Member Info for Piltick

13,500 tonnes pe annum is approx. 35 tonnes per day, same as Protos I believe.

OK LedZep, I thought DR made that comment but I could have got that wrong. Anyway, it doesn't make any sense as it stands, so logic would suggest that it must be Q1 next year, or \|||Q2 at the latest.

NH: This has already been covered on here. DR confirmed that it's a typo and is supposed to read Q1 2022, not Q4 2022. It should have been amended by now.

I recall that initially, a few years ago, the idea was that PHE and W2T would go 50/50 in a SPV to own and operate the firs DMG unit. Then that changed so that W2T was to be the owner-operator, but couldn't raise the funding for that. And the rest is history!

I don't think we ought to get too concerned about the level of PHE's technology fees at the moment. It's not fixed in stone, and TY said that it could go up or down, by which I suspect he means that they will negotiate as much as they can get depending on demand and the market. Surely we need to be able to trust the management to fix the fees at the best levels for the company.

It's worth bearing in mind that PHE will be earning revenue from other sources such as consultancy, design, running tests on feedstocks etc. and not just technology fees.

If PHE wants to benefit from any of the income from the electricity or hydrogen produced by the DMG units then they will have to take a shareholding in some of the SPV companies. I believe that PHE reserve the right to do this, and of course they will have a share in the SPV at Protos. David Ryan said that this was a one-off situation and that it isn't the intention of the company to take shareholdings in the SPVs apart from this one, but I have a feeling that once they start building up a cash balance from the fees and other revenues, that they will want to have shares in some of the SPVs in order to earn a share if the profits from the DMG operations.

I see 100 DMGs in Poland as meaning revenue of £42.7M per annum rather than a loss of £7.3M per annum.
Just my way of looking at things.

Trouble is, I don't think any of us are fully aware of the financial or corporate structure for the roll-out of the DMG units in Poland, an we don't know exactly what HUI's involvement in each installation will be. I thought that HUI's roll would be similar to Peel's roll in the UK, and that each DMG site would be the subject of a separate SPV with local shareholders owning the SPC companies. To what extent HUI will become a shareholder in each of those installations, I have no idea, but I'm quite sure that HUI will not be the sole owners/opeators of all of DMG units in Poland. To benefit from the profits of the SPV companies, requires the injection of capital into theses companies, and I very much doubt that HUI will be in a position to produce that sort of funding.

So until we have a clearer view of who is going to be owners/operators of all of these DMG sites, we really don't know who is going to profit from what.

But we have been told that PHE will receive E500k per DMG, per annum.

Good work Doc!

It's the only sensible answer for HGVs, large vehicles, long distance vehicles, and ships.

Potable water = drinking water.

Thanks for that LedZep. So we may see some action in the not too distant future - hopefully!

https://www.offshore-energy.biz/flagships-set-to-debut-worlds-1st-hydrogen-powered-commercial-cargo-ship/

I notice that the vessel will operate on compressed hydrogen produced from electrolysis, and not ammonia. Also that the fuel cells are produced by Ballard.

The MCAP of AFC is sometimes compared with the MCAP of ITM, with the latter used as a target for AFC to aspire to. Both companies are still at the development stage so we cannot consider measures such as PE ratios in the normal sense. However it may be interesting to think ahead to the future, say the next 5 to 7 years, when they will hopefully be in full flow, earning revenue, and making profits.

So ITM's MCAP is currently standing around £2B. To justify that level of MCAP when fully operational in the future, say in 5 to 7 years, at a PE ratio of 20 (just as an example) would require an After Tax Profit in the region of £100M per annum. (That's Profit, not revenue).

AFC's MCAP is currently just under £0.5B. To justify that level of MCAP when fully operational in the future, say in 5 to 7 years, at a PE ratio of 20 (just a an example) would require an After Tax Profit in the region of £25M per annum. (That's Profit, not revenue).

The reason that I'm invested in AFC is because I believe that it is not unreasonable to expect AFC to justify its current MCAP, and more, in the future, but it may be a bit of a stretch for ITM, or AFC for that matter, to achieve £100M After Tax pa.

I want to make it clear that I'm not knocking ITM because I have no reason to do that, just commenting on the comparison that is sometimes made between the MCAPs of the two companies.

Yes Sure, PHE is lending money to the SPV, it's not a gift, it's a loan. And PHE will not be paying the capital cost of the DMG, the SPV will. So no reason for PHE to be subsidised by the government.

I don't see any reason for this announcement to be regarded as bad news, but the market (MMs) will use any excuse to drop the SP.

"... and is due to the growth in operational activity..."

Operational activity sounds to me that they are referring to the company's activity and not the auditors'.

Just a point to bear in mind when talking about government backing. We don't need the government to subsidise PHE because it's not PHE that will be building the DMG systems, but we need the government to recognise PHE's technology, and probably other gasification systems as well, and to encourage and support local authorities and wast management companies to install this technology. And that would probably involve financial assistance from the government and not just words.

Yes, but thankfully AFC are not planning on using ammonium nitrate! Just Ammonia.

Well the twitter feed does say that the newsletter will be out this month, so not long to wait for that if they meet that deadline!

UK faces short-term cement shortage
https://www.globalcement.com/news/item/12408-uk-faces-short-term-cement-shortage

I wonder whose "pyrolysis" technology Kibo are planning to use for their SA project. I find it rather odd that they use this old terminology and I wonder to what extent it may have been tried and tested.

https://www.investegate.co.uk/kibo-energy-plc--kibo-/rns/agreement-to-co-develop-renewable-energy-projects/202105180700039046Y/