The document describes the "Machine M500" project which aims to develop a new energy efficient furnace to grow extra large sapphire crystals up to 500 kg. The project aims to reduce production costs by 3x and increase crystal size by 6x compared to existing technologies. This would allow expansion into new markets and applications. The project team has over $0.5 million invested so far and is seeking $3.3 million to complete design and development of a fully operational machine.

1. «Machine M500» project
Development of a Brand New Energy Efficient Furnace
for Growing Extra Large Sapphire Monocrystals
(up to 500 kg)
Delta-Sapphire Limited Liability Company
Sarov, Russia
2015

2. “Machine M500” project
Development of a conceptually novel energy efficient furnace to grow extra large synthetic
sapphire monocrystals (up to 500 kg) of high optical quality.
Project relevancy
The increasing demand for synthetic sapphire is provoked by producers of laser elements, windows, screens, wafers of big
diameter, etc.
Te relevancy of the project is stipulated by two key factors:
 Need for leucosapphire price reduction
 Need for monocrystal size increase
The suggested technology will 3x decrease the prime cost, which will allow to:
• Retain current position of leucosapphire on microelectronics market
• Win new markets by removing Si, SiC, GaAs, GaN
• Find new mechanical applications (pistons, bearings, etc.)
The suggested technology will 6x increase the boule size, which will allow to:
• Increase manufactured product range (windows, screens, large size wafers)
• Apply production in new energetics (super high-power lasers)
“MACHINE M500” PROJECT RELEVANCY “Machine M500” project
Brand new energy-efficient furnace
to grow extra large sapphire monocrystals

3. 3
Heat-Insulating Shields
Resistance heater
Crucible with stand
Raw material feeding Crucible Heat shield made of
ceramics (NEW) instead of
molybdenum:
• Operating costs decreased by 10%
Conductive heater made of
ceramics (NEW) instead of
tungsten rods
Crucible made of high-
temperature ceramics
(NEW) instead of tungsten:
• Yield increased from 70 up to 95%
• Requirements for vacuum
decreased from 10-5 up to 10-2
• Crucible volume of standard
machine increased by 20 %
NEW
Additional
charge
device
INNOVATIONS IN MACHINE DESIGN “Machine M500” project
Brand new energy-efficient furnace
to grow extra large sapphire monocrystals

4. 4
Global new growing furnaces market:
1,200 pcs. per year
$128 billion per year
Market growth 14% per year
Growing furnaces manufacturers:
CrystalTech HK Co., Limited (China), Cyberstar
(France), Thermal Technology LLC (USA),
ARCEnergy (USA), Tronic Technocrystal Pte Ltd
(Taiwan), ‘Apeks’ Co., Ltd (Russia), etc.
Global leuco sapphires market:
14,400 tonnes per year
$ 4.32 billion per year
Furnaces sold over the world: 12,000 pcs. ($ 4 billion)
Market growth
30% per year
Global upgrading furnaces market:
12,000 pcs.
$1.3 billion
Market growth 10% per year
Crystal growing companies
(servicing available furnaces):
Kyocera (Japan), Namiki Precision Jewel Co., Ltd
(Japan), Rubicon Technology (USA), Sapphire
Technology Company (South Korea), Monocrystal
(Russia), etc.
MARKET “Machine M500” project
Brand new energy-efficient furnace
to grow extra large sapphire monocrystals

5. Vladimir F.
TYUTIN
Victor I.
TIKHONOV
PhD
Prof.
Leonid I.
VOLCHKEVICH
Prof. Vladimir
Y.
ULIANITSKY
Tatyana A.
STAVNICHAYA
Marina K.
FILINA
Maria V.
IVANNICKOVA
Project
Leader
Research
manager
Research
consultant
Research
consultant
Marketing,
PR
Financial
modeling /
analysis
Commercializ
ation
Kazan Aviation
Institute (Kazan),
higher technical
education
Experienced
inventor, innovator,
effective manager,
able to combine the
budget and TRIZ.
Kazan Aviation
Institute (Kazan),
Mechanical
Engineer, PhD
Design and research
leader, 38 years of
experience. 30
patents, 120 hand-
written works.
Bauman MSTU
(Moscow),
machine tools and
instruments, DrSc
Doctor of Technical
Sciences, Head of
the Electronic
Engineering
department. Member
of the International
Academy of
Technological
Cybernetics and
Automation/
Novosibirsk State
University,
Physics, Applied
Mathematics,
prof., DrSc, Lab.
of detonation
flows of
Lavrentyev
Institute of
Hydrodynamics SB
RAS, DrSc
Developer of the
best national models
of equipment for
detonation spraying,
technological
solutions in
protective coatings,
ceramics and metal-
ceramic composites.
MEPhI (Moscow),
(higher technical
education),
The President's
program
"Innovation
Management“
Experienced PR and
Marketing manager,
skilled in marketing
and PR, project
management,
product distribution
and GR.
SarPhTI (Sarov)
(higher economic
education),
National Economy
Academy under
the RF
Government
Experienced
financial analyst,
skilled in relations
with VTB, Rusnano,
VEB and other
investment
organizations.
MEPhI (Moscow),
(higher economic
education)
Extensive experience
in business plans
development. Skills
in promotion,
conducting
exhibitions,
competitions and
workshops.
PROJECT TEAM “Machine M500” project
Brand new energy-efficient furnace
to grow extra large sapphire monocrystals

6. 6
CURRENT PROJECT STATUS
Project assets
• Over 2 years activity on the Project
• Over $ 0.5 million invested in the Project
• IP rating of the current stage of the Project is $ 2.5 million
Works executed on the Project
• Conceptual schemes for key units developed
• 2 patents received
• Samples of high-temperature ceramics to be the basic material for developed machines obtained
Received financing
Total investment (100%) $ 1.976 million
• Grant of the Skolkovo Fund (51%) $ 0.999 million
• The WEB-Innovations Fund (44%) $ 0.876 million
• ‘GK Binar Ko’ Ltd. (5%) $ 0.100 million
Investment opportunity
$ 3.3 million
For design& development stage, resulting in a fully operational machine model
IRR – 41%
“Machine M500” project
Brand new energy-efficient furnace
to grow extra large sapphire monocrystals

7. 7
Contacts:
Delta-Sapphire LLC
Sarov, Russia
Email: info@delta-sapfir.ru
tel. +7 (83130) 6 33 95
www.delta-sapfir.ru
CONTACT DETAILS
Thank you!