Marketing

The market in the U.S. for clean, vehicle-grade LNG today revolves around the West Coast, specifically California. California has enthusiastically adopted LNG as a vehicle fuel and has passed legislation in support of furthering its use throughout the state.

Los Angeles (including urban portions of the city, Orange County, Riverside and San Bernardino counties collectively) was designated the South Coast Air Quality Management District (SCAQMD). This area of 10,743 square miles is home to over 16 million people (the second most populated urban area in the United States) and is one of the smoggiest areas in the United States today. California encourages and provides money to assist individual and fleet owners to acquire vehicles that are LNG powered.

ALT's primary customers in California are municipal fleets such as Port Yard Tractors, Orange County buses and garbage trucks, Orange County Transportation (city buses), the City of Redlands, as well as commercial vehicles like those belonging to United Parcel Service in the Los Angeles area, and overnight return-to-base, garbage-disposal fleets up and down the California coast.

Distribution

Special cryogenic tank trailers are used to transport ultra-cold LNG from the manufacture site to small-scale storage for end users. ALT LNG owns several of these specialty trailers and through its close relationship with the Jack B. Kelley trucking company, has access to the nation's largest fleet of these trailers.

Applied LNG Technologies (ALT) has experience and expertise in obtaining and installing LNG fuel dispensing equipment, and understands federal government grants that facilitate conversion of vehicles to use LNG. The Company is therefore able to assist new customers to begin using LNG fuel.