Member Info for Michael1961

Youre a brave man!

I'm really not sure I heard anything new. The half year figures were boosted by the Red Rock reactor sales completed last year but what disappointed me was the lack of any positive news regarding their next reactor sales. So this year's figures are OK but are they sustainable without other Client orders?
They will also have to fund raise at some point IMO.

In the UK alone approx 3 billion gallons of Jet Fuel is consumed each normal, non-Covid, year. Even if all the proposed sites came to fruition it would produce approx only 5% of this demand. which shows the scale of the problem. In the short term and used as a drop in fuel, it will reduce carbon but production would have to be seriously ramped up to meet the total demand by 2050. Obviously by 2050, some short haul and light aircraft will run on other means ie battery and hydrogen however as the demand for air travel increases year on year, the overall equation will, I suggest, remain the same.

£15 million is a drop in the ocean compared to the funding required in all cases and HMG will want to encourage all parties to succeed hence my feeling is that the majority of the companies will receive a portion of the funding. With a degree of public finance backing, private investors might be more encouraged to invest in the various projects. There are some candidates, as XPB mentioned, who are already able to finance and would not require any outside investment but I still believe HMG will give them something by way of encouragement.

As for Velocys, a Company I had supoorted for 18 months until I became utterly sick of the lack of news, particularly since the fund raise last year, I really do hope they suceed. I'm not currently invested, I pulled out the majority of my shares on New years eve....the lack of clarity over the RRB situation was the trigger and when Shell pulled out, I did too. My honest belief is that the Comapany will secure its funding. maybe even from Mr Abramaovich who has been heavily invested from ths start or the Company with it's patented technologies will be bought by one of the larger players.

At the moment there is nothing to suggest that Velocys is a share to hold but to be fair, if HMG backs them in September, it could spark a raise in SP which would be further enhanced with positive newsflow which has been sadly lacking in the past year.

Thoughts?

Womo.....I guess Scott is in the States wanting to buy CMRS on the London Exchange. You can buy US stocks easily enough from here, I use Hargreaves and the comm rates are the same (£11.95 per deal). You have to pay a small exchange rate charge but it's minimal. I would be very surprised if you cant do the reverse across the pond. But that charge Womo has been quoted ($100) is extortionate!

Yes HP, I've got £1000 in at @$6.60. Will add more if they break through $8.50. Similar to VLS but have good cash position but they are involved in quite z number of projects it seems.

The way I look at it is that they only needed to produce a small amount of SAF and therefore limited the amount of woody mass input. One VLS reactor has a greater capacity than was being used for, 4 reactors installed at Red Rock Biofuels' Lakeview site will product @ 15 million gallons per year.

The agreement between Toyo and VLS cited in February is as follows:

"As part of this new collaboration the parties have engaged in the preliminary engineering evaluation of the FT island in a joint effort to deliver a commercial scale biomass-to-jet fuel project in Japan.
As previously announced, Velocys will grant an exclusive right for Toyo to secure and use the licence and technical services of the Velocys FT Technology for the commercial plant in Japan. An advance deposit of $4 million was received in 2019 of which $3.5 million remains in escrow, which will be offset against future revenues.

In addition, the collaboration will extend to include the supply of the Velocys FT technology in other SAF, e-Fuels and biomass-to-liquids projects in the Japanese market. This will be led by Toyo, including other partners introduced by Toyo. Subsequent project execution for SAF, e-Fuels and other renewable fuel projects will be delivered by Toyo and their partners, potentially in Japan and other regions, with Velocys providing technical engineering and operational services around the FT technology.
Henrik Wareborn, CEO of Velocys, said:
"Velocys has a long-standing relationship with Toyo Engineering and today's collaboration agreement further supports this commitment. It indicates that Velocys is now firmly in the phase of delivering our commercial scale technology to our clients' commercial projects. Making our first steps into commercial delivery in the Japanese market strengthens our position in an additional geography to North America and Europe.

Our clients recognise the importance of our here-and-now technology solution for commercial scale projects, not only greatly reducing Scope 3 life-cycle carbon emissions but also resulting in synthetic fuels with air quality advantages over conventional fuels. We look forward to working with Toyo and their partners to enable the supply of modern low greenhouse-gas synthetic fuels to the Japanese market."

My feeling is that when JAL says go, to fuel their domestic supply, Toyo alongside Mitsubishi will scale up their production facility very quickly; these are massive engineering companies, I doubt they would encounter the same finacing difficulties which have blighted the RRB site. Obvously as a drop in fuel initially but each percentage used will reduce carbon emission.

VLS can only beneit from the agreement wit h Toyo....for starters they will be paid the 3.5 million they are owed thus far and will benfit more as the scaling up progresses.

Just my opinion but the facts are there.

https://www.toyo-eng.com/jp/en/company/news/?n=584

Look down the page at the size of the demonstation "bunsen burner"

AGM this morning.

I've just bought a few; wondered if there's anyone else around who has any thoughts?

Thanks Fly_bird.....I have a very simple philosophy with trading stocks such as VRLM....as soon as I make a clear £250, I get out and re-assess.
Equally, as soon as I lose £100, I do the same.
Onwards and upwards. M

I've sold via HL on line. It's a fill or kill which is a little tricky as all the current prices I can see on Aquis are delayed by 15 mins. I kept an eye on ADVFN trades which are pretty up to date and used the latest sell price for the fill or kill. Put in 32.40 and they executed @ 32.60 and only charge 11.95 for the privilege.

Thank you! Will they then buy that at the best price possible or simply buy at 26? Sorry for the questions but I'm not used to dealing this way! M

Help....Where can you find the live share price? HL is delayed by 15 mins so makes it hard to trade using Fill or Kill! Ta.

I used HL yesterday. It wasn't straightforward, had to use Buy, fill or kill but after a few attempts, I managed to place. Didnt go massive but will add if the current trend continues.

The very fact they actually bother to issue RNS updates puts them ahead of VLS.

I agree Sense....but....
I sold most of my holding on New Years Eve @ 10.20 for a variety of reasons; I still have 50,000; small compared to last year.
My biggest beef with the Company is the complete lack of PR since the cap raise last summer. We've been given literally nothing other than they've been sitting on various committees and agreeing with this bit of news or that bit of news.
I do wonder what they've been up to and the absence of any news, we are led to assume that there's no good news. The Toyo release recently was hogwash and the very fact they did not feel the need to update us on the reasons why RRB did not take up the option of two further reactors by year end 2020, baffles me and was one main reason for me reducing my holding. Shell disappearing was no surprise and I reckon they knew about this a long time before they made it public.
They say they've been in negotiations with other FTSE 100 companies to replace Shell....so how's that going?

RRB we were led to believe was to be operational and producing fuel by this Spring....we now hear that's been delayed until later this year. How did we hear? A comment made on the PG meeting the other day, that's how. This has a material effect on income......to that end, they should be keeping Shareholders informed. Thry don't.

They may well be hard at work but for all we know, they're paying themselves alot of money, funded by Shareholders with absolutely nothing to show for it.

I like the Company, its aims and projects but they really need to understand that a PLC has a duty to its shareholders and in this area alone, they've been woeful.

https://www.velocys.com/2020/12/16/change-of-advisers/

You don't need to go back that far...just look at the last RNS on 5th August last year where it states same. So, in the absence of updates from the Company, we are left to assume that RRB did not take up the option. Whilst this is not in itself a problem, I would like to know the reasons why. The Lakeview site is all but completed, it was unlikely therefore the two extra reactors were destined to operate there. My concern is that they have found another FT supplier for their new projects going forward. Whilst some might argue that this in the big scheme of things is not a problem, these reactors with subsequent servicing and technical support are massively beneficial for cash flow whilst the Company's main projects are not yet established and will not produce revenue until 2025 at the earliest. Comments?

Morning Sense....I too had a similar experience with Mr Anderson a few months back; an initial reply giving me the usual spin and when I pressed him again, I heard nothing. I was in half a mind to email the Company , not only telling them their responsibilities toward investors but to also mention their so called PR company are useless!

I believe that RRB had an option to buy a further two FT reactors from VLS by year end. Im assuming that as we have heard nothing from the Company that this option was not taken up? Anybody any further info on this?
Ive continually been asking for updates from VLS...we've heard nothing for months, well more correctly, nothing of any substance. It disappoints me; they relied on shareholders to prop up the Compamy in the summer and since thae 20 million capital raise, no one has a clue what they've been up to!