The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
I agree, a total rookie mistake. Twice when I was in Canada we looked at sites, and we wouldnt touch them with a barge pole unless the previous owners cleaned up the site, and had it certified, and even then to be honest something could be missed and you would then be liable.
This is DD 101, how could he make such a mistake, there is no way he should be a CEO of anything if he doesnt understand basic risk and DD.
This is what I said would happen 4 years ago and everyone hated me for it. Share price then was about 5p, now it is sub 0.4p
Shares bought over the last 4 years have been diluted, and money wasted faffing around going nowhere.
The people in the industry and the government of Newfoundland saw what they were, but still gave them a chance and they blew it. They never even spoke with Joe Kruger who could have made it all happen for them, they could even have had a site next to the Kruger mill in Corner Brook and had all the biomass they needed.
You have to be kidding?? Once again people posting on something they know absolutely nothing about.
The 20 Ton limit is a killer for logistics, the quicker you can get it on a train the better but even that is problematic as there are so many train companies and every time you switch your load onto another's track the bill goes up. The richest guys in Georgia are the Tarbutton family and they made their money of the back of a short 3 mile line before they extended it to 10 miles. Both Tarbutton brothers became billionaires off that one track. I met with them many times, they are what they call down there good people.
The pellet industry is a high volume low margin industry and many a pellet plant has gone bust for not knowing the game.
The pellet industry
Excellent analysis This is the scenario and MO I described 4 years ago, no gains, dilution and dodgy share transfers.
If you cant get a pellet plant up and running in NC it is the ultimate failure.
They havent hit a target or achieved an objective in the last 4 years or more, either in the Ukraine, Nova Scotia, Newfoundland or USA
about 4 years ago.
In your dreams.
You have it in one, in your own words, it is an intermediate solution, not a long term one.
You are very blinkered in what you see and have no idea of the real world of energy or the history of coal use and its demise in the west.
There is certainly a lot of timber in eastern Europe, certainly in places like Latvia that could be used, but it is a nightmare to get at and use. It is far more likely that they will buy in what energy they need from the rest of Europe and turn more to the use of wind turbines. To use coal switch you would need to keep the mines open and REDUCE the amount of coal used, the EU wants to get rid of coal mines completely. This is not a potential for coal switch like Drax was to pellets.
Not heard anything new as I have lost interest as it is the same old song every day. My point is that every thing AEG management team touches turns to the brown stuff, I have heard that when they go to the toilet now they have started to wear gloves just in case.
Meanwhile, other companies have doubled their share price, and even Drax is up 35%, and yet AEG has dropped by 80% +.
As a side note, in the mean time, we have set up a new company of our own, and we expect to do very well, but nothing to do with pellets.
A million multiplied by zero is zero. I have been on here since 2017 and all I have ever heard is a song from Annie about tomorrow is just a day away, but tomorrow never comes, at least not with good news.
In the last 4 years share price has dripped from 4 p tp 0.4 and is now at the dizzying height of 0.74, a significant drop by any standards, and people are wistfully dreaming of a heady price of 2p, half of what it was 4 years ago.
Meanwhile the likes of Enviva are hoovering up plants like the old Georgia Biomass plant, and in the same time frame their share price has doubled.
The guy in the video obviously knows nothing about the history of the mismanagement team or the industry.
Andritz are the last people you want involved, look at what happened to Georgia Biomass, one of the biggest screwups in the history of the wood pellet industry. First time we visited there, everything we saw was a WTF moment.
AEG Sued for environmental pollution. Not good, cant they do anything right??
http://pulse.ncpolicywatch.org/2021/03/11/active-energy-sued-in-federal-court-again/#sthash.1FyPonoi.dpbs
SCoutS. This has been the modus operandi from the start. If people had checked out Spinks in the Ukraine they would know this.
They have been saying that for the last 5 years and the price is now less than a 1/10th of what it was then. Do the maths as they say
Trust me it is dead.
There was very little trust or credibility in AEG even when they first went to Newfoundland, and they then blew that and ****ed off everybody who could have helped them. So, no, Newfoundland is dead to them now.
Joe Kruger and the Corner Brook mill was the key to everything, if they has spoken to Joe, maybe he would have cut a deal for a site, the biomass and even helped with the locals and logistics. Ce la vie.
This might be of interest to some of you.
https://www.canadianbiomassmagazine.ca/webinar-how-will-covid-19-impact-the-industrial-wood-pellet-industry/?utm_source=announce+CA+biomass+webinar&utm_campaign=CA+biomass+webinar&utm_medium=email