mix will look like in a few years from now. We are confident that a market will be addressable as we have identified multiple revenue streams and overall added value as a result of synergies with other industries, such as agriculture, aquaculture, freshwater production etc.

All stages in our roadmap are designed to test the market and to ensure resiliency and flexibility on our business strategy.


Financial country stability (currency, inflation, country insolvency):

Many investors will perceive the financial stability of our target market quite low. Some countries peg their currency to (e.g.) the US dollar. This could reduce the financial risk of a country. Still, in general, the financial stability risk of the countries that are likely to apply Seawater District Cooling and OTEC is high. This risk can be considerable. It is important to investigate the financial stability early in the process. Some of the financial country risks can be transferred to government via contractual arrangements. Additionally, these risks can be reduced by having part of the debt in the local currency. Inflation risks can be passed on through the sales of energy. Finally, it may be necessary to generate an adequate financial buffer.


Environmental impact:

The environmental risk of Seawater District Cooling systems and OTEC is deemed to be limited. Air pollution, visual nuisance, and wildlife hinderance are expected to be low. The biggest risks are potentially leakages of working fluids in the ocean, and changing local temperatures in the ocean. Therefore, the systems will be designed to be robust and safe, and independent environmental impact assessments will be done to validate this. It is recommendable to execute such an assessment in an early stage to prevent large setbacks in later stages.


Supplier risks:

Many key system components have to be sourced abroad and not all materials are always readily available. This adds considerable risk to our projects. Therefore, it is important to select trusted suppliers that can deliver when required. Local sourcing and stocks of spare parts are ways to reduce the need to take the plant out of operation for a longer period. Suppliers can be kept committed via long-term fixed price contracts, supplier guarantees, and financial supplier (equity) participation. Additionally, it is beneficial to have a backup supplier in case the first supplier can not deliver.


Acceptance:

The positive impact of our projects on nature preservation, energy independence, lower energy prices, local employment, and various other aspects are likely to gain support from local communities. However, it is very important to communicate these benefits, because otherwise opponents could capture the public debate or influence decision makers. A stakeholder analysis and corresponding communication plan help to inform the local community about the project and take primary concerns away. Partnerships and social investments in local initiatives will help to gain a broad support.


Declaration issuing entity

No significant changes

Since the most recently published compilation report of the issuing entity, no significant negative changes have occurred in the issuing entity’s prospects.


Trends

There is no information about known trends, uncertainties, requirements, obligations or events that can reasonably be assumed to have indispensable consequences for the prospects of the issuing entity, for the current financial year.


No significant alteration in the financial or trading position

Since the most recently published and audited Financial Statements of the issuing entity, there  has been no alteration of tenor in the financial or trading position of the issuing entity and the group to which the issuing entity belongs.


Corporate Governance Code

As the Dutch Corporate Governance Code only applies to companies with registered offices in the Netherlands, whose shares or certificates of shares are admitted to the official listing of a government-approved regulated market (securities exchange), the issuing entity (unlisted) does not apply this code.


Potential conflicting interests

There are no (potential) conflicts of interests between the obligations of the executive board members of the issuing entity on the one hand, and their own interests and / or other obligations on the other.


Procedures

There are no government interventions, court cases, or arbitrations, including such procedures that are pending or may be initiated, to the best of knowledge of the issuing entity, over a period of at least the previous 12 months that may have a significant impact, or have recently had, on the the financial position or profitability of the issuing entity or the group to which the issuer belongs.


Figures

All figures in this information memorandum are not audited, unless explicitly stated otherwise.


Symbid and the platform

Some Background Information on Symbid

Symbid's operations largely consist of the acceptance and disclosure of orders for retail, wealthy, and professional investors. Through its activities, Symbid supports the interaction between affected investors and progressive start-ups and growing companies in the SME in the Netherlands. This involves the financing of various types of projects that realize a positive impact the society with the help of an affected group of investors or ambassadors. Our platform provides a non-personalized, online recommendation to a broad audience, by allowing organizations to profile their project in a transparent and financially sound manner, and to professionally build and maintain the relationship with its financiers / investors.


Other parties involved during the issuance

Structure

During the issuance, the following legal entities play an important role:

  • Bluerise B.V. (the issuing entity);
  • Symbid Crowdfunding, a trade name of Symbid Coöperatie UA., a cooperative association with limited liability, registered in Rotterdam, office at Marconistraat 16, Rotterdam, and registered in the commercial register of the Chamber of Commerce under number 52466825;
  • Stichting Symbid Loan Administration, a foundation, registered in Rotterdam, office at Marconistraat 16, Rotterdam, and registered in the commercial register of the Chamber of Commerce under number 64667448;

The foundation plays a role in managing the interests of the lenders in case of disasters, such as, if applicable, payment issues, securing collateral and supervising the handling of cash flows between borrowers and lenders.