In my final year of undergraduate study, I worked in a group of 4 people to design a chlor-alkali process plant. One of the interesting parts of this process is that you produce chlorine and sodium hydroxide. We needed to make sure that our process was positioned such that there was sufficient demand for both the chlorine and the sodium hydroxide.We obviously went for a membrane cell design because the other main types (mercury and diaphragm) use mercury and asbestos respectively. Sad!
After the usual jokes about supplying chemical weapons to dubious customers (which doesn’t sound so funny anymore), we settled on Australia. We would sell the chlorine to a PVC manufacturer in Victoria, the NaOH to the mining industry for bauxite processing and we would use the reject stream from a reverse osmosis desalination plant. Concentrating the brine solution was one of the trickiest parts, so it seemed helpful to have the hard work done for us, and it would reduce the damage done to the environment by the desalination plant.
However, it wasn’t that simple. The RO brine wasn’t concentrated enough! Thus, we opted to bump up the feed concentration using electrodialysis (I believe the recycle brine stream was concentrated using multi-effect evapouration). Such an approach was used with a plant in Kuwait (now called Al Kout Industrial Projects Company).
Despite using an innovative and efficient set-up, the profitability was very sensitive to the price of NaOH. If the price is too low, you may as well not bother.
I was thrilled to discover that there was another application for the chlor-alkali process: Te Kiri Gold magic water of course! You don’t even need to worry about concentrating up the feed solution, just dunk your electrodes in and go! Then approach vulnerable people, who will believe that it will solve their problems. Even better, get some rugby has-been to endorse it. Then charge $100 for 2 litres.
So our Victorian chlor-alkali plant used 5.9 million t/y of RO brine . Of that, 5.2 million t/y of that was electrodialysis dilutate, with a NaCl concentration of 32 g/L which I presume was dumped back into the sea. Instead of doing this and have to pay some kind of dumping fee (which we didn’t consider in the cashflow analysis) let’s make some magic water! As a volume, that is 5.2 million L/y. Given that no separation is required, the only operating cost is that of the electricity. At $50 per litre, the plant could make $260 million/y in revenue from magic water alone! The revenue from the chlorine and NaOH was only $160 million/y, and these were also much more expensive to produce.
There are a few issues to consider. First is demand; while there are enough people to defraud to make it worth the while of the shareholders, there aren’t enough people to defraud on such an industrial scale. The second is efficacy: MAGIC WATER DOESN’T FUCKING WORK! The third is ethics: could you live with yourself if you knowingly sold ineffective products that were giving people false hope? The dumbarse who manufactures this product doesn’t have this problem as his knowledge is woefully deficient. His claims of wanting to help people would be more believable if he wasn’t charging such an extortionate amount for it. Maybe he’s just that bad at business and that is what he needs to do to cover his costs.
I’m disappointed by the media coverage. The Stuff.co.nz articles are clearly aimed at the already sceptical, who will read the first few lines and snort with laughter. However the more easily misled may not pick that up. The expert criticism of the product only features at the end of the article where it’s less likely to be read. The Herald is worse, their “investigation” is a one-on-one chat with the manufacturer whose incorrect answers to the reporter’s questions go unchallenged. One Herald “article” is nothing more than an anecdote from one of the scam victims. The media has a responsibility to protect the public and needs to take a stronger view against Te Kiri Gold, which should be shut down immediately.