JUNE 7, 2014

ROYAL OAK, Mich.— JUNE 7, 2014 - Nostrum Energy announced today it has received a $50,000 Business Accelerator Fund grant from the Macomb-Oakland University INCubator to support commercial development of its combined cycle engine technology. The grant will be targeted for development of Nostrum’s new water injection system for internal combustion engines, which promises double-digit increases in efficiency.
Nostrum Energy, through its Nostrum Motors subsidiary, is cooperating with the owner of a major national fleet of commercial delivery vehicles to greatly improve the fleet’s fuel efficiency. That owner’s name remains undisclosed. But retrofitting Nostrum’s fuel injectors, enhanced software, and water supply and recovery systems into one of the company’s medium-duty diesel truck engines is expected to yield quick gains in fuel efficiency. If successful, Nostrum anticipates this will lead to its first commercial sales and an accelerated commercialization of similar equipment for other fleets. “What the INCubator is allowing us to do is to make a crucial leap from pure development work to actually applying our technology to a real-world commercial fleet,” said Bruce Coventry, chief executive officer of Nostrum Motors, which is headquartered in Royal Oak.
Nostrum (nostrumenergy.com) anticipates that its technology will revolutionize the internal combustion engine for automotive and truck fleets around the world. The INCubator’s mission (http://www.oakland.edu/macombouinc/) is to provide development and support services to startups and emerging businesses, and to encourage the commercialization of new technologies in southeastern Michigan. Mac-OU INC aims to be the regional hub for targeted industries such as defense, homeland security and advanced manufacturing. The ultimate source of the grant was the state of Michigan, which relies on entities such as Mac-OU INC to disperse the funds. The grant will pay for supplier Pi Innovo, an engineering services company, to provide crucial support to Nostrum.
The majority of Nostrum’s operations are based in Michigan. It moved all its research and development activities to Michigan Technological University in Houghton in 2009. Nostrum’s research engineering team is working there with renowned industry experts Dr. Jeff Naber and Dr. Seong-Young Lee on advanced combustion technology.
In lower Michigan, Nostrum has been conducting research and third party proof of concept testing with MAHLE Powertrain in Farmington Hills and with Ricardo, Inc. in Van Buren Township. Most of Nostrum’s suppliers, such as Pi Innovo, are either based in Michigan or have locations here. “We have found that only Michigan has the concentration of facilities and talented engineers that we need to bring our engine technology to market,” said Coventry.
The key that enables the Nostrum Cycle to achieve high efficiency is the ability to control the rate of combustion and simultaneously lower in-cylinder temperatures. Nostrum’s technology has shown great effectiveness to mitigate knock, enable hyper compression ratios to gain efficiency and allow optimized spark timing. The company also is in discussions with one of Detroit’s Big Three auto manufacturers to include its technology in one of that company’s development programs. Because of confidentially agreements, that company’s identity also remains undisclosed.
CONTACT: Purvi Thacker, Nostrum Energy, pthacker@nostrumlabs.com