Member Info for Jonnyfro

All,

Please dont lose sight that the agreement with Akzo Nobel or Nouryon is for 2 application areas:

1. RNS 26/7/2017 Itaconix has finalized the first application agreement for bio-based polymers to result from its collaboration with AkzoNobel's Specialty Chemicals business, announced earlier this year. This application agreement involves AkzoNobel's Performance Additives unit developing applications for Itaconix polymers to be used in the coatings and construction industries.

2. RNS 16/5/2018 Itaconix is pleased to announce that following a successful technical and regulatory evaluation, AkzoNobel's Chelates' business has formally notified Itaconix of its intention to enter into a joint marketing effort related to Itaconix's innovative bio-based chelates for use in the consumer and industrial detergents and cleaners markets.

So we've got Akzo exploring Coatings, Construction, detergents and cleaners.

I'll let you all have a look and see what the market potential is but it's certainly not small and Akzo Nobel turned over $1.4bn in Q3 2018 just in coatings

Nice news out this morning
So ITACONIX® CHT™is now being marketed by Nouryon (Akzo Nobel) and New wave

Nouryon are looking at CHT for consumer and industrial detergents and cleaners markets.

New Wave are licensing a proprietary formula containing CHT for detergent sachets.

New Wave are preferred supplier to major private label companies as per http://sunmar.ca/ their website

Provided that New Wave are successful with the formula - sales will be pretty instantaneous

Remember that the formulation is proprietary and contains patented CHT - once customers start using it other competitors to ITX can't copy.

JF

Hi spike My thoughts are quite simple We have 52 patents covering manufacturing to application We have patented ingredients that are 100% biodegradable We have patents that have vastly reduced manufacturing costs We have three agreements with 1. Croda 6bn Mcap 2. Solvay 3. Akzo Someone else can fill in mcaps but they’re bigger a lot bigger than crodas Now take some time to research those three companies and ask yourself why would they **** about with someone else’s tech unless it was game changing? They probably have more chemists than itx have total employees! So why?!?! I stand by 3 points A. They won’t entertain time in promotion unless it’s defendable B. They want to make 50% plus margins C. If looking to acquire ip manufacturing and application is covered So little old itx with 52 patents that cover manufacturing and satisfy unmet market needs are working with these 3 global giants. They are all stock market listed Read their sustainability reports like I posted from croda above. Ip and tech isn’t an issue crystallising sales is £30m pipeline and I’m not surprised They need to crack on and convey more of these oops John snow will drive this Anyone with gnpd should be able to work out who the us company is using Zinador I’m not putting price targets but what I can say is the patents alone for Zinador is worth more than our current Mcap given the pipeline Jf

Hi Jackie You could say I have a lot of experience in these situations and know more than I should but likely few on here won’t believe me. I have heard back from one of my contacts today at Zinador is close to being signed up by another multinational Couple that with the below which is taken from crodas sustainability report https://www.croda.com/mediaassets/files/corporate/sustainability/sustainability-reports/2017-sustainability-report.pdf Read the part about acquisitions.. Croda are experts at taking chemistry and applying it to multiple markets Think deodorising in general not just homecare There’s plenty of people on the tube that could do with zinador! Lol Itx need to crystallise sales Get the revenue flowing Get the manufacturing cost down Get nice margins Then flog the business Croda make an offer now and it’s notbreflective of what Zinadors market potential is Croda will acquire whole companies and they’ll also acquire individual components of businesses as long as its complimentary to their identity Jf

Hi Jackie Interesting post. On the croda itx relationship Bryan Dobson is ex ici and croda Bryan Dobson and Kevin Matthews we’re both involved at oxonica Kevin ceo and Bryan a ned Oxonica has a patented product called optisol that they signed croda up to distribute in 2006 A few years on croda ended up buying the ip from oxonica, manufacturing the product themselves and paying oxonica a license fee Oxonica had boots as a major customer Now we have zinador from itx for odour control Croda are distribution partners Again the croda/Kevin/Bryan link comes true Croda have forestall for odour control But are distributing zinador and promoting at any given opportunity see below from sepawa in October https://www.linkedin.com/feed/update/urn:li:activity:6458351170862800896 So croda have a massive commitment to sustainability so my guess is that zinador offers them more on the sustainability front than forestall does. Croda in their annual reports report % growth in new and patented products to highlight to shareholders what percentage of their sales is ‘ring fenced’ So there must be a compelling argument with zinador for 1. Croda to even consider distributing 2. To replace an existing Croda owned new and patented product Croda are a speciality chemicals company and won’t be trading zinador for 10-15% they’ll be making 50% plus Now look back at the oxonica Croda deal When Croda really want something they’ll buy out the tech especially when the products are 1. Patented ideally manufacturing and application 2. Complimentary 3. Satisfy an unmet need 4. Excellent sustainability profile Finally why I think Croda is such a good fit Personal care Croda has a range called mirustyle for styling polymers Mfp for hold Cp for curling Xhp for heat damage from heating tongs and jarvs(lol) Who else has a patented styling polymer that is 100% sustainable?!? These polymers are low cost so I’d hope that itx once scaled up should be making 70%+ margins. The only variable is the market price of itaconic acid. I’m sure there are other links to crodas other divisions but this is why I have a 7 figure holding and expect either a Croda/oxonica buy out of Zinador or a deal similar to plant impact hire lse:pim This is just on the croda relationship and we’ve got akzo and solvay who are multiple times bigger than Croda at 6bn Mcap. Jf

Yep Croda and Bryan Dobson cropping up everywhere not surprised as he’s ex ici and croda Optisol started out as a principle/distributor with a 3rd party manufacturer and oxonica owning the ip Optisol ended up with croda owning the ip, manufacturing themselves and paying oxonica a royalty When croda want something that fits their criteria such as biodegradable, sustainable polymers they’ll just buy the business Check out plant impact hire lse:pim as an example

Kevin and Bryan have previous with croda Look at the optisol deal Optisol is now distributed and ip owned by croda Look at mirustyle mfp from croda Look at revcare 100ms from itx Look at forestall from croda Look at zinacor from itx which is distributed through croda Croda are a great partner and they don’t like reselling other peoples tech they want it for themselves

How are you typing this message? lol

Morning guys,
had a brief text exchange with Bob McDowall this morning and he said that "Discussions are progressing very welll and that in his personal view to the extent that they may not require an LOI"
Timescales he said "By Christmas"
This has been brought forward from LOI before Xmas and deal completed by March so things do appear to be progressing well.
JF

I just did a fill or kill for 19886 shares
nominal market size is 25k so they should fill you at 10.4p

For someone who was an expert when the pad had to be changed how can you know flow rates so soon?
Surely drilling needs to be completed and then flow tests started

http://www.aaog.com/archive/research/8-Jun-18-AAOG-Djeno-Unchained.pdf

Read this and it tells you!

Appraisal of 2mmbbls gross proven reserves in the R1/R2 sands. This is the lowest risk
target of the well given these sands are already producing at Tilapia. We estimate an
NPV for this horizon of 6.3p/sh, assuming plateau production of 250 bopd from 2021
and net reserves of 1.1mmbbls.
Appraisal of an undeveloped discovery in the Mengo sands assigned a 60% Geological
CoS. We have considered both the Best (8.1mmbbls gross) and High (23.8mmbbls
gross) contingent resource cases laid out in the CPR, which we estimate will require
between five and 13 wells to develop. This gives a risked valuation for the Best - High
Mengo cases of 18-45p/sh (unrisked 30-75p/sh), with peak production in 2022 of 2,000
- 6,000 bpd respectively.
The final target is a deeper exploration prospect in the Djeno sands, assigned gross
prospective oil resources of 15.9-42.3mmbbls in the Best and High cases respectively.
This is higher risk (25% CoS) but also much higher reward; discovery wells on adjacent
blocks have flowed at 5,000 bpd from the Djeno sands. To be conservative, we assume
individual well flow rates of 2,500bpd with four to 10 development wells required in the
Best - High resource cases respectively, giving a risked valuation range of 16-39p/sh
(69-159p/sh unrisked) for the Djeno sands.

https://audioboom.com/posts/7028031-anglo-african-oil-gas-aaog-cadence-kdnc-goldstone-resources-grl?utm_campaign=embed&utm_content=retweet&utm_medium=social&utm_source=twitter

BAcks up what was in the email sent to me

Morning all - asked JB about license renewal as I see a few people posting on twitter about it and below is his response:

Jonathan, I am sitting on the plane on my way to Brazzaville to meet with Government. As it stands we have been told that once drilling operations commence the renewal will be executed. We have hammered the conductor to 80m and will continue on to 110m, we will then move the rig and rig up ready to spud as per schedule. J

All on track and he flies out on Monday.
Previous email said that he would be there for spud so there's still a chance the spud could be late next week.

The speed shoe will arrive in Pointe Noire on Sunday. I will be in country for the spud. James

Speed shoe was the rate limiting step and as per my email from JB yesterday the pad is done ahead of schedule and they need to hammer in the conductor.

I really think JB could be on a plane this weekend/early next week for respud!!

Jonathan, we are ahead of schedule with the pad which was finished today and the boys are doing a fantastic job on site. We will now hammer the conductor and then move the rig which has been inspected and all ok. Everything is going according to our timeline.

I will not be in Birmingham due to us being in the middle of operations but David Sefton will be there representing AAOG.

Regards,

James

Also remember the STARCOM are insisting on a percentage of the commercial value of the contract up front. So whatever they get as an upfront payment can be used, along with the £600k bank facility and any WC they have should help fund the demand for stock.
Avi and MR have made it very clear that there was an offer for more money at the last placing and they turned it down.
Remember that between Avi, Doron and Uri they own 25% of the company so wont to limit dilution as much as possible

F458 have you read my posts from James Berwick and listened to this https://www.**********.co.uk/articles/anglo-african-oil-gas-block-energy-toople-53f8721 Ds talks about an extended shoe and a more integral pad and running casing down for the first few hundred metres

Maybe this will help.. Jonathan, I inherited the original site from my predecessors and having discussed with our technical team it still gave us the results that we required from the well if successful. The rig is being inspected for damage (during pad construction) but not during rig up as it is already inspected and accepted. James.