The total official budget for designing, building and testing up to six pre-production long-life prototypes in the 300 to 450 kW (400 to 600 hp) power range is €12.0 million, including maintenance of the patent portfolio. Of this, contingencies account for about 133% of €5 million base costs, at €7 million. Target time to completion of 1,000 hour testing is eighteen months from receipt of all funds. The contingencies include €5 million for an extra year, bringing completion time to thirty months. No incomes are allowed for, from license options, consulting fees, or deposits on orders for prototypes. Actual expenditure is likely to be less.
After successful testing, license option incomes will quickly accrue from companies not wanting to be shut out of an industry breakthrough. The total global engine market is worth over $300 billion annually; it would be greater during a transition to uncooled engines.
Uncooled engines need to be prototyped and put into high volume production as soon as possible if we are to seriously cut global CO2. For the engine project, arrangements can be made for the Foundation to receive investment loans (the Foundation cannot issue stock). They would be secured by project assets, including research results and the valuable intellectual property portfolio. In addition to repayment, investors would receive as a bonus a transferable / saleable share of gross revenues, which would be large.
Donations can be made at any time, in some cases tax-exempt for US residents.
The foundation presently controls the engine-related IP, comprising multiple national patents / applications in over fifty countries.
Litus plans to derive incomes from IP licensing, and will arrange to build around 500 evaluation engines for select government and business clients. About 75 % of any IP revenues will go to the Foundation, the balance to third parties, none to the founder.