Leo Motors Inc. (LEOM) has acquired by merger 100% of its affiliate company, Leo Greentier Marines (LGM) through a share exchange.
LGM is the premier Korean E-outboard developer and manufacturer. They bring LEOM an effective fossil fuel alternative to conventional boats dramatically reducing CO2 and a variety of other water pollutants.
Initially intended to support Korea's commercial fishing fleet, LGM developed a high quality performance electric power system for boats that will revolutionize the marine market sector. The motor is lower in noise, vibration, and fuel consumption. LGM's e-Power system also reduces maintenance costs.
The new e-boat gives fishermen significant reduction in energy costs. For each 100,000 km, traveled, an internal combustion engine $40,000 in fuel while the e-boat spends approx. $4,000, a 90% reduction in operating cost.
LGM has 7 patents and 15 patents pending. These patents include the remarkable Cartridge Battery Systems (CBS) technology.. CBS consists of 15-30 cartridges in a battery power pack. Such batteries are lightweight and can be recharged and replaced easily.
Maintenance costs are reduced by having only one tenth of the moving parts of standard motor boats. Lifespan of the outboard is doubled by the use of aluminum based corrosion resistant components.
Coping with the global trend toward Green Management, the International Maritime Organization (IMO) has imposed regulations to decrease carbon dioxide emissions from boats by more than 30 percent. The Korean government initiated a pilot project converting 40 fishing boats into e-boat in 2014.
Government subsidized approx. $30,000 per boat in this pilot project. Government expects to convert at least 10 percent of fishing boats below 3 tons over the next 10 years. (Converting approximately 5,500 boats.)
In addition to addressing the $2 billion Korean small e-fishing boat market, the merger stages LEOM to be the leading company in the $55 billion global ocean leisure market.