The latest Investing Matters Podcast episode featuring financial educator and author Jared Dillian has been released. Listen here.
Today’s announcement will change the blueprint for the future of the Great Northern Peninsula. Investing in our forestry sector will preserve our culture, heritage and carve a path for our future ... giving a viable option for our young people to stay. A proud moment for the GNP. It’s also an important day for Roddickton-Bide Arm as we work together to establish a plan for economic development with local contractors, businesses and Active Energy to revitalize our local saw mill and pellet plant!
As MHA and Industry Minister for Newfoundland and Labrador, it is exciting times for the Great Northern Peninsula as Timberland Resources have been granted two commercial forestry permits that enable 100,000 cubic metres of fibre per year for 5 years. I have been working very closely with Richard Spinks of Timberlands, Minister Byrne and officials at Department of Fisheries and Land Resources to advance new industry and economic opportunities from our forest resources. I want to thank Minister Gerry Byrne for approving these permits and the company for wanting to invest in our region. As their plan unfolds, with it will come jobs and investment for communities in our District and benefit the province. I look forward to a productive relationship with the company and continuing to support and attract sustainable investment that will provide the Great Northern Peninsula with long term benefits.
As MHA & Industry Minister, I have been working very closely with AEG, Minister @Gerry_Byrne & @FLR_GovNL to advance new industry and economic opportunities from our forest resources. I want to thank Minister Byrne for these approvals & company for wanting to invest in our region.
Sounds like the Government is very much behind the plan.
Restoration of Trading and Grant of Timber Permits
Mon, 26th Nov 2018 13:30
RNS Number : 5138I
Active Energy Group PLC
26 November 2018
Active Energy Group Plc / EPIC: AEG / Sector: Alternative Energy
26 November 2018
Active Energy Group Plc
('Active Energy' or the 'Company')
Restoration of Trading and Grant of Commercial Timber Permits
Active Energy, the London quoted international biomass based renewable energy and forestry management business, announces that further to its announcements of 19 November 2018 and 22 November 2018, trading in the Company's ordinary shares on AIM will resume with effect from 1:30p.m. today (Monday 26 November 2018).
The Board of Active Energy confirms that its subsidiary, Timberlands International ('Timberlands International') through its local operating company Timberlands International (Newfoundland and Labrador) Inc ('Timberlands Newfoundland'), was formally issued two five-year Commercial Timber Permits ('CTPs') for Forestry Management Areas 17 and 18 by the Ministry of Fisheries and Land Resources of the Crown Province of Newfoundland and Labrador (the 'Ministry') on Friday 23 November 2018. The CTPs are issued with a five-year revolving renewal facility relating to a total Annual Allowable Cut ('AAC') of 100,000 cubic metres per annum, which equates to 500,000 cubic metres over five years. In addition, the CTPs specify certain standard conditions including the species, class and volume of timber that may be cut and the locations from where such timber may be cut.
The Ministry had approval to grant the CTPs on 16 November 2018. At that time, Timberlands Newfoundland had not been granted the CTPs as their issue was still subject to the formal acceptance by Timberlands Newfoundland of certain standard conditions relating to the CTPs. Following meetings between representatives of the Company and the Ministry last week, the details relating to the formal grant of the CTPs (including acceptance of the standard permit conditions) were then finalised on Friday 23 November 2018.
Active Energy Chief Executive Officer, Michael Rowan, said, "The Board of Active Energy is delighted with this outcome and we are looking forward to working with the Ministry in Newfoundland. Further announcements will be made as appropriate."
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014 (MAR).
**ENDS**
For further infor
https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/other/13880527.html
Statement re Press Comment
Thu, 22nd Nov 2018 08:35
RNS Number : 1882I
Active Energy Group PLC
22 November 2018
Active Energy Group Plc / EPIC: AEG / Sector: Alternative Energy
22 November 2018
Active Energy Group Plc ('Active Energy', the 'Company' or the 'Group')
Update re Press Speculation in Newfoundland
The directors of Active Energy, the London quoted international biomass based renewable energy and forestry management business, note speculation in the Northern Pen publication in Newfoundland relating to the grant of Commercial Timber Permits ('CTPs') by the Ministry of Fisheries and Land Resources of the Crown Province of Newfoundland and Labrador (the 'Province').
The Company believes this press speculation is without foundation as it has received all relevant documentation from the Ministry and is looking forward to developing the relationship further.
Members of the Active Energy management are currently in Newfoundland meeting the relevant officials and further announcements regarding the status of the CTPs will be made as appropriate.
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014 (MAR).
**ENDS**
For further information visit www.aegplc.com or follow on Twitter: @aegplc
He has a track record for destroying similar deals
https://www.cbc.ca/news/canada/newfoundland-labrador/gerry-byrne-bulk-logistics-harold-sheppard-botwood-1.4599172
Looking at the share price action movement from yesterday you can see the share price starts to trade aggressively at hitting the bid price from just before 3.30pm and way above normal trading volume activity then continues into the close. This is over 3 hours before the news article is released and is a key sign of insider trading activity which with today's technology and can very easily be traced.
We've heard from Sheila Fitzgerald, Mayor of Roddickton-Bide Arm, how desperate life is for the people living on the Great Northern Peninsular (GNP) and without the resurrection of their decimated forestry industry will lead to families, who have lived on the peninsular for many generations, having to relocate to more prosperous employment areas. Having read through the many ramblings from Newfoundlander it does now seem he might be a little right when he stated Byrne's motivation is to destroy the livelihood of people on the GNP therefore cleansing the area so the Government doesn't then need to spend money on providing infrastructure for the area. I think there will be many heated conversation/emails being exchanged between Byrne and the people he's meant to represent into how and why he has again handled a live changing opportunity so badly. Byrne knew by releasing that statement to the press before speaking to AEG would not only damage their reputation with their shareholders but also cause a massive problem with moving forward with further negotiations. I believe RGS is currently in Newfoundland preparing the groundwork to start the project so why didn't Byrne simply ask for a meeting.
Sorry correct link to Gerry Byrne news article of investigation by his own department into his wrongdoings.
https://www.cbc.ca/news/canada/newfoundland-labrador/gerry-byrne-bulk-logistics-harold-sheppard-botwood-1.4599172
Reading through the statement Minister Byrne gave to the Northern Pen I just can't bring myself to believe that Michael Rowan CEO of Active Energy would have released the RNS last Monday without having received prior written permission from Byrne's Department of Fisheries and Land Resources to do so. Having attended this years AEG AGM I got to see first hand how careful Mr Rowan is at not allowing information to get over hyped. Mr Rowan is a qualified solicitor who previously worked at Merrill Lynch, Charles Stanley and Linklaters, all international companies where he would have been highly trained in how to carry out strict due-diligence and he will be fully aware of the potential financial, regulatory and criminal consequences, along with the damage to his reputation if he allowed or could be associated with anything which could be considered a pump and dump type of operation. Also every AIM listed company has to have an appointed independent Nominated Adviser who responsibilities include making sure incorrect price sensitive information isn't released into the market which could bring the London Stock Exchange (LSE) into distribute with investors. One of the most important tasks is making sure Regulatory News which is placed on the LSE website is fully correct and they will have needed to have signed off on these before they can be released. Now looking into Minister Byrne statement where he went on record and said “The company securities regular takes these issues very very seriously from their home jurisdiction and I hope this does not cause problems for the company, with their own securities regulator, because this is not a factual statement,” I think he knew exactly what a massive problem this will cause AEG and surely the correct Ministerial way of initially dealing with this would be to ask AEG for an explanation before running off to the press. It does seem he's got a track record with previous similar activities which lhttps://www.cbc.ca/news/canada/newfoundland-labrador/gerry-byrne-bulk-logistics-harold-sheppard-botwood-1.4599172ead to him being investigated by his own department
The UK Government is going to introduce new legislation to reduce the use of dirty fuels in wood/coal burning stoves. Stoves have become a big business in the UK with over 1.5 million already installed & around an extra 200,000 being added each year.
https://www.dailymail.co.uk/sciencetech/article-6402031/Wood-burning-stoves-emit-six-times-pollution-diesel-truck.html
Therese Coffey MP Parliamentary Under Sec of State for the Environment recently released the video below explaining how the Government intends to introduce the use of only cleaner fuels.
https://videos.dailymail.co.uk/video/mol/2018/08/17/292432913266527570/1024x576_MP4_292432913266527570.mp4
This plays perfectly into AEG's hands with the introduction of their SuperFuel which could command a price of near £300 per tonne compared to other lesser type fuels currently sold into the UK market.
Government invests $15M in Canada's first integrated wood pellet and sawmill complex
https://www.woodbusiness.ca/industry-news/news/government-invests-$15m-in-granule-777-inc-wood-pellet-and-sawmill-complex-5308
Newfoundlander the current Argus published trading price for the standard white industrial 17Gj/tonne pellet for large power plant use delivered into amsterdam rotterdam antwerp is trading at US $190 per tonne for November 2018 deliveries. Because AEG's CoalSwitch pellet contains 30% more energy density they will at least command that price increase to cover this and that's before they negotiate even higher prices because of the extra benefits their Black pellet contains compared to the white traditional type. That will give them a price near to US $250 per tonne delivered to the agreed European port. Should they decide to sell into the small business/home heating market in the UK prices for the white pellet are currently trading around US $350 per tonne so again allowing for the extra energy density will give them a price around US$450 per tonne delivered to the clients door. I'm sure you would agree this gives them plenty of margin to overcome the higher tricky logistic costs you've kindly identified.
https://www.pellet.org/about/markets
Sorry here's the correct link
https://www.sintef.no/globalassets/project/cenbio/cbws/_cbws_04_biomass-upgrading.pdf
Newfoundlander have you taken a look at the tests Arbaflame carried out with both Vatterfall and Ontario Power. Both these companies conducted long tests which proved correctly manufactured steam exploded pellets can withstand the harsh winter elements and can be stored outside in piles similar to coal. The link below contains the presentation Arbaflame circulated back in September 2015 showing their results. I hope this helps
thhttps://www.sintef.no/globalassets/project/cenbio/cbws/_cbws_04_biomass-upgrading.pdfis
Looks like Gerald Cunningham is making great progress for the Metis Settlements General Council who have been working with the Canada’s Treaty and Aboriginal Group to finalize their Framework Agreement.
https://twitter.com/GeraldCunning17/status/1060359101052420096
Trump admin promises to ‘encourage’ tree burning for energy
Three federal agencies said Thursday that they're working to embrace burning trees and other biomass to create energy in a "carbon-neutral" way.
The heads of the Environmental Protection Agency (EPA), Department of Agriculture (USDA) and Department of Energy (DOE) sent a letter to Congress outlining how they are carrying out a mandate from a law passed earlier this year to ensure that policies "reflect the carbon-neutrality of forest bioenergy and recognize biomass as a renewable energy source."
"EPA, USDA, and DOE will encourage the use of biomass as an energy solution, striving for consistency across federal policies and programs," the agencies' leaders said in the letter.
https://www.msn.com/en-us/news/politics/trump-admin-promises-to-%E2%80%98encourage%E2%80%99-tree-burning-for-energy/ar-BBPednF
Newfoundlander you mention the transport logistics difficulties to get product out of Alberta and to the west cost for supplying the Asian market but have you taken the time to look at the 400,000 tonnes pa operation Pinnacle has recently opened in Entwistle, Edmonton Alberta. Now I don't need to inform you Pinnacle is probably the largest supplier of white wood pellets in the world. Their due-diligence teams are the most experienced at correctly costing margin requirement to make logistically challenging projects a success. I'm also sure you're now aware of the superior characteristics the AEG CoalSwitch product contains compared to the conventional white pellet with it being at least 30% more energy dense, hydrophobic and can be manufactured from forestry wastes rather than the costly heart wood of a tree. These along with many other advantages make the AEG CoalSwitch product far more cost effective to produce, transport and gives it's customer massive advantages to use compared to the white pellet. Now I'm sure if the World's most successful pelleting producer can make a success in Alberta with their current proven white pellet business model then AEG's CoalSwitch model will be just a simply walk in the park/forest.
https://pinnaclepellet.com/