Case Study

Chill Tech Begins Talks With Manufacturer for Self-Chilling Can

Chill Tech Industries Inc. has begun discussions with a major German-based manufacturer regarding production opportunities of the company's "Arctic Can," a self-chilling beverage container. The talks have led to a conditional letter of intent. Chill Tech Industries is looking to establish the first full-scale, commercial production line of a self-chilling beverage container. Further discussions will assist in the transition of the corporation into its next phase of development.

While officials of the German manufacturer have requested a measure of privacy at this time, Chill Tech Industries has said that the manufacturing consortium is an internationally known and respected corporation holding contracts with numerous internationally recognized companies. The consortium, with operations on three continents and in 11 countries, had sales in excess of US$3 billion during the last fiscal year.

Soon to be introduced to the North American marketplace, the Arctic Can technology from Chill Tech Industries — developed and perfected by Will-bes & Co. Ltd. and Techno Chem Co. Ltd., both of Seoul, South Korea — provides consumers ice-cold beverages without having to use conventional chilling aids such as ice cubes, freezer bags, coolers or refrigerators. In addition to the Arctic Can, Chill Tech's technology may also be developed for applications such as a fire-suppressant and for use in various fields of medical research and the aerospace industry.

Evaporation and Heat Transfer
The Chill Tech method is based on basic principles of evaporation and heat transfer. As liquid coolant is vaporized, it draws heat from the surrounding area, thus lowering the temperature of nearby materials. In the case of a controlled environment, such as a sealed beverage container, this process draws the heat from the beverage itself, thus lowering its temperature. In order to accomplish this, a small canister containing a specially developed coolant sits inside the beverage container. The cooling process takes place when a valve located on the bottom of the beverage container is pushed open. The coolant vaporizes, cooling the liquid in the surrounding area and providing a cold drink virtually anytime, anywhere.

Current application of Arctic Can's unique refrigerant demonstrates an ability to reduce the temperature of a beverage by a value of 18°C in less than two minutes. Results may vary slightly according to factors such as type of beverage, size of container, external temperatures, etc.

Minimal Equipment Modifications Required
Chill Tech says that incorporating the technology into the can requires only minimal modifications to production lines, depending on the needs or demands of the bottler. The coolant is stored in an internal canister, which is "drop-fitted" into the bottom of the existing beverage container, thus becoming an integral component of the can. The coolant canister with valve assembly can be readily integrated into current production facilities and may be filled with refrigerant either prior to the filling and sealing of the beverage container or after, depending upon the type of beverage to be used.

Currently, equipment for the prototype production line and the first full production line are supplied by manufacturers from around the world, including Germany, France, Switzerland, Taiwan and Japan.

The environmentally friendly Arctic Can coolant is a patent-pending hydrocarbon blend refrigerant developed with global environmental concerns in mind. Unlike other commonly used coolant products, the Arctic Can refrigerant does not contribute to the depletion of the earth's ozone layer. International treaties such as the Vienna Convention, which calls for the preservation of the ozone layer, the Montreal Protocol, which is an attempt to reduce and ban substances that deplete the ozone layer, and the Kyoto Agreement, which calls for restricting the use of hydrofluorocarbons, were factors during the product's development.

Offering "Value-Added"
Looking to become a leading provider of integrated cooling containers and related technologies to the beverage industry, Chill Tech Industries believes its integrated cooling containers could assist manufacturers in offering a value-added product to complement existing product lines and assist in expanding market share. In order to accomplish this, the Carson City, NV-based public company will have to complete the development of its proposed products and successfully manufacture and market them.

The company's products are still in a developmental stage and are not currently sold commercially. There is a completed prototype available for demonstration purposes. Test cans have been developed, and financing efforts to introduce a complete product line as soon as possible are ongoing. The company is engaged in coordinating the various operations required for the acquisition, development and management of technologically related products.

For more information: Chill Tech Industries Inc., Tel: 1-888-931-9991; Fax: 604-926-2502.