QS Energy, Inc. announced the signing of a Letter of Intent (LOI) with VIPS Petroleum as of June 11th. This strategic partnership aims to facilitate the deployment of QS Energy's Applied Oil Technology (AOT) device to enhance the operational efficiency of VIPS Petroleum's customers. QS Energy and VIPS Petroleum have agreed to collaborate on deploying the AOT device to one or more of VIPS Petroleum's esteemed clients, marking a significant step forward in improving the efficiency and sustainability of oil transportation.

The agreement outlines a comprehensive timeline, starting with the signing of a Memorandum of Understanding (MOU) and a collaboration agreement in June 2024. The deployment will commence with a customer contract expected to be finalized in July/August 2024, followed by the actual deployment of the AOT device between September and the end of the year. VIPS Petroleum will receive compensation in the form of ownership and commission, as detailed in the forthcoming MOU and definitive agreement.

The onboarding process for the customer includes an initial 30-day consideration period to ensure the AOT device meets set performance goals. The device must achieve predefined operational goals to proceed. Upon successful demonstration, customers can select the most suitable AOT purchase plan.

Full-scale deployment will follow the successful completion of this evaluation period and goal achievement. The signed LOI marks the beginning of a series of strategic steps, including the finalization of the MOU in June 2024 and the deployment of the AOT device later this year. This partnership is poised to deliver substantial benefits to both companies and their stakeholders.