Good day and welcome to the ClearSign Technologies' Fourth Quarter and Full Year 2019 Conference call. All participants will be in listen-only mode. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Matthew Selinger, Investor Relations. Please go ahead.

Thank you operator, and welcome everyone to the ClearSign Technologies Corporation fourth quarter and full year 2019 results conference call. During this conference call, the company will make forward-looking statements. Any statement that is not a statement of historical fact is a forward-looking statement. This includes remarks about the company's projections, expectations, plans, beliefs and prospects. These statements are based on judgments and analysis as of the date of this conference call and are subject to numerous important risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The risks and uncertainties associated with forward-looking statements made in this conference call include, but are not limited to, whether field testing and sales of ClearSign’s products will be successfully completed, whether the ClearSign will be successful in expanding the market for its products, and other risks that are described in ClearSign's periodic public filings with the SEC. Including the discussion in the Risk Factor sections of the 2018 Annual Report on Form 10-K and the 2019, which will be filed in the coming weeks. Except as required by law, ClearSign assumes no responsibility to update these forward-looking statements to reflect future events or actual outcomes and does not intend to do so. So on the call with me today are Jim Deller, ClearSign's President and Chief Executive Officer; and Brian Fike, ClearSign’s Chief Financial Officer; Rob Hoffman, ClearSign's Chairman of the Board will also be available during the Q&A portion of this call. So with that said, I would like to turn the call over to Brian Fike. Brian, please go ahead.

Thank you Matthew, and thank you to everyone joining us today. Our full financial results will be released later this month, but before I turn the call over to Jim, I want to take the opportunity to briefly look back over the previous year since our change in company management and focus. The cash burn for the quarter ended December 31, 2019 was $1.5 million, compared to $2.2 million in the same period of 2018. This is a reduction of 32% and is representative of the changes made in the company since the first quarter of last year. Looking back and comparing the last three quarters of 2018 to 2019, the reduction in cash burn is 25%. And looking at the six months, the cash burn reduction is a full 30%. The Q4 figures are consistent with the increasing efficiency achieved over the past year. The major savings have been from systematic focus on selected and prioritized development projects and the very selective and judicious use of outsourced consulting. This has been combined with more rigorous project planning and budgeting and expenditure approval processes. Our cash and investment resources were about $8.5 million at the end of the fourth quarter of 2019, compared to $10 million at the end of the third quarter. Shares outstanding at the end of 2019 were 26,707,261. It is important to note that we have sufficient working capital available as of today. It carries through 2020 and into 2021. This is assuming no revenues and assuming no material change in expenditures. I just want to reemphasize that. It assumes no revenues from the ClearSign Core burner sales and no revenue from our soon to be deployed ClearSign Eye products, which we do expect to begin seeing results from during this time window. And with that, I would like to turn the call over to our Chief Executive Officer, Jim Deller. Please go ahead, Jim.

Thank you Brian, and good afternoon everyone, and welcome to our fourth quarter and full year results call for 2019. I would like to start the call by giving some commentary on the release that the company issued on January 31st regarding updates on ongoing projects. Specifically, our oil demonstrations in China and initial test firing of the ClearSign multi-burner unit at the World Oil in California. Regarding China, the season has been frustrating, because we have not been able to reap the fruits of our labor. The developments made to our water tube technology have enabled the boiler to run up to 96% rate with NOx in compliance and under the 10 parts per million the objective set for this application. We last shut the boiler down to confirm the internal structure was suitable for ongoing operation and to give our Coreä break over the Chinese New Year when the ability to work how to stop anyway. Over the Chinese New Year, the effects of the coronavirus took hold along in the holiday and late preventing travel by both Chinese nationals and our USA staff to the work site. This inability to travel continues today with the Chinese heating season now essentially over, it is not possible to complete this project and conduct the formal performance test even after being so close. Our Chinese partners remain committed to achieving mutual success. On a positive note, we are able to improve the arrangements of 5G boiler burner demonstration and can now complete this without being limited by the Chinese heating season. At this moment, similar to the water tube project, the fire tube demonstration is also on hold due to the effects of the coronavirus. However, the test site we have secured is with a boiler manufacturer and potential partner…

We will now begin the question-and-answer session [Operator Instructions] Our first question comes from Jeff Feinglass [ph], a private investor.

Thank you. Hey, Jim, congrats on the accomplishment for last year and unfortunate that this hysteria has kept you guys out of fishing in China but hope that resumes quickly. Away from China, just a couple of questions. The first, I know you're not going to – you can't mention who the potential burner manufacturer partner is but you mentioned that we're going to use their test facility. I mean is that – is that meaningful that they're going to allow us to use their test facility? Is that a sign of the kind of their positive outlook on our burner technology?

Back when I was in my previous appointment, ClearSign actually approached me and asked if we will be prepared to lend our test facility to ClearSign. And very distinctly my answer is absolutely no. Because the biggest fear I had was that somehow ClearSign technology will be accepted and proven in the marketplace and get a foothold. So we've been working to develop our collaborative partnership with a major burner OEM in total now really since I've joined the company. Whilst I really can't speak for them joining the dots for them to offer a ClearSign the ability to use their world-class test facility to demonstrate our burners to accompany by ExxonMobil that they very well know is really going to put ClearSign on the roadmap to full commercialization and to be a real player in the market. Actually without speaking, I don't think it takes a lot of extrapolation we really believe that this is a very solid sign that that company truly wants ClearSign to be part of the industry. And of course doing that one would infer that they would fully anticipate that they will be able to benefit from that relationship as well. So to me, Jeff, obviously yes this is extremely important and extremely significant both for the launch of ClearSign but also the fact that it is a requirement for ClearSign to provide burners to the likes of ExxonMobil, so it allows that project to go ahead we're ultimately going to be demonstrating our burners in their facility, so that ExxonMobil gets the chance to validate our burners in their facility for their future use. They've spent a lot of time with us in the past as well. So this is really a cascading benefit to Clearsign, the establishment of us with the burner OEM it gives a solid channel to market. And then for ExxonMobil will be able to demonstrate our products in their refinery. I wish they would not be investing in if they didn't have a very clear picture of what they intended to use our products for in the future. So all of that related it is an extremely significant offering on the part of the burner manufacturer, although I truly believe they are made with our eyes fully open as to the implications of what they're offering for us and what that can do for both us and them in the industry in the future.

Great. Thank you for that. Also kind of related to that, I mean, so we're going to use a test facility and this is going to potentially lead to an order by Exxon for test burners. Can you walk me through the timeline on what that looks like to get the test facility order implementation and their Baytown facility, et cetera?

Certainly. And this if you look at the whole time and to really understand the full context of what this means for ClearSign and our investors, you've got to go back a couple of years. Exxon has been spending a lot of time betting the ClearSign burner technology they've made visits to us out here in Seattle, prior to I joined the company they've also been out while I've been here. They've seen the burners operating throughout its range and put it through its paces and simulating the fuel gases and the operating requirements that they would see in their production units. We've got a lot of the key engineers and a lot of man-hours and time invested in assessing ClearSign technology as a solution for Exxon. They placed an engineering order with us last year, which we have completed and the main focus of that order was to assess the application on the burners into their specific heater at Baytown and to look at the control system, and for Exxon to truly understand what it would take to implement the ClearSign technology. The next stage for them is to place an order. We are talking to them weekly. So, we're getting a lot of momentum. But for ExxonMobil, we fully expect to receive that order very soon. The -- as soon as we get that, we will be doing the final design and actually building the test burners, which then have to be demonstrated in this multi-burner test furnace in total. We will do that as soon as we can get that test scheduled and the burners built. My best expectation at this point is that that will be around the middle of this year. And that is truly going to be a milestone for ClearSign. The ability to…

Got it. Thank you for that. Thanks all my questions.

Thank you.

[Operator Instructions] Our next question will come from David Brown, a Private Investor.

Hi Jim. Thank you for the encouraging words in the call. I just wanted to ask a question since ClearSign is headquartered in what some have called the ground zero for the United States of the coronavirus. And I've seen another company that's just reported earnings and had a huge hit on its stock today that's in the Seattle area. Are there effects of this for ClearSign right now? Or are you seeing anything that concerns you for doing business besides what's obviously happening in China?

Obviously, China is the most immediate and most distinct effect just the delay of projects there are obviously very clear. In the office, we are very focused on getting the projects done and that really requires our employees to be here. We all lean, everyone has tasks assigned. And we do instill all precautions we've been recommended, but work has to go on. I think everyone is totally committed to getting this work done. Just being responsible, we are taking all the precautions we can to make sure we can do this safely.

Great. That's really what I wanted to know. And I congratulate you on the continued momentum that you're building and also saving money over what expenses were in years past. That's showing great discipline. So congratulations on that.

Thank you, David.

This concludes our question-and-answer session. I would like to turn the conference back over to Jim Deller for any closing remarks.

Well, and thank everyone for joining this call. If there are no further questions, thank you for participating and we look forward to updating you on our progress as events occur. And truly very much appreciate your continued support.

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.