Member Info for expatbrat

Loosely’s point on sole sourcing is key. Most other developers can pick and chose their technology providers. They pick and chose them based on the technology performance, price and long term after sales support (such as catalyst supply as Loosely pointed out).
This probably explains why Fulcrjm chose Johnson Matthey and off the back of that was able to secure the funding the build the plant.
Velocys has no choice but to use its own technology in a SAF plant. With no other commercial references, it’s likely nobody will select Velocys FT, until Velocys themselves can demonstrate it in a commercial plant of their own.
Johnson Matthey has the balance sheet to back up its commercial and technology claims, in the absence of a commercial plant. The Fulcrm plant is now running, validating Johnson Mattheys technology. Velocys has neither a commercial reference or the balance sheet.
Why would any developer, given the choice, pick VLS?

The issue VLS has is its balance sheet. A company that effectively runs out of money every year and needs repeated shareholder bailouts to remin a going concern, isn’t the type of supplier a develop will want in their project. A fuels project that uses VLS technology will carry additional risk due to the poor balance sheet. Others in the market (johnson Matthey, Sasol) have huge backing which provides confidence to developers on the suppliers ability to actually deliver their reactors and most importantly, still being around when they have issues in service.
Unfortunately, VLS unstable track record won’t help them….

They were the only British winner, so of course they’d get the most. They are probably the one company winning funds, in need of most help. But, they have this onerous condition for match funding.
My prediction? They’ll get some match funding from British Airways, but it won’t be enough to match the full grant.

They need match funding for their grant, otherwise it’s downhill route to (net) zero. They have until April.

But I’m consistently correct in my statements and informed views. The share price validates it.
No material progress is years, whilst others have either built plants (Lanzajet), secured strategic investments (Fulchrum), the list goes on.
Velocys has a high salary burn and no sales with the only work they are doing being funded by the taxpayer.
How long until the next placing?

….and their respective balance sheets. This is why VLS will struggle to sell their tech.

“ it is reasonable to suppose that they would not want to supply his new company as a direct competitor”

Do you really believe VLS is in a position to chose its customers? The irony is that Schubert appears to have developed a project to a point of licensing, which is more than can be said for VLS own woody biomass to fuels plant.

VLS clearly has something that prevents investors getting comfortable with getting on board, or indeed placing orders for equipment. The only VLS customer at present is themselves, which clearly isn’t sustainable.

It doesn’t get any more telling than this.
Paul Schubert used to work for VLS. He left to set up his own waste to fuel company.
He’s now chosen VLS direct competitor’s FT technology for use in his project.
.
Given Schubert has seen both FT technologies side by side and went for johnson Matthey, tells you all you need to know.

https://matthey.com/jm-and-bp-strategic-biofuels-project

Do you honestly think that I meant VLS physically build plants?!? Of course they don’t.
However, they are the developer and funder of said plants and given they can barely raise enough money to pay themselves (handsomely), I doubt their ability to raise half a billion quid to build a plant - in which to use their catalyst.

The time has never been better for VLS. Everyone else is raising private capital yet VLS can’t seem to retain interest. Remember Shell ? Remember Worley?

Unfortunately at this rate, VLS plants are decades away. They’ve never built a commercial plant and have no experience in doing so. This lack of experience is and will continue to be, the Achilles heel that will be hard to overcome.

This share won’t go anywhere unless the grant match funding is secured.
No match funding, no grant. No grant, no progress.

VLS does not have the balance sheet to be a credible supplier to developers. This is why Sasol, Johnson Mattey and Shel FT are getting all the traction in the SAF world.
The only hope for Vls is for their IP to be bought out in full - but as most others already have their own tech under deployment, that’s unlikely to happen.

The most likely near term event is another placing.

Thurg. Your responses are normally better than that.
Given VLS’s minnow status in its field, it’s unlikely they offloaded these prolific service providers. More likely te opposite. It’s only a matter of time before Bechtel walk too.
Must try harder.

They’ve clearly all walked off the job, due to frustration with VLS’s lack of ability. VLS clearly talk the talk, but when you strip it back there is little to no real progression toward meaningful revenue. SMBC and Worley probably don’t want to commit resource to a company that doesn’t reciprocate. How long before Bechtel do the same?

Maybe what you should really be asking is why Bechtel is now flavour of the month?

Not so long ago, you muppets were getting excited about the prospect of Worley being VLS’ world dominating contractor, walking hand in hand into the SAF sunset together.

Perhaps Worley got sick of waiting for VLS and kicked them to the kerb. Step up Bechtel to take their place. It’s these types of constant changes in tac that investors hate and probably explains why VLS does such a poor job in attracting strategic private funding.

You lot have short memories.

https://www.velocys.com/2020/02/03/velocys-appoints-worley-as-engineering-partner/

This agreement isn’t worth the paper it’s written on until VLS secure the Match funding that is required to actually use the £27m grant that will pay for this new work package with Bechtel.

It sure does, and not in the way you’re suggesting.

This is terrible news for VLS. The RR project was the closest development to commercial scale operations and would have been a showcase for VLS and their reactors - what they are essentially working toward.
Back to square one.

Given Fulchrum has already managed to build a real project and get it working, not just threw together a computer generated image of one, is perhaps a reflection of the amount of support they need ?

Forgot VLS trying to make this work, whilst paying executive salaries on placing revenue.
It appears a real SAF firm has cracked the code and spent their money on actually building stuff:

https://www.greencarcongress.com/2022/12/20221222-fulcrum.html