Im scott mcgrew. Comes to American Energy independen independence, we have tons of natural gas. Bad news, natural gas is not the kind you need for your car, without significant modification to the car but what if you could modify the natural gas . A San Franciscobased startup called sell lure ya is turning natural gas into gasoline, so inexpensive it can manufacture gasoline for 1 a gallon. Investors love the idea. The companys raised 100 million in funding. Ed dineen is ceo of sell lure ya. 35 Years Experience in the petrochemical business, joined by david baker of the San Francisco chronicle and Hannah Kuchler of the financial times. Considering i got a c in chemistry, talk to me about is this chemistry is this sort of alchemy, something nobodys ever done before or somebody who knows petrochemicals gonna say i know what he is doing . The chemistry is actually old. Its been around 40 years or so. And the industry worked on it 10, 20 years, you know, so 20 years ago and was not successful in developing the technology. So we have succeeded by new innovations, nanotechnology, high throughput screening, applying existing technologies to that same problem and as simple az it sounds, thoroughly defining the problem, so its been around but sal lure yas been successful in breaking through and developing the technology. Oftentimes, technology, when it moves forward, doesnt move forward with a eureka moment at a chalkboard. So, this is a stepbystep, we are just applying more modern technology to something somebody tried 20, 30 years ago . I think thats right. We have been at this about five years. We have been adding innovations throughout those five years. The core invention is the catalyst that does the conversion of the gas to the fuels or to chemicals. But there have been a host of incremental improvements that we have added to it over that time and we will continue to do that. So, how soon could it be in sort of gas stations across the country . I think, well, we are starting up a demonstration unit in texas at the end of this year, in terms of actual commercial production, i think you are looking at 2017, where we might start to see fuels or chemicals in the marketplace. You know, the same fracking boom thats giving us all this natural gas is also giving us a lot of oil that we didnt have before in the united states, a lot more domestic production. Do the Oil Companies actually have an incentive to go ahead and make gasoline out of natural gas or is the oil cheap enough that they would want this for something totally different . The Oil Companies, i think, have an incentive because they generally produce gas when they produce oil. So, having a technology that would allow you to upgrade the value of that gas is very attractive to them. Often, they are finding gas when they are looking for oil. And one of the one of the problems we solve is roughly 50 of the worlds natural gas either goes unused, because you cant get it to market or it gets wasted and flaring and things like that. Thats why the saudis perhaps, the saudis one of your big investors, right, which seems counterintuitive, this would be not using oil to make gasoline, they would hate that idea, but what youre saying is that there is a tremendous amount of natural gas thats either a biproduct or found at the same time where they could be monetizing that. Exactly. And the saudis are also saudi aramco is also interested in the chemical side of what we do, so we are looking to diversify and expand their business into the chemical sector. We give them a way to turn natural gas into chemical aramco, the saudi stateowned oil company . Thats correct. David . We have had a lot of efforts to develop fuels that would have lower Greenhouse Gas emissions overall and some of those efforts have done okay. I mean, we all drive on fair amount of ethenol these days, blended into gasoline, but others have really kind of sputtered out and died. This, what is the Greenhouse Gas profile of this compared to regular gasoline in this process produce less Carbon Dioxide . Definitely. Whether talking about an oilbased fuel or an oilbased chemical, its roughly half of what you would see from the oil based processes. Half when you make the take the natural gas and make it into gasoline, then theres energy expended there, right . Well, our process and one of the reasons its lower in co 2 emotions is we actually generate energy, so our product is fuel plus energy plus water and any process that im aware of to make a chemical or fuel actually needs to put energy in. Right. But what im asking is, and i think what david was also asking and maybe i just didnt understand it, is this idea that if youre going to take something to make something that is a fuel, but expand energy in the same time and corn is one of these things, by the time we run it into gasoline, grow the corn, drove the tractors, drove everything, it was about a wash. But obviously, not a wash in this case. In this case, apples to apples, youre roughly half the emissions profile. Reach the consumer as cheap as we were talking about earlier or is it gonna be sort of at the same price as regular gas . Trying to predict the pump price is very difficult but the one thing i know we will be doing is creating new competition in the marketplace. Any business i have been in, when you have more competition, you are going to see lower prices for that particular industry or that particular marketplace, so, i think its good news for consumers. I cant tell you exactly what the pump price would be, but new competition should create better prices. Weve heard a lot out of president obama in the last couple of weeks about wanting to trap fugitive methane emissions, methane emissions coming from oil and gas operations and getting into the atmosphere. Is that kind of government effort down the road something that could help your company . I think it could. I think most of it will be driven by pure economics, so, if we go out and take a gas thats being flared and converted into a fuel, essentially, our raw material cost is zero. Same thing if we go to a landfill and take the methane coming off a landfill and convert it its zero. So, theres a very strong economic driver there, stronger Environmental Policies might encourage that but we believe the economics will win out on its own. I apologize if im coming out of your expertise level but in the sense of trying to find green energy, we have natural gas. Would it make more sense if we are trying to get that natural gas fuel into a car to power an electric plant which then powers electric cars, is that more efficient, more green than what youre doing . And again, i realize youre not necessarily an expert on power plants . Well, i think thats certainly a viable use for natural gas but often, the problem is how do you get it there . So we bring a technology that allows to you get at 50 of the gas that you cant bring to a power plant because of logistics, et cetera. So i think both will have a role in the marketplace. The fuels we make are cleaner than what you get out of conventional so theres a benefit there to the environment and as we said, the cost and co 2 emissions are roughly half. Ed dineen is the ceo of sul lure ya. We appreciate you being with us. As you continue to grow yourant floridas, wed like to have you back to learn more. Low of to come back again. Thanks for being with us this morni morning. Everybody agrees we need more Women Entrepreneurs, how exactly we get them, a bit more complicated. We will dive into that when press here continues. Welcome back to press here. Theres a growing effort in schools to encourage girls to learn science and engineering. You know that. What you may not know is its working really well. Science fairs report, in many cases, more than half of the entries are from female students. So, that maybe the solution from the bottom up. Now an effort to work top down. An Organization Called the pipeline fellowship is working to teach women, wealthy women, how to become angels, private investors who give startup money in exchange for a pest of the action. Here you see one of those boot camps. According to one study, only 19 of angels are women. 4 are minorities. Natalia owe Berta Noguera is the head of pipeline fellowship, a list of more important people, i dont know where it is. You seem to be on the list of every sort of top 20 most powerful this or that, so, thank you for joining us this morning. Let me ask you about this gender thing. I saw a study and im sorry i cant quote exactly where, the gist of it was a panel of men are more likely to give and invest money in a male presenter. A panel of women are more likely to invest money also in a male investor. So, does creating a team of women investors solve anything . That study actually had tons of people involved, harvard, m. I. T. Good study. All right. Yes. Thank you for putting an asterisks on it. And it was really striking because we talk a lot about it in terms of pattern recognition. That really sterile term that we hear a lot. Simply what that means, people just invest in people that look like themselves, people who are friendly, familiar and safe. So given that, my thought was lets turn it on its head, this whole pattern recognition, invest in people who look like ourselves, get more women, people call the investing side doesnt necessarily explain why women investors invest in men, right . Well, its because of the stereotypes this looks like a successful startup . Exactly. Yes. So, creating that space where we are framing the conversation as, we are getting more women to invest specifically in Women Entrepreneurs that start. Whats great is that we launching 2011, we have graduated over 80 women and then what happens after they have launched is that they have continued to invest. cause thats whats success. Sure, this he can go through our i like to call it like our shark tank boot camp and there are tons of Kevin Olearys out there, we need to get barbara cork rans and more women of color as well to become sharks. And what has happened is that they learn by investing in Women Entrepreneurs, several graduate, this is really what im passionate about im going to continue to invest in Women Entrepreneurs, not necessarily social ventures, they can be pure tech. Others have said, you know what, my focus is pure tech. This is really just how we grab their attention and then they got activated. Sure, thats great. More women involved in tech both as founders and as funders, but does this mean the male species are beyond hope . We have heard so many bad storiesing not just in terms of not funding but stories of sort of Sexual Harassment and making people feel really, really uncomfortable . I mean, surely we should be addressing that. Im so glad you brought that up, because theres a report that came out called the diana report with babson and it actually mention that the stats of how many women vc partners exist have declined. You know, its 2014 and there are fewer women vcs and also mentioned the vc firms with women, vc partners actually invests in more Women Entrepreneurs, so we are having women vc partners decline and that is actually one of the indicators that Women Entrepreneurs will get funded, were at a loss. I will bring up a very dated study, which is unfortunately still accurate by i will lumme nat ventures a vc firm and it was a white paper from 2000. What the white paper said was the assumption is that when there were women vc partners, those were the ones who would be shepherding, you know, the Women Entrepreneurs through the process, you know, like they were the one slsing their back. Turned out that the women vc partners were simply a symbol of the culture, of the firm. And continue to invest in primarily male what we were talking about earlier . No. Really . There was an increase in the deal flow and in the consideration of Women Entrepreneurs because what the women vc partners showcased was the culture of the problem. They were able to point out had respect for women enough respect to invite them to be vc partners at, you know, at the firm and there are actually some guy partners at these firms who were shepherding Women Entrepreneur deals. So, who are these angels . Who are the people, the women coming to your boot camp to learn this . What kind of backgrounds are they coming from . So, there are at least three reasons why they are very diverse, the first one, put it out there, lgbq latina, diversity is important, i get to set the agenda, im boss. The second reason super diverse, give you stats on who it is, is because the way that the Program Works is group learning. So im very interested in making sure people come from diverse perspectives, accountants are great, having a whole group of accountants is kind of boring and then the third reason is that im a huge believer, we talk about angel investing and the definition being smart money, you know, so, not just Financial Capital that an angel could potentially bring to the table, the Human Capital and the social capital, the skillsets that they could bring, the relationships and contact and so the more diverse the group, the more of the skillsets, the broader the skill sets and also the broader, Deeper Networks that they can bring. So, in terms of these over 80 women who have graduated from the program, we have had tech startup employees, people working at pandora, semantic, ebay. We have had women who serve on their Family Foundation board. We have had women who have left the workforce and to start a family and they are still interested in being active, they just need something with a flexible schedule. Guess what being an Angel Investor is pretty flexible and we have also had successful entrepreneurs who are now interested in getting on the other side of the table and learning how to be an angel themselves. Natalia, have you tracked at all the success rate of your investments or your angels investments, keeping in mind the 5 success rate would be phenomenal in Silicon Valley . Yeah, thats really great question. So generally an exit in the angel world, its five to seven to ten years down the line. Just too early . We are early. I do have to say that when someone asks me, well, are any of the companies that have been funded are they still running and i was like, actually, yes, because we forget still running is not a bad metric. Thats right. He forget in the first six months, four out of five companies fail. Okay. Whats your statistic on that . So we have the statistic that i just quoted . I missed it, tell me again. Four out of five how Many Companies out of pipeline fellowship are still running . So we have reached a milestone recently, we have over Ten Companies that have been invested and they are all still running. So, i say thats 100 . It is 100 . Are they in any particular sort of subsector of tech . I know that, for example, not to be too cliche, i know theres a lot more female entrepreneurs in the ecommerce, for example . We will have to make that the last question. Go right ahead, please. I launched this because i built a network of Women Entrepreneurs in 2008 and grew it from 600 to 1200 within two years and what happened was i realized how hard it was for them to secure funding a as forprofit social venture and vanessa hurst, cofounder of code montage, she once asked, should doing good be the only way to do a profit and instead, these women social entrepreneurs who are finding such a tough time securing the capital, so, what we look for specifically are women for profit social ventures, a couple of examples of companies that have been invested includes day one response, they are based in the bay area and they created a water bag that purifies water and so they work with Disaster Relief organizations, such as the red cross, to get this product out to places that have had disaster situations. Natalia, i got to break in, my producer is telling me thats all the time i have. I will time and say your angels would invest in something maybe something that was not socially beneficial, not socially negative but made money . It has to be both, doing well and doing good and who said that it has to be mutually exclusive . You are the boss. Say what you want. Natalia, thank you. We crunch a bump of numbers to find out the best place to live in San Francisco based on price and cool factor. The neighborhood you will wish you moved into when press here continues. Live in San Francisco based on price and cool factor. Price and cool factor. A recent examination of rental prices nationwide shows San Francisco is now the most expensive place to represent an apartment. San francisco even more expensive than manhattan when taken as a whole. New york still has a couple more expensive neighborhoods. The apartmentfinding services, zumper, says a onebedroom apartment in San Francisco is 3,100. Ceo at zumper, we asked him to crunch more data for us and tell us the neighborhood in San Francisco thats somewhat affordable, thats going to be the next cool one . Somewhat affordable may shock our viewers i dont you the side the bay area. If you look toward the west of the 7 by 7, you look to the Richmond District or the outer sunset, clearly as you go west, rents tend to drop. Comparing this to now it is even 100 higher than when we ran the numbers last month, 3200 median rent for a onebedroom apartment across San Francisco. Look at richmond and sunsets, lower 2,000s or upper teens but its still against the