Within the project duration of 6 months, four main activities were conducted: (1) process screening, (2) partner acquisition, (3) elaborating a feasibility study and (4) business model development.
The main activity in task 1 was to screen relevant industrial processes based on literature and web research to identify promising industry sectors for a Heatrix application. Several processes within the bricks, aluminium, cement and lime industry could be determined as suitable first applications due to favourable process parameters and requirements. Those processes include shaft furnaces within lime production, tunnel ovens within brick manufacturing or drying plants within cement production.
Based on the results of task 1, talks with promising industrial partners were initiated by taking part on relevant events such as “VINCI Startup Speed Dating”, “Husum Wind”, “Härterei Kongress” or “Lausitzer Fachkonferenz”. Insights from those events were invaluable while establishing meaningful connections and boosting Heatrix's visibility in the industrial heat space. Moreover, leveraging the connections forged at previous events, up to 10 Letters of Intent (LOI) from prospective customers could be secured, expressing keen interest in collaborating on and executing pilot projects.
The feasibility study was conducted in close collaboration with an industrial partner from the cement industry. Thorough discussions on requirements and boundary conditions took place, and the requisite data was exchanged. As the economic feasibility of the use case was an imperative consideration for the industrial partner in determining the viability of Heatrix system an existing in-house cost model was enhanced and refined focusing on estimating the Levelized Cost of Heat (LCOH) generated by the Heatrix system. The results showed that in the current energy cost scenario, the Heatrix system is not yet economically comparable to natural gas. However, a prospective decline in electricity costs is expected. Considering this outlook, the LCOH could be lower than the fuel price, already with a 20% reduction in the current mean electricity price. A noteworthy energy cost savings of 34% can be achieved with a payback period of three years, assuming a 40% reduction in current mean electricity prices.
Supported by an experienced EU-coach Heatrix's business model and go-to-market strategy could be refined and elaborated in more detail. By adopting a customer-centric perspective and moving beyond technical details, Heatrix's value proposition for customers could be strengtened, bridging the gap between impressive public relations efforts and the necessity for clear, concise arguments outlining how Heatrix generates commercial value.
