Member Info for KaChing

Solar in Chile, about to take off? http://www.pv-magazine.com/news/details/beitrag/chile-reaches-873-mw-ac-of-solar-under-construction_100017617/?utm_source=twitterfeed&utm_medium=twitter#axzz3N0i1dmqI

I bought a few this morning on the back of the update, I'll be giving it a good look between now and the New Year to see if it's as good as it looks from just a quick glance

You have a good one too and all the best to you are your family, got a good feeling about 2015 on a 12 month view for some of these shares that we are in ……… we’ll see! I’ll be turning the old PC off tonight for at least 3 days …… actually I was ordered! lol

Yeah, that was mine ...... as ever I've no idea about what goes on with the SP, I leave the worrying about these things to others, lol I mentioned this on the WSG bb, take a look at VENN, decent update today, doubled revenue and next year's revenue is already 50% higher on contracts won to date and they expect to be profitable next year ...... I took a position this morning and will be digging a bit deeper over the Xmas period to see whether it's worth having a bigger position.

A few more just in case it bottoms around this level ....... short term we know what to expect as far as positive news flow is concerned, 15 MW project up and running in the New Year and hopefully positive news on Santander buying in for the next 118 MW stage.

Nice one ....... "The higher cash yields we can achieve support a range of financing options for Rame that removes the need to rely on raising equity from traditional sources and we expect to be able to grow our portfolio quickly as a result." Hence banks are happy to look at and finance non-recourse loans http://bit.ly/1xtJs6i

“It is usually the case that gaps to the downside at the end of an extended bear run indicate the approach of a bottom fishing opportunity. The technical description of such a state of affairs is an exhaustion gap, and this would appear to be the position we see on the daily chart of Rame Energy (LSE: RAME) at the moment. While it has to be admitted that the unfilled gap to the downside through former November support at 12p cannot be regarded in itself as being a positive development, the way that we are at the floor of a falling trend channel which can be drawn from May adds to the notion of at least an intermediate floor being put in here. But perhaps the key plus point to note is the way that with a RSI at 22 and hence very oversold state, we could have a situation where there is an initial rally, if only to take the stock back up to retest the former late November resistance at 15p. The idea is helped along by the way that the lower low for December to date has not been matched by a lower RSI reading, a phenomenon known as bullish divergence. The stop loss on the recovery argument is current any sustained price action below 10p.” http://bit.ly/1wK4JHn

A quick google search on non-recourse loans will give you the general idea …… they tend to have an higher interest rate, but it will depend on the economics of the project(s) so it will be interesting to see what comes along ….. The interest on the debt for the 15 MW wind project is only 6% so at least we have something to compare it with if they pull it off.

Yeah, plenty more news to come ……. For me the fact that the banks or in this case one International bank (wonder which bank that is, lol) are even considering a Non-Recourse loan says to me that the economics of these Chilean projects are very good. I think a non-recourse loan is typically loaned against the asset, in this case the Solar plant, if the company for whatever reason breached the terms of the loan the bank would only seize the the assets used as collateral (it couldn’t go after any other company assets) ….. which should give an idea of what they think double digit IRR is worth over the long term!

That Solar Acquisition for £150k in shares and an £100k inter company loan is looking like a great Bargain …… hitting the ground running in Chile it seems

Hopefully it will be debt funded ….. the type of debt they are looking at …… non-recourse debt …… is secured by collateral, in this case it would be the solar plant and all fixes and fittings "In parallel, Rame is negotiating terms for a potential power purchase agreement with an existing customer and has executed an indicative term sheet to provide non-recourse debt with an international bank. Having completed its initial credit review, the bank will now proceed with the due diligence which will focus on technical, legal and commercial aspects of the project, with the aim to conclude the process and reach financial close in Q2 2015." That could set a precedent for future funding requirements!

Solar expansion ......

Not sure whether I’ve seen this posted already, but it matters not …… looks like our financial partner is financed by us …… everything is connected in the world today! At least the cash is there for stake after the DD is completed, lol “The European Investment Bank (EIB) said Tuesday it is extending a framework loan of EUR 150 million (USD 205m) to commercial bank Santander Chile (SCL: BSANTANDER) to finance renewable energy and other local projects mitigating climate change. The funds will mainly support large and medium-scale renewable energy schemes, including wind, photovoltaic, concentrated solar power, biomass units and transmission lines for renewables, EIB said. The loan is granted under the Facility for Energy Sustainability and Security of Supply (ESF). Chile's government estimates that non-conventional renewable energy should represent 45% of the new power capacity installed between 2014 and 2025 so as to achieve a renewables share of 20% at the end of this period.” http://renewables.seenews.com/news/eib-to-give-santander-chile-usd-205m-loan-for-renewables-428497

All aboard the good ship Rame …… is that a bit too rampy? lol http://www.marketwired.com/press-release/ceo-of-codelco-to-lead-discussions-on-renewables-for-mines-in-chile-1977822.htm The Chilean mining sector are getting serious about the need to use renewables to generate their energy needs ….. some kind of big pow pow coming up Barrick Gold will be there ….. as we know they are a customer of Rame http://www.investegate.co.uk/rame-energy-plc--rame-/rns/engineering-services-wins-contract-with-barrick/201408080700085786O/ Mandalay Resources will be there ….. as we know Rame already have an agreement with them to supply 1.8 MW of wind http://www.investegate.co.uk/rame-energy-plc--rame-/rns/ppa-to-provide-power-to-cerro-bayo-mine--chile/201410170700155675U/

The pipeline is in the Admin Doc ...... I'll be happy with the first 15 MW coming online and Santander on board for the next 118 MW ...... Engineering and Solar will be bonus news items http://www.rame-energy.com/uploads/files/Rame%20Energy%20plc%20Admission%20Document%20(31.3.14).pdf

If it wasn’t for a landslide they would be finishing their first 15 MW project on time and it seems pretty clear that more positive updates are on the way …… “In addition, the savings we anticipate have the strong potential to significantly enhance the Project’s IRR. This will be welcome news for all our stakeholders and I look forward to providing a positive update regarding all our operational activities in the near term and of course on the commissioning of this project early in the New Year.”

A bit of Punch & Judy ....... brings back fond memories

An explanation of why they are excited by today's Chrome news http://www.brrmedia.co.uk/event/133194/simon-cleaver-executive-chairman …

Expect a “positive” update on “all” our activities …… “all” you mean there is more than one, who knew? "In addition, the savings we anticipate have the strong potential to significantly enhance the Project's IRR. This will be welcome news for all our stakeholders and I look forward to providing a positive update regarding all our operational activities in the near term and of course on the commissioning of this project early in the New Year.

Yeah, we did say news was due, some of us are really on the ball!! Firstly, I’d like to apologies to the “sheep” as the landslide was my fault! LOL We’ll have to wait until the New Year before the first 15 MW comes online, which I guess to some this is an end of the world scenario! My 15% return calcs weren’t far off, not bad for an amateur!, lol ……. Possible 17.5%, Nice!