Member Info for mister_tidal

For a moment.. let's think what SAE would have been able to accomplish if they had the funding that a company like Nikola Corporation had. They spent 100s of millions and sold trucks at a price half of its production cost even though they had a production line.

SAE basically builds their turbines inside a garage so .. kudos to those guys and their accomplishments no matter what. In my eyes, they achieved incredible things. I see that now.

@Mehmet

I am a bit more cautious at this point. I sure hope tidal is going to happen but for now I'll be glad if the company manages to become profitable.

This alone would open some doors I believe. Should the required support for MeyGen and tidal stream energy come from policy makers, we long term holders may become even more delighted. 😅

I think that from here on, short to mid term, we can only win. Uskmouth seems to be a sure thing. Tidal a kicker that may catapult us much higher in terms of potential returns but I'll remain cautious until SAE lays out concrete plans and next steps in that regard.

After waiting for so long I can't keep my expectations too high but I don't blame the company here as I see.. this is simply what it means to establish a new type of energy generating technology.

@Deutscher

Whether or not we agree with the policy, but this money is public money which is why policy makers will try to get the most amount of clean energy for the lowest amount of money.

Did they make the right call when they didn't increase support for tidal stream? Who does really know.. but it's simply nothing SAE can do about.

They were trying to get the funding but it's a political thing and without funding, putting down expensive turbines is impossible. Making them cheaper does not mean to just "build more". You need supply of chains, you need factories and workers and all that is insanely expensive. We're likely talking billions here to cut down cost in order to make tidal cheaper and competitive. I'm likely not exaggerating here.

Building turbines without that investment simply does not make sense. Without public funding to kick start mass production it's literally pointless because you'd produce turbines that cannot pay for themselves except with tax money.

Am I off here?

@Deutscher surely you can explain where you get the money for this? "Build one turbine per year"... sounds like a pretty straightforward idea, you think nobody thought of it?

You think SAE didn't try to get funding? Is it possible that there simply was no budget for guaranteed revenue? Not many buy energy at £200/MWh.. is it possible that SAE doesn't or didn't have the money because legislators didn't provide the funds needed to build another turbine? And is it possible that private investors are not willing to pay up front the support needed to make a new technology viable?

Would you write down your strategy to solve these issues and share it in a Google doc? Even better: send it to Graham Reid and show them how it's done. It seems you know a whole lot more about these things than those people who worked in that field for decades. Perhaps they are just betriebsblind.

@Mehmet

Thank you. Regarding MeyGen being the make or break project: I think this makes sense. No company went farther than SAE here and I presume their turbines are as efficient as they can be provided the time and money available so far. Proteus is now a "second attempt" or a continued one. I think if they are not able to establish the technology on a larger scale, nobody will be able to do it except there's a technological game changer that we don't know of yet.

Mehmet, as always, putting it well together.

Although I admit I thought construction would only begin with March and completed at the end of 2025.. did I mix up something here?

Anyways, I think that makes total sense and it's what I've been waiting for. With the first phase completed, SAE can show something tangible at the site and with another project on its way, confidence in the company should benefit and rise.

And it won't be the last project for all we know..

Then there's tidal.. I admit that years of silence there make me skeptical if MeyGen will ever see all 400vMW deployed, not gonna lie, but the risk is now with Proteus and not SAE. To cite Graham "if they win, we win". But I think SAE doesn't lose anything if MeyGen or tidal do not have a bright future and that case is surely already "priced in".

There's only one way and that is up (minus volatility). I'll be happy at 4 GBX and a slow and steady rise but I won't mind a quick jump to 10 or 20 GBX - just in case someone asks.

SAE sold the first project at Uskmouth not for kicks and giggles.

It was stated that the following projects, however, will be fully owned and operated by Simec.

Thatsaid, buying batteries surely isn't the expensive part here. The connection providing real estate is the key to all of this. Compared to the land and leases, the batteries themselves are probably "pocket change" but I'll admit that I don't know the numbers here.

However, it looks to me as if the first project sold now provides the means to the company to move forward without the need for any (or significant) additional funding.

Someone correct me please if my assessment is incorrect.

Hm, tbh I don't really care too much.

I'm as optimistic as you Strangy so it'll take more to put me off right now. Let them spread some FUD if they want.. the share price dropping made me purchase more stock so far and, fingers crossed, things will look well not too far ahead.

SAE will announce new projects at Uskmouth, that I am sure of.. it's just a matter of time so anything that let's me buy the stock cheap for now is rather welcome. 😅

OT comes to save the day with facts :)

Where do you get that idea of energy generation from? I can only see it here:

"SAE is already in discussions about facilitating the development of data centres powered by reliable and sustainable energy generation, putting USEP at the forefront of technological development in the UK."

Tbh that does not sound as if this is to say there WILL BE energy generation at Uskmouth. However, it could be inferred and imo it's not impossible. They said, in one of their Q&As, that they won't divert for now from battery storage. They want to stay focused.

However, it's not completely out of question that there's going to be energy generation of some sort at Uskmout or near it - I don't know. It's not impossible. To me.. the statement above sounds like as if there are discussion ongoing which may include talks about generating energy.

Of and regarding fundraising.. that's just pure conjecture 🤷‍♂️

Selling the first project was raising the funds.. I'm sure the C suite has no incentive to dilution and that they'd only do so if there's value to it. Graham Reid, although many of us had doubt, turns out to be a very capable man if I may say so.

If you refer to

"SAE is already in discussions about facilitating the development of data centres powered by reliable and sustainable energy generation, putting USEP at the forefront of technological development in the UK. While these discussions are at an early stage, there is great interest in investing in and around our site meaning the opportunity is vast. A fully realised USEP could create hundreds of jobs in construction for over a decade and unlock thousands of wider jobs in power generation and associated industries."

To me this means SAE is currently exploring how they can generate energy on site. Maybe they are exploring solar, I don't think tidal is an option there. Any kind of furnace is out, maybe they explore nuclear or wind?

In any case, they could feed it the energy which they produce at MeyGen. I'm quite sure this can be regulated with the grid owners. If SAE feeds 1 MWh, they can charge BESS for 0.95 MWh (transaction fee) or something like that. Idk

This made me think of something..

I don't know how much SAE is currently getting per MWh but it should be above £200, right?

If I may continue with made up numbers here.. let's assume SAE can sell at £200/MWh, couldn't they then buy at whatever the price is at Uskmouth? If that's £50/MWh, or likely even less, they should be in position to sell their produced energy at MeyGen literally more than once - or would this be an illegal practice?

But seriously.. if they could so thay, then SAE should be able to maximize revenue which should put them in a better position.

In short.. sell rather expensive tidal energy, that's currently subsidized, take that money and buy cheaper energy to charge BESS and sell when energy is needed..

Greetings OT!

Just noticed that Uskmouth BESS is already listed on their website:

https://electricland.com/featured_item/uskmouth-bess/

And as you mentioned, "EL Digital" appears to be their data business branch.

Selling thr first project was the "fundraiser", wasn't it?

Construction should start in March. Next RNS shouldn't be too far away.

Photos: Japan sinks giant tidal turbine to generate power from ocean currents

https://interestingengineering.com/photo-story/japan-first-tidal-turbine

It's going up, does it not? Next RNS(s) might bring more confidence. Tidal either way.

Until SAE brings forward concrete plans for the next MeyGen phase, tidal is not part of this equation anymore for quite some time imo. It can be a kicker, but right now it's mainly about BESS.

Thanks for the link!

The fact that they ramp up the turbine is a very positive sign. What would be important here is a way forward towards more capacity. I don't know if there are any more concrete plans in that regard?

I can't wait for the next RNS .. I don't know if that's going to be a big wave but it's possible? Anything that puts SAE back on the radar..