Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
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Apologies should say Skeletor - predicted text hey
Skeleton you cut short the life of a great share - what on earth possessed you to bury this in the graveyard with those who succumbed to a death spiral. Commiserations all round, it was too young to give up the battle on. It was time to start digging, in fact digging really deep . . . not to commit it to a past life but to find your reserves and hold your nerve. I think you should gather your bones and have a bash at bringing it back to life in your portfolio. Jump back in tomorrow morning, ride the storm and watch the dark clouds disperse . . . you will enjoy the journey ;-)
1 years into the future was supposed to be 10 years into the future!!!
Try - What makes you have a forecasted valuation Mcap of £400m for a company that if they hit their own forecasts will mace circa £30m rev this year and a single digit £m Ebit loss? It is not 2021 anymore where companies get valued on their 1 years into the future profit targets on a P/E of 10.
When the interims come out later this summer and they haven't advanced from LY in revenue growth but claim it is H2 weighted and reiterate there will be an EBITDA loss I think we will see an SP lower than today (no matter how unfair that may be).
I do think that early 2023 if we get a positive trading update and we are looking at a first half of EBIT positivity as well as a better market that there is huge potential here but by that I am thinking a return to the early 2s (£180-£200m mcap). It is also very believable that this will one day be 5p or more but if your investment thesis has this as a 12 month target then you have based your investment decisions on poor foundations in my opinion.
I obviously hope that the SP stagnates/falls back - partly to make me feel better about my decision and partly to offer me an opportunity in the future to change my decision. I recognise that by being out I ma rising missing out on 30%-50% gains but am safe guarding against 50% losses (back to 0.5 in the short term) - This also excludes potential gains I make with redeployed capital elsewhere (or losses I suppose!)
Everyone has their own level of risk/reward but I feel with such poor market sentiment generally it can be difficult to stay invested with confidence but this stock has a lot of upside and the collaboration with Wood and others will see Eqtec grow substantially in years to come imho.
You'll kick yourself if you watch it go into the 1's? What on earth will you do when it gets to the 5's in a years time and a lot higher than that in the not very distant future?
I have sold.
Gutted I got greedy and didn't take the high 2s 18 months ago but as I hovered over the sell button I just needed to remind myself how I felt when it went to 0.45/0.5 a few days ago. I would have kicked myself if I let that happen again. Likewise I will probably watch it go into the 1s now and kick myself for that too...
I do think we are woefully short of financial close vs projects starting - sounds to me like the onslaught of news is going to be more projects starting as opposed to my preferred cash in bank type news... I also suspect that we will take a hit on our loan with Riverfort converting to shares in August and I have been involved in a few too many death spiral finance stocks recently (I am sure this is too dramatic for what will happen here but I would expect the SP weakening if the loan converts to cheap shares).
I also note from the FY Results that the aim for 2022 FY was a "reduction in EBITDA losses" as opposed to a first year of EBITDA positive as many tout on here. Not sure how widely that got picked up and the SP rose on the day of Final results but I have not been able to get that out of my mind - Especially when 2021 was at one point hoped to be EBITDA positive.
On the positive side I think the board are pretty good and there is some (very) long term growth to be had here.
Good luck
With a 1.2 average and more invested here than I can face being honest with the Boss about, I needed yesterday!
A speck of positivity on an ocean of depressing charts at the moment.
hopefully some concrete news takes this well past 1p, onwards and upwards
I do feel we have turned the corner at long last. The interview was very positive and news is imminent over the next 2 weeks.
Morning all,
Yes with very little cheer anywhere else and sinking values, EQT is all going in the right direction and will doubtless be attractive to those trying to find somewhere for their money where there are there are real prospects, both before year end and in future.
Soon be last opportunity for a good price before EQT becomes popular with the mainstream.
Good positive interview, sounds very promising......onwards and upwards!
Very interesting!
I was also with Petrofac & made loads of profit.
I bailed out well in time before trouble started.
I was also a regular investor in Wood group.
Now I have a huge holding in EQT, lot more than in PHE, which I hope will take off soon with financial closure of two more projects this year.
Well a few more days like today, with a 26% increase in the SP, in the coming months would be welcome to everyone :-)
Worth remembering that with Northfork community - they have gone from quite a large equity owner to perhaps minority equity holder in exchange for extra funding and ownership from Eqtec, so the benefit to the community is now jobs, power and biochar where as before they were in line to get a larger share of the profits. From their accounts, they value their equity stake in the project currently at around $2m, not sure what the value will be on completion. They could stand to lose even more equity in the project if the comvertable.loan is fully drawn down. Some details in this RNS
So they will be annoyed at losing their share of the project, but everyone has had to take a hit with commodity prices, covid and forrest fires delaying that project, along with potential micro management issues out with Eqtecs control until more recently.
-------
"EQTEC have just announced that it will be investing an additional £2.1m in the North Fork project In California to increase its equity from 10% to 49%. This forms part of EQTEC’s wider strategy of ownership in projects to accelerate their development, both in terms of capital and expertise.
North Fork will be a 2MW biomass to energy plant that will help process forestry waste to produce energy and biochar.
North Fork has faced delays owing to wildfires and COVID related equipment delivery delay. The company now report that core EQTEC
gasification equipment is on site and the foundations of the plant have been laid.
EQTEC have also provided a $4.5m USD convertible loan facility to fund the plant development."
https://www.lse.co.uk/rns/EQT/additional-investment-in-north-fork-project-2o5ngc07ixqrjsq.html
"This month, the Company also reached agreement with NFCP and Lapis to provide NFCP with a two-year convertible loan facility of up to US$4.5 million (£3.3 million) (the "Convertible Loan Facility"). The Convertible Loan Facility will accrue interest at a rate of 10% per annum, payable annually, and the balance outstanding (including any accrued interest) will be convertible at the Company's option at the earliest of: the maturity date, any default or any takeover. If the Convertible Loan Facility were fully drawn down and converted into equity, it would result in the Company's taking a controlling interest in the Project."
So if the loan is used Northfork community lose a bigger slice of their ownership. Hence their lack of enthusiasm
Cheers aandi,
Well I reluctantly did grumble on here the other day. I feel it hugely important that Eqtec keep on top of updating with progress. I give North Fork as an example . . .
April minutes, ‘not much happening’
May - no minutes
June - update, no report and biomass always listed under ‘old business not current (the way they write their minutes)
Anyone doing their own research to potentially invest is forming what sort of opinion reading this and on a project too that we’ve ploughed more money into.
They need to be on this straight away - give out their own update - not just a picture with some bloke in a hard hat ;-) I’m sure things have happened in 3 months and if they haven’t why? In fact they’ve previously released an RNS because of poorly worded updates by others. It shouldn’t get to that point.
The other day we get a tweet about an event instead - great for the company to be recognised for, but the negativity generated by periods of silence, particularly when the markets are so volatile, begins to gain momentum and does it’s own damage.
It was a really good interview today and much needed, but I do think more attention needs to be paid to situations such as the one mentioned. This interview covered a whole host of issues and I’m sure was received far better than keep re-tweeting about the capability of the tech - which as one poster mentioned ‘sounds desperate’
I’m a long term PI, in fact I started with Wood and Petrofac and I have been here for quite a while and certainly will be for years to come with this share. As said before, hugely appreciate the detailed posts and research that some of you put out. Think I should join the telegram group.
Podcast starts off talking about the general market slump in tech companies.
https://m.soundcloud.com/user-596578261/vsa-capital-technology-transitional-energy-300622
@ 5mins28s, Of-gem have announced £20billion funding for energy storage and power grid upgrades to improve resilliance.
https://www.ofgem.gov.uk/publications/ofgem-reveals-landmark-five-year-programme-deliver-reliable-sustainable-energy-lowest-cost-consumers
Re partnership with Wood:
EQT has been meeting with Wood several times a month since announcement in November.
Included is a formal meeting once a month with Wood for 3 hours where they review a joint business plan that has a pipeline of projects.
Almost 20 opportunities in this pipeline across the UK, US, France and Italy.
EQT have visited Wood's Vesta technology HQ which is in Milan.
Wood have just visited EQT's Barcelona offices in the past week or two for detailed technical planning sessions on specific projects.
EQT hae now announced Wood's participation in the Southport project but this is not likely to be a one off as other projects are coming along as well.
Beyond Wood we have a range of Tier 1, typically multi national technology partners but also delivery partners and we will be announcing these. Hopefully as early as next week or in the next 2 weeks we hope to announce the next one.
And we should have a steady stream of announcements between now and the end of the year of new very exciting partnerships.
Some of these will be collaboration agreements with the intent to pursue projects but some of them will be announcements onto a project - as with Black and Veatch - followed later by a potential collaboration agreement.
We are beyond making good progress. We are accelerating our projects.
Hi BNino, that wasn't aimed at you, absolutely not... It was a more general observation that statements have been made quite often here on this board along the lines of- "not reaching financial close on Billingham the flagship project was the downfall of eqtec and the reason for the continual drop in share price" - and many similar statements.
Even although the drop in share price is not only happening to Eqtec
More good news to come then......the market pleased with the plethora of non dilutive funding options and transformative hydrogen market post Ukraine invasion.
aandi/stevea171
what I said was the following . . .
‘You can claim to have the best technology in the world, the biggest order books, a large pipeline, but if you struggle to get just one flagship over the line, those decision makers look elsewhere for solutions and collaborations’. No particular flagship mentioned, just getting one over the line would be good!
Delays with Carbon Sole projects in Ireland and Billingham which some private investors keep calling the flagship project but D.P keeps reminding us that all projects are flagship projects,
Cash required to incubate projects if SPV's can't be sold as quickly as we would like meaning that we might get less projects reaching financial close in 2023 than we would otherwise like,
No control over supply chain delays - it is a global issue out with Eqtecs direct control and has already delayed Northfork and the first 0.5MW greek project by a year or more already,
Continued AIM sell off, technology growth companies are all fighting a head wind with funds selling out of small cap shares and some institutions even shorting ITM and CERES.
Go on aandi give us the downside as you see it.
Ceres power financial overview - CAGR 58.1%
https://drive.google.com/file/d/1tjcCrsHjUA3-KpiPs7DhDYy3Fqq3yHbS/view?usp=sharing
ITM power financial overview - CAGR 17%
https://drive.google.com/file/d/19p4Dk75OypbjLyJdy0HcFTXhwao2Pa_x/view?usp=sharing
Powerhouse energy financial overview (still to be updated with end of year results) - CAGR N/A
https://drive.google.com/file/d/1GSkGYkSTTpU8I41GSl4aSk8dvqYdYq8l/view?usp=sharing
Velocys financial overview - CAGR 41%
https://drive.google.com/file/d/1IN_SMPU47odLX-YzQ5uaCPVn6HpAGv99/view?usp=sharing
Eqtec financial overview - CAGR 195%
https://drive.google.com/file/d/1Jk5bmWh_oyxCwt6ybPYhh0oxvg2dU_vl/view?usp=sharing
It was a very positive but realistic interview. Patience continues to be required for at least this year.