Member Info for Mikemine

As Scott said "Its all down to execution now." Might not have been his exact words but near enough. RED doesn't need any more mega deals but that doesn't mean they won't announce more orders because they have expended their sales and marketing force this year and they won't be sitting about playing cards. In fact the momentum within the energy storage business is such that, IMHO, customers will be coming to them. The new search for big partners with global reach may well have been in response to overwhelming interest in flow machines. I believe that the realisation that RED needs to have much bigger capacity, hence the search, has come from this unexpected interest. I have no proof of this but you only have to look at what has happened this year to figure it out.

IMO the next 3-6 months are crucial, especially the next 2-3. We need Jabil to start to produce in quantity, something they are doing for other Redox customers, and the finance to be finalised for the German deal. The finance has been agreed but is conditional and I'd love to know what those conditions are. One of them must be that RED can actually deliver the order. When I spoke to a guy at RED earlier this year he didn't think the finance was a problem. Very relaxed about that aspect so maybe it is a done deal.

So, in the next 2-3 months we were told the finance will be completed, Jabil will start production and RED will deliver to Anglian. Thats 3 milestones against which RED will be judged. Should be an interesting Christmas and New Year. Hope its a prosperous one.

Faramog. To me Scott seems capable. Could do with the occasional shave but OK. You may have a longer association with RED than I and more insight so could you outline your views regarding Scott's leadership performance of RED. I'd be very interested to hear them.

I was hoping that Dinoken would outline his thoughts. Perhaps he will later.

In the meantime, if you look around industry it is common for companies to do work for different companies some of which are competitors i.e. Babcox and BAE amongst others supply multiple companies. Why worry about Jabil which has multiple experiences which they can bring to the supplying of production capacity to RED. Surely it is good business practice outsource to a company that has has a track record of achievement in this field.

Why?

I posted this on ADFVN and I thought you guys might be interested as well.

RED missed out on this one but shows another project beginning that would be ideally suited to RED's offering.

Https://www.pv-tech.org/news/industrial-pilot-for-megawatt-scale-pv-lithium-and-flow-battery-storage-com

One of the suppliers is VIZn. Jabil is a partner of VIZn and has been involved with them since 2015. Along with other partnerships in the flow battery market, it shows how much experience Jabil can bring to RED's expansion.I expect Jabil's experience in this area will help them bring production on stream quicker and with more product confidence than we might have first thought.

Https://www.renewableenergyworld.com/articles/2015/06/vizn-turns-to-jabil-to-meet-growing-demand-for-flow-batteries.html

Here are 3 articles that should be of interest. Although not mentioned, RED ticks all the boxes. They are not in any great depths but give lots of other areas we might wish to research.

https://investingnews.com/daily/resource-investing/industrial-metals-investing/vanadium-investing/vanadium-energy-storage-solution-future/

https://investingnews.com/daily/resource-investing/industrial-metals-investing/vanadium-investing/vanadium-energy-storage-solution-future-2/

https://investingnews.com/daily/resource-investing/industrial-metals-investing/vanadium-investing/vanadium-energy-storage-solution-3/

Note the prediction that the price of Vanadium might come down in 2019. There are many indications that more miners are planning to start producing more vanadium.

Element23, I have no great insight in to vanadium supply and demand that you probably have researched yourself but I'll add a couple of thoughts.

Vanadium is classed by the Americans as a strategic resource and they are actively encouraging more production. Canada is doing the same along with various other countries. I think there'll be a gap in the market while these projects get going but as usual the market will balance out at some point. Don't know when but it won't be soon.

The steady rise in the price of vanadium could be a selling point for RED. Buy now and see your amount of vanadium grow in value as you make use of it. Additional book profit.

I'm a bit pushed for time atm so I'll leave that there. Good luck whatever you decide and continue to share your thoughts with us please.

Well, at least someone loves us.

I don't know whats wrong with me lately. Here's the correct link.

https://www.monash.edu/news/articles/monash-secures-delwp-funding-to-help-unlock-microgrid-market-in-victoria

Remember the monash installation?

They've just got funding to expand their project.

https://www.centricabusinesssolutions.com/sites/g/files/qehiga126/files/documents/Powering_Sustainability_Key_Takeaways_V1_0.pdf

Should hear more from that area soon i would have thought but it won't be big unless Monash reach out in to the community.

I've heard a few PIs complain about Barclays over the years but have no personal experience of them myself. I'm with II and they seem OK. Its simple enough to use.

Never seen that myself.

Today is another example of misleading sell/buy labelling. It seems obvious to me that quite a few of those sells are intact buys. I'm being offered 7.05 to buy.

Here's a few links to some things that point a way for the finance Scott is seeking. It probably won't come from here but it indicates a shift towards increasing amounts of money coming to our industry. Should make it easier for RED.

https://www.telegraph.co.uk/business/2018/10/15/hsbc-leads-green-bonanza-250m-renewables-pledge/

https://www.telegraph.co.uk/business/2018/10/15/city-scrambles-act-climate-change-window-limit-risks-finite/?li_source=LI&li_medium=li-recommendation-widget

https://www.centricabusinesssolutions.com/sites/g/files/qehiga126/files/documents/Powering_Sustainability_Key_Takeaways_V1_0.pdf

Sorry, reporting period end of December. It was issued in May last time. Very foolish mistakes. Apologises to all.

The annual report should be out at the end of December and should contain some very interesting reading. Jabil should have begun production of scale before then which will enable RED to deliver the Anglian (and get some revenue from it)and the finalisation of the German financing should be complete. I know these items will not show up in the accounts but they should be highlighted.

In the meantime we might be surprised by some news about further orders, partnerships or something from left field. Won't be dull.

They are partnerships I would truly welcome but I believe that Scott said RED was looking for partners with worldwide reach. I tried to get a bit more info about what they were after but t seems they are quite non specific, looking at everything I suppose. I asked if it was a manufacturer or a finance entity but again it was either/or or both so I have no idea how far they've got nor in which direction they are going.

My first take was that they were putting themselves up for sale but another reason for the statement could be a realisation by RED that the response to their offerings were so great they simply couldn't hope to handle this themselves even with Jabil's help. Would be nice to think so but who knows? Time for another Scott interview I think.

For those a bit new to these sites there's a classic bit of misinformation on the share trade site. Its not malicious or trying to mislead but its easy enough to spot.

The last 4 trades were at 7.05p which according to my broker is the buying price. Forget the 7.20 ASK, its not what you are going to pay. The computer took it to be a sell as it was not near the 7.20. It gives the impression that people are selling when they are in fact buying. Always check the price with your broker rather than relying on these bb prices.

Certainly execution of the announced deals is the centre of attention atm and all eyes will be on Jabil to see how quickly they can get things moving. I suspect they are not going from a standing start. They will have had a team working closely with RED on the development of GEN3 so will not be cold.

In the meantime RED are pursuing strategic partners. I thought that to be a curious statement they made. Surely Jabil is a big enough partner and they've worked very closely with them for quite some time. RED even has a senior ex-Jabil guy on board. I can only think that the statement was a disguised message that RED is for sale.

Certainly the person i spoke to regarded it as a done deal although it was only mentioned in passing. As for being the next RNS, I wouldn't be at all sure. I get the feeling that things are happening at a pace and RED are surprised at what is happening so anything could be announced at any time I reckon.

I bought more yesterday at 7p which seems like a bargain to me.If the price is good enough for Schroders etc. etc.

Plenty of interest shown at the Melbourne exhibition.

https://redtenergy.com/guest-blog-australias-burgeoning-market-for-energy-storage/

Spoke to RED and they confirmed that the finance deal for the German order is unchanged. They've got until the end of this year to finalise it. I don't know what the "conditions" are for the finalisation of it but I'd imagine having the ability to fill the order would be one of them and Jabil should be able to deal with that.