Carnot Engines

Idea

Introduction

Combustion engines for heavy-duty transport & off-grid energy account for 13% of annual global emission, with no production-ready technologies capable of transitioning them to Net Zero!

Estimated market sizes*: Global engine market: £527bn; Target sectors: £60bn

*Market size data from 2017

Carnot is developing revolutionary engines to decarbonise these sectors. By pioneering an uncooled engine design and utilising technical ceramics, our test results suggest our engines can deliver game changing high efficiencies up to 70%.

This means greatly reduced fuel consumption and emissions for the same power outputs. Therefore, significantly reducing the barriers & accelerating the transition to Net Zero.

Our engine design is fuel agnostic meaning we can operate on a wide range of fuels including Hydrogen, Bio-Fuel, Methanol or Ammonia.

With this technology, we can rapidly deliver Gigaton emission reduction, decarbonising some of the hardest to abate sectors including Marine, HGVs and Off-Grid power, while simultaneously reducing costs for operators.

Substantial accomplishments to date

Successfully prototyped for the last year validating key aspects of the technology, including:

· Uncooled Engine Operation
· Lower heat rejection (precursor to higher efficiencies)
· Manufacturability
· Proven key patentable technologies
· Validation of simulation models

In house test, development, simulation, and modelling expertise allowing us to begin all innovation from first principles and not be dependent on expensive external engineering expertise or facilities.

In addition Carnot has built strong commercial traction with both customers and strategic partners that includes:

- Two funded pilot trials – a Hydrogen Auxiliary Power unit for Marine and a Bio-Fuel Off-Grid generator in Indonesia.
- Pipeline of commercial partnership contracts in development with major shipping fleets, generator manufacturers and HGV operators, progressing towards pre-orders & Co-Development contacts
- Commercial discussions with major suppliers including major OEM assembly partners and a proof-of-concept project with a global ceramics supplier. These relationships will be key to creating a stress-tested blueprint for volume production
- Over £3m in Government Grants won including all 3 rounds of the Clean Maritime Demonstration Competition (~£1.9m), Energy Catalyst 7 & 9 (~£1.09m) and Eureka Eurostars.
- Submitted UK patent, International PCTs and National patent applications with no prior art found during search and examination.

Monetisation strategy

As we look to further develop our product and solidify our market position, our monetisation strategy will be based upon the below:

- Carnot intends to utilise existing pilot projects to showcase our 50kW and 200kW products. The aim is for these to be ready for sale from 2026 directly to end-users.
- The vision is for this beachhead to include gensets and auxiliary engines. Later transitioning into larger applications such as Class 8 HGVs.
- We plan for our go-to-market strategy for larger applications to be via partnering directly with end users to better understand the use-case and regulation.
- Upon successful pilots, we would look to our partners to fund the development of our tech for a specific application.
- We believe our sales and partnership model will allow us to focus on key products, managing resources and demonstrating profitability. We can rinse and repeat our partnership model to take on new market segments.
- Carnot will look to “contract manufacture” our product to key supply chain partners.
- We intend for these manufacturing partners will provide the CAPEX and their well-resource in exchange for preferential access to the technology.

Use of proceeds

We are raising to carry out our current pilot projects and achieve 55% thermal efficiency which will make it the most efficiency engine in production. Over the next 12 months we aim to:

· Secure pre-order contracts for sale in 2026
· Establish a co-development partnership to fund development of our technology for the marine sector
· Establish head of terms with tier 1 suppliers to fund development of our pilot manufacturing line to deliver sales in 2026.

Short-Term Goal:

Achieve world's most efficient fuel agnostic engine and confirm co-development agreements.

Long-Term Goals:

1. Run 50kW and 200kW Biogas and Hydrogen demonstrators.
2. Establish pilot manufacturing line.
3. Low volume production of 50kW and 200kW products.
4. High volume manufacturing and new market products.