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Zero emission livestock project

Periodic Reporting for period 1 - ZELP (Zero emission livestock project)

Reporting period: 2019-09-01 to 2019-12-31

Zelp has developed a unique wearable product which integrates emission reduction technology and data-gathering functionality to detect and oxidise mrethane released by cows in real time. The process of oxidation reduces the environmental impact of the methane emissions by a factor of 85 times.
During Phase 1, ZELP performed a technical and business feasibility assessment on its innovative technology that can decarbonize the beef industry. It compared the concept with known competing solutions, to able to distinguish it from current state of art.

During Phase 1, the Minimum Viable Product (MVP) for the next development cycle was defined and product development plan prepared. The direct cost of the pure product development over 2 years is estimated around €1.43m. An additional 25% of indirect cost will be needed. The total project cost would be then €1.78m.

ZELP targets 3 various business segments and models:
• The certification and promotion of premium beef and dairy products produced
• The generation and sale of carbon credits
• The gathering and sale of statistical data to producers and breeders

During Phase 1, the impact of the new product development and commercialization on the company was better understood and aligned with the overall business and financial strategy. The financial potential was quantified, with a conclusion that the prod can generate £3.56m cumulated revenue, more than £2.9m gross profit and more than £2.1m net income by 2029.

Overall, Phase 1 provided time and resources to research the market, and better understand the next steps. Also, dozens of discussions took place with potential stakeholders, based on which ZELP Ltd. was able to better define the objectives on the roadmap. In summary, Phase 1 convinced the management of the company to further pursue the idea and to prepare next steps towards the product development, to be conducted maybe also with the help of Phase 2 of the Horizon 2020 grant scheme.
The proposed ZELP solution is worth to develop and invest in its commercialization, because it presents the lowest barriers to adoption at both, producer and consumer levels. It will definitely fill a gap in the market and be a game-changer, because of its unique value proposition:
• Aims to capture and convert up to 90% of methane from animals and transforms it into CO2;
• Farmers, processors and food industry benefit via the lowering of the industry and the creation of a new premium market;
• It provides additional benefits by its livestock monitoring service.
ZELP device