D1.1 Feasibility report, including a business plan includes a report about the feasibility study conducted, providing a set of analyses and strategies for the successful commercialisation of the innovative PROMETHEUS solution. In particular the study covers the strategy for SME-Instrument Phase 2 project implementation and the key aspects to ensure a smooth market introduction.
A technical assessment provided a comparison with competing solutions and validated successful upscaling from laboratory to real scale prototype dimension. Consequently a commercial plan for PROMETHEUS was developed identifying technical constraints, risks and contingency. The development and deployment strategies have been assessed selecting the best technologies and matches available.
A business plan has been developed with achievable and realistic objectives for the PROMETHEUS solution, providing a clear mission and vision. It includes a market and competition analysis, showing that PROMETHEUS responds to current trends and needs and has a competitive advantage in terms of features and price. The business model and business cases are also presented. These business cases are based on real-world interaction with top clients (including BASF and Renault) who have also engaged to Pilot the solution in Phase 2. A 5-year financial projection and ROI analysis have been conducted.
An operational company strategy study has been performed to assess operational requirements to develop and sell PROMETHEUS. It includes a plan for the set-up of large-scale development, takes into account running requirements, HR and competence needs in particular marketing efforts.
Finally a detailed planning and strategy for the SME Instrument Phase 2 project is provided and presents funding, preliminary work-plan and tasks.
The project shall continue, primarily through the application for Phase 2 SME Instrument. The objectives and expected impacts of PROMETHEUS have not substantially changed nor has the concept and approach.
Here below we summarise the main results of the Feasibility Study:
1. Technical feasibility: The targeted values of PGMs substitution (at least 50%) have been perfectly reached and even an outstanding 66.7% substitution for Euro III vehicles has been achieved. The current certifications for achieved results have been obtained and the product is ready for demonstration in real environment during Phase 2. All performances and expected advantages with respect to competitors (production cost, quality of the catalytic process, etc.) have been validated.
2. Business Opportunity: Market demand is growing very fast and client interest is solid. Fiat, Renault and BASF already confirmed interest in the project and to support demonstration activities during Phase 2. Pre-commercial agreements are already under evaluations. It is confirmed the potential of PROMETHEUS solution to expand MONOLITHOS business in OEM and OES markets resulting in a 1636% ROI in total and a breakeven already during second year after project end with a total turnover (5 year of commercialisation) of more than €100 Million, and net profits before taxation equals to around €40 Million.
3. Phase 2 Implementation: Financial analysis assess that the financial support foreseen In Phase 1 proposal including prototypes production, demonstration activities in relevant environments, costs for tests, customisation as well as supporting infrastructure, is correct. Instead the overall economic impact of the project will increase. An in-depth analysis of development, requirements consolidation and marketing needs, as well as collaboration with the demonstrations, concluded that project duration of 24 months it is adequate for correct implementation of all actions, and allowing for buffer times. The following table summarises the number of pilots to be carried out in Phase 2.
END USER TESTED FEATURE PILOT DIMENSION
Renault Oxygen storage capacity; Catalytic performances; platinum metal group content; ageing and laboratory reactor testing of the Materials. 9 pieces to be tested in both cases
BASF Catalytic performances; platinum metal group content; ageing and laboratory reactor testing of the Materials.
Regarding useful support, PGMs suppliers, certified testing companies (for certifications), component producers and clients are already engaged. In terms of expertise MONOLITHOS has ensured to have all the required expertise (through internal HR and external support) to carry out the project. These will guarantee a successful and timely launch of PROMETHEUS in the market.
