Member Info for dustofnations

Hi, WongaFC. QED policy has been that they do not tell us anything until the trial is concluded in some way, as they do not want to make a "running commentary". So, we'll only know afterwards, unless they decide to change that policy 🤷🏻‍♂️.

WongaFC — £100k

"QFI will be paid £100,000 for the industrial trial and phase 2 study under existing agreements with the client."

I'm sure they've eaten through that and much more with the vast delays with covid and customs, including fees for holding the isotank, for example.

https://www.lse.co.uk/rns/QFI/update-on-biomsar8482-and-msar174-projects-d2gp9wpusdztowq.html

Hi 46G.

There will also be $75k per quarter retainer for Valkor once delivered, so over the period you are covering it should be approximately $300k additional funding, should it go ahead in the timeline described (a huge question with that project given the interference from Hoodoo). A useful additional amount of revenue, should that occur.

> 1. Where does the monthly £230k go. It would seem mainly salaries and overheads related to the London office and R&D shed in Essex plus travel etc. So the salaries of about 12 staff is staggering.

Likely a lot of costs relate to project expenditure too.

- Consultants they use for various specialist tasks they're ramping up very substantially (e.g. for MSC trials, for Morocco trials, etc).

- Bought an additional midsized MMU.

- Services from the likes of Wartsila and Aquafuel to use their test facilities.

- Significant costs associated with being a Plc

DaveJi — I think a dual listing onto a US exchange would be extremely beneficial for us. This has been mentioned by the team multiple times in the past as a possibility, but I think they are waiting for the right timing as the markets have been quite negative and/or volatile lately.

Hi TCM,

- II is an initialism meaning Institutional Investor (funds, pension managers, etc). For a bit more: https://www.investopedia.com/terms/i/institutionalinvestor.asp (US-biased source, but it's pretty much the same).

- Expenses are for the legal expenses, costs to run the open offer (including to the exchange), fees to brokers, etc.

- Morocco trials are using a rotary kiln to dry a mined product. A purely thermal application, and will burn about 60 tonnes of fuel.

IIRC, it should be only about a max of 2 weeks from trial initiation to completion, but I think they will need to confirm with customer that they also agree the trial has been a success before reporting back.

Excellent results again. Well done to the whole team, and thank you for the continued hard work.

It's absolute madness that the order book and market cap of the company aren't that far away from each other (£78m order book at end of last month vs £110m market cap, as of writing).

IIRC, there should be an additional $500k once equipment is actually delivered to site, then fees of $75k per quarter unless they choose to buy outright, which they can do for an additional $1M.

Of course, if/when Valkor's clients start using the technology, there will be a share of the value uplift also (I guess somewhat lower ongoing share in return for the large upfront payments).

Encouragingly, there are plenty of key milestones for QED to be working towards in the short-medium term on Utah, even without the revenue sharing aspects... As ever, we shall see, as you all know the complexities that Hoodoo have injected into the situation.

Hopefully some useful progress will be made on that next month, finally.

Given how horrible the markets are and QED's recent gaffes, this is probably not a bad result.

I think they should have more than enough resources to deliver on the pipeline. It's all up to them now. Get it done...

Right, GMAN, it's just a distinction between a special dividend (aka. one-off dividend, extra dividend), versus a regular dividend which is a scheduled event.

https://www.investopedia.com/terms/e/extradividend.asp

One positive I take away is that the team has a strong plan for returning value to shareholders through dividends, so even if the SP continues to be bafflingly low, then we can get value through that avenue.

I do wonder whether floating on a US exchange is what we really need to get the market's full appreciation of HVO's value. Another excellent contract.

MSC Leandra is owned by MSC. https://en.wikipedia.org/wiki/Mediterranean_Shipping_Company

Previously called Seago Istanbul, she was bought from Maersk by MSC (in part) for these trials. It is the same vessel the MSAR LONO was undertaken on.

https://en.wikipedia.org/wiki/Mediterranean_Shipping_Company

Please read the MSC section of recent RNSes for more information on that. https://www.lse.co.uk/rns/QED/proposed-placing-and-open-offer-gzsayckh5gzryiv.html

Yes. HAZOP means "hazard and operability study" and is an exercise designed to use the expertise from all available parties to understand risks, assess likelihood, and how best to mitigate those risk.

That will be conducted specifically against the proposed/actual designs of the vessel trial.

For example:

* Complete failure of specialist diaphragm fuel pumps

** Impact would be that vessel loses ability to navigate;

** Likelihood of event is Lx (i.e. assessed as less likely to more likely depending on manufacturer stats for pump);

** Safety severity is Sx (i.e. loss of navigation likely high severity);

*Come up with some mitigations to reduce likelihood and/or severity

** Use multiple pumps operating in parallel with excess pumping capacity so that navigation can continue either unaffected or in degraded capacity;

** Spares available, prepared, and easy procedures to allow rapidly replacement of failed pumps;

** Crew education;

** Carry 8 spares;

* Reassess likelihood & severity based on applied mitigations

** Likelihood now much lower mathematically as you have 8 pumps in parallel and plenty of spares, and you can survive down to 2 and continue safe navigation;

Totally made up example, but hopefully you get the idea... Idea will be that different parties bring different expertise and perspectives to the table and you can map out the risk and mitigate appropriately.

Once done, if necessary, modifications can be made to software, procedures, or even additional hardware installed.

Here's a nice YT video that gives a very short practical example: https://www.youtube.com/watch?v=6AqtX8oCpKI

There's no such thing as a HAZOP test. JM even replied explicitly during the IMC verbal Q&A section to your question about "HAZOP test" stating that it's not a test. It is a paper exercise and involves scheduling all of the interested parties into a meeting together.

Here's my transcription of the answer JM gave:

"

The HAZOP is done independently of the vessel. That is a paper exercise. It doesn't require the vessel to be in a particular position to do the HAZOP. It can be done remotely.

We expect that to be done early this quarter. Once we've completed it, we'll let shareholders know. It's a paper exercise involving Lloyds Register, MSC, the OEM (Wartsila), and ourselves to get that done. A similar process that we did before with MSAR.

The vessel was undergoing the modifications and changes until quite recently, so that delayed the exercise being completed, but we expect that to happen very soon.

"

This was outlined in detail by PharaohRocher a couple of weeks ago, for those interested in scrolling back to find his useful post on this topic (sadly LSE not great for finding historic stuff).

@NormanForeman — Yes, but you wouldn't be partaking in the fundraising then. Secondary market trades don't fund the company.

Just a reminder (speaking broadly) that your broker's deadline for subscribing will likely be a tad shorter than the official timeline in the RNS and circular, so don't leave it til the last minute to decide, or you may miss out 👍.

It varies broker to broker, but for mine it is "Latest Response Date: 23:59 20/07/2023"

IIs likely already took part in the first fundraising via the placing, and it tends to be aimed at NHW, IIs, insiders, etc.

Because AM is fairly new to the company and didn't hold that many shares, it made sense for him to request shares via the placing because if he used the OO, he would only have been guaranteed 1/8th of his existing holding.

As he massively increased his holding in excess of 1/8th of his old holding, he could have ended up with almost none of his requested increase.

And obviously, he wanted to give a vote of confidence in the company, and make use of a rare opportunity for insiders to purchase shares.

I think there's another explanation: a significant number of people I know who hold lots of QED shares have (either on the forums or privately) indicated they've sold down shares in order to fund their contribution to the OO.

Everyone's share portfolios and incomes are suffering at the moment, so people don't necessarily have cash/stocks to hand to sell down. So, selling and buying back is a decent way to achieve this. That does cause a small downward pressure on prices.

Personal opinion part:

The price difference is small enough that I don't personally see the individual benefit of buying now at a modest market discount outweighing the collective (and individual) benefits of contributing those same funds to the company to try to ensure it thrives.

I do fully understand those who have decided they don't want to get involved at all (as outlined in previous post).

Anyway, you do you! Everyone must make their own decision.

That's absolutely fine Wonga, everyone must make their own decision.

You must instead rely on everyone else to get involved and hope it protects your existing investment; that's the tradeoff you are making, and it is a weighing up that all investors must make. Everyone posting on here likely represents the position of some larger subset of the overall "silent majority" shareholder base than just themselves.

My tradeoff is that I'm putting extra money into the company and if it doesn't work out then I've made my losses a little bit worse. But, I've decided that's a decent decision based upon what I am seeing in the development pipeline.

We understand your position completely and although people like me *are* getting involved and believe it will enable the company to get over the line, I understand completely anyone who does not and you are not irrational for that.