AKOS’ advanced, proprietary well intervention and drilling services deliver improved sustainability, reduced environmental impact, and notably, far superior economics to operating companies in the energy sector. AKOS, which employs a Technology-as-a-Service (Taas) model, has offices in the United States, Saudi Arabia, and the UAE. AKOS’ specialized equipment, processes, framework, and software are protected by a broad portfolio of proprietary technologies and a significant collection of issued and pending patents.

• AKOS’s services lead to impressive GHG reduction in well intervention and well drilling: ○ AKOS’ Well Intervention Technology reduces CO2 Emissions by 173 metric tons per well – an estimated 60% reduction ○ AKOS’ Well Drilling Technology reduces CO2 Emissions by 3087 metric tons per well – an estimated 90% reduction ○ AKOS estimates an overall total impact of 44.3 million metric tons CO2 Emissions reduction by 2028 from its Cybercoil Services

• Secured $1mm in equity from Saudi Group, investors with high-level oil & gas connections

• Executed a 6-month agreement with US geothermal company Bedrock Energy

• Signed a 3-year, minimum $24mm service agreement (end-customer ADNOC Offshore)

• Signed a 2-year, minimum $5mm service agreement (end-customer Saudi Aramco)

For further information or to set up some time to speak with the AKOS team, please contact Mitchell Hauser

Renewables and Sustainable Oil & Gas

Balancing Energy's Future: Renewables and Sustainable Oil & Gas

Renewable energy sources, from solar and wind to hydro and geothermal, have surged to the forefront of the global energy transition. Their hallmark characteristics of minimal emissions and plummeting costs are no longer just commendable; they are economically compelling. The urgent need to address climate change and the transition to renewable energy sources has gained tremendous momentum. However, the continued significance of oil and gas in the global energy mix necessitates a comprehensive approach. It's equally important to acknowledge that oil and gas are still crucial components of our current energy landscape, and while we explore the dual approach of transitioning to renewables, we are also making the oil and gas industry more sustainable.

What is going on in the energy sector?

Renewable Energy's Rising Importance

International Energy Agency’s (IEA) predictions indicate that by the year 2026, there is an anticipated growth of over 60% in global renewable electricity capacity compared to 2020 figures, reaching a remarkable 4,800 GW. To put this in perspective, this capacity is equivalent to the total global power capacity currently generated by both fossil fuels and nuclear energy combined. Renewables are poised to dominate this expansion, contributing to nearly 95% of the increase in global power capacity over the course of the next five years. Notably, solar photovoltaic (PV) energy alone is expected to provide more than half of this capacity growth. The projected increase in renewable capacity from 2021 to 2026 is anticipated to be 50% higher than the capacity added from 2015 to 2020. The falling costs of renewables have made them economically competitive, leading many nations and corporations to set ambitious goals for green energy adoption. This transition isn't just about combating climate change; it fosters innovation and energy independence. To read more about renewable energy’s accelerating transition, click here.

The Ongoing Role of Oil & Gas & the Transition to a Sustainable/Greener Oil & Gas Industry

While renewables are on the rise, we can't overlook the current significance of oil and gas. The future of the oil and gas industry is in debate. Will it have a sudden collapse? A gradual decline? Or a striking reinvention? Most major oil companies anticipate a gradual transition to net-zero emissions, expecting technological advancement to transition to a sustainable oil & gas industry. Saudi Aramco pledged to reduce its CO2 emissions by 20% by 2025. Petrobras to reduce 25% by 2023. Gazprom to reduce 60% by 2023. According to Accenture’s survey of 179 oil and gas companies, the majority are setting goals to reduce carbon, rather than a radical reinvention (To read more click here). This creates a major opportunity for companies offering technological services in the industry that enhance sustainability and reduce gas emissions. Sustainable practices in oil and gas, including carbon capture, enhanced efficiency, and cleaner processes, offer lucrative investment prospects

Towards a Sustainable Oil & Gas

What's needed is a balanced approach that supports renewable growth while also advancing sustainable practices within the oil and gas industry. As renewables expand, sustainable oil and gas practices can mitigate immediate environmental harm. As we strive for a sustainable future, it's essential to embrace both renewables and a greener oil and gas industry.

AKOS has created the first independent, advanced technology platform for well intervention and drilling services. Its proprietary technology reduces the environmental impact of well services and provides a superior solution for the geothermal market.

By AKOS’ estimates, its well intervention technology reduces CO2 Emissions by 173 metric tons per well (an estimated 60% reduction), and its well drilling technology reduces CO2 Emissions by 3087 metric tons per well (an estimated 90% reduction). AKOS estimates an overall total impact of 2.6 million metric tons CO2 Emissions reduction by 2025 from its Cybercoil Services (To put into perspective, a typical passenger vehicle emits about 4.6 metric tons of CO2 per year, equivalent to 574,440 cars per year).

All of our portfolio companies have made exciting and significant progress this summer! We are very pleased to provide this month’s updates below.

EMPEQ has announced significant updates this month:

• EMPEQ just won the top prize of $150,000 at the Griffiss Institute’s HUSTLE Defense Accelerator (https://bit.ly/45CKvDO), recognizing Fast Site Survey™’s potential to protect the US DOD’s hardware supply chain

• The US Air Force awarded the company a $1.2 million “Direct to Phase II” Small Business Innovation Research contract: ○ Will pay for research and development to augment the existing product to bring instant identification and insights to component parts within mechanical and electronic equipment ○ Awarded to just 5% of eligible solutions, highlighting the Department of Defense's challenges in this area. ○ Directly supported by the Pentagon and, if successful, would likely lead to an eight-figure follow-up contract

• EMPEQ’s existing software solution already utilizes AI to identify and immediately provision insights on mechanical equipment and is currently used by some of the biggest commercial equipment contractors in the world – including Johnson Controls and Siemens

For further information on EMPEQ or to arrange a call with the CEO, Herbert Dwyer, please contact Mitchell Hauser.

Following a prosperous summer that has propelled Splash beyond the $4MM threshold for the latest stage of their external financing, Splash’s Board has decided to set September 30th as the closing date for their third seed round.

Until then, the door remains open for new investors to join what we expect will be the final opportunity for private individuals to invest in Splash, before we fully switch our focus to Asia-based institutions.

This year has seen Splash achieve many significant milestones as they continue to build on their exceptional track record of recent accomplishments:

• Growth: 100%+ organic revenue growth achieved during the first four months of 2023, and 200% over the last 12-months

• Customer Ranking: Number 1 on both of China’s leading consumer platforms, TikTok and Meituan

• Use of Capital: Splash’s operations are fully funded so 100% of all new capital will be used exclusively for new site development

• Sustainability: Splash now holds three water recycling-related patents, and have recycled over 100 million liters of water to date

• Subscriptions: As the only Chinese operator able to offer subscriptions, these now represent 30% of Splash’s wash revenues

• Performance: Splash has been called “the market’s best performing operator” by Oryx, the industry’s only leasing partner

• Retention: Portfolio-wide customer retention is now up to a market-leading 62% over a 12-month period

Car washes represent the most frequently used service in China’s $200 billion automotive aftermarket, and Splash has already distinguished itself as a leader in this increasingly valuable marketplace. Demographics and market trends have already preordained the eventual dominance of automatic car washes in China, and Splash's own performance continues to accelerate as this transformation continues.

For further information or to set up a time to speak with Splash's CEO, Rob Shesol, please contact Tony Coretto.

CircuitMeter’s integrated submetering and energy analytics platform lets commercial buildings and industrial facilities perform continuous energy audits and forensic energy management to reduce energy costs, increase energy efficiency, lower carbon emissions, and meet industry standards in environmental management and energy reporting regulations. CircuitMeter’s global customer validation and testimonials from industry experts confirm that CircuitMeter’s solution is far ahead of antiquated legacy alternatives:

• Proven High ROI in retrofit applications

• Recent adoption by national Channel Partners (US, UK, Canada) and already operating on three continents with major multinationals

• $4B energy submetering market in 2020 is projected to exceed $20B by 2030 and continue a steep growth path

For further information on CircuitMeter or to arrange a call with the CEO, Paul Mertes, please contact Mitchell Hauser.

WAVE Drowning Detection Systems has raised over $1.9 million in preparation for an institutional round later this year. The company is currently raising a bridge round via convertible notes paying an 8% coupon and converting at a 20% discount to the next round with a cap of $8 million. WAVE continues to gain traction:

• WAVE has completed deployments at five more YMCAs and two more Boys and Girls’ Clubs of America, and completed deployment at their private for-profit camp customer

• Also, 6 existing customers added additional systems

• Marcia Wilkes has joined WAVE as Director of Customer Success

• Andrew Sinclair (https://www.linkedin.com/in/andrew-sinclair-public/) has joined WAVE as a Sales Engineer

• WAVE rolled out production of their new W2000 System Hub and Lifeguard Entry Alert (LEA) System and has successfully reduced manufacturing costs

• Received an Aquatics International Magazine 2023 Most Valuable Product Award for their updated Lifeguard Entry Alert System

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• For further information or to set up a time to speak with WAVE’s CEO, Mark Caron, please contact Tony Coretto.

This month, we are thrilled to welcome Stephen Marksceid to the SV team as a Venture Partner.

Stephen is the Managing Principal of Aerion Capital, a family office. He serves as an independent non-executive director of six publicly listed companies: Fanhua, Inc., Jinko Solar Inc., Kingwisoft Technology Services Ltd., Monterey Capital Acquisition Corporation., UGE International, and Four Leaf Acquisition Corporation. Steve is also a trustee emeritus of Princeton-in-Asia. He holds a BA in East Asian Studies from Princeton University, an MA in International Affairs from Johns Hopkins University, and an MBA from Columbia University in 1991, where he earned the honor of being class valedictorian. To learn more about Stephen, click here.

SV Managing Director, Tony Coretto, recently spent a week at Kneisel Hall (https://www.kneisel.org/) playing piano at the Adult Chamber Music Institute (he’s pictured here with Royce on Cello and Tim on Violin). Music is a soothing antidote for the stresses and strains of the business world, and Tony came back refreshed and ready to go.