Renova Energy Share Discussion Threads

[pre] 07/1/2008 13:31

can only buy 10K on line...another move up coming..

[run rabbit] 07/1/2008 13:28

Sit and wait then miss the rise.Typical market over reaction on this one.If the bank says no then look what they lose.

[jailbird] 07/1/2008 13:20

look at the debt....any where is the money needed gonna come from now..
debt will increase or we will have a lrge dilution..wait unless you are having a day punt

[the_doctor] 07/1/2008 13:19

I'm not convinced about long-term margins though as feed prices could increase further, while ethanol prices could fall?
That said, I'm not too up on all that.

[pre] 07/1/2008 13:17

couldn't believe the crazy fall here with ethanol prices rising and torrington production as mentioned by the _doctor set to triple...

[pre] 07/1/2008 13:15

looks like this is going to move back up....

[the_doctor] 07/1/2008 13:15

I've taken a punt here. I dont expect it'd be in the bank's interest not to refinance from here. The discussions so far sound relatively positive.

Torrington plant production appears to be going well and set to triple.

[pre] 07/1/2008 13:14

on line buy limits now dropped...can only buy 10K on line....

[pre] 07/1/2008 13:09

Interesting to note that the current underlying trading of production and marketing business remains sound...see extract from RNS below...

Current trading

Renova's underlying production and marketing business remains sound. Renova's
operating plant at Torrington, Wyoming, continues to generate positive cashflow.
As previously reported, for the six month period to 30 September 2007, the plant
produced 3.4 MMgal. The programme to increase production capacity at the
Torrington plant to in excess of 10 MMgal/yr is still ongoing and is scheduled
for completion in March 2008.

The distribution business continues to successfully grow with 6.0 MMgal being
distributed through its 14 terminals during the same six month period to 30
September 2007 with an average realised ethanol price of US$2.37 per gallon.
Overall, the US operations generated US$1.9 million in cash during this period.
Sales for the three months ended 31 December 2007 amounted to 3.5 MMgal of
ethanol at an average realised price of $2.10/gal compared to 3.1 MMgal at $1.94
/gal for the same period last year. After a decline in ethanol prices in the
last quarter of 2007, prices have strengthened recently with Renova's posted
terminal prices now in the range of $2.25 - $2.45/gal.

[pre] 07/1/2008 13:06

wow....this fall looks well overdone...

[jimarilo] 07/1/2008 12:57

Some insti will see a fantastic opportunity to make a fast buck here

Current M/cap £4m, wasn't that long ago RVA was a multiple of this

Any news of funding will set this upward again to make an easy profit for an institution for sure

[very quick] 07/1/2008 12:47

A very Sad day here, Perhaps GTL should make an offer to buy this. LOL?

[jimarilo] 07/1/2008 12:43

Blimey, down we go again ;-(

Torrington still going strong due to up turn in ethanol price

Renova's underlying production and marketing business remains sound. Renova's
operating plant at Torrington, Wyoming, continues to generate positive cashflow.
As previously reported, for the six month period to 30 September 2007, the plant
produced 3.4 MMgal. The programme to increase production capacity at the
Torrington plant to in excess of 10 MMgal/yr is still ongoing and is scheduled
for completion in March 2008.

The distribution business continues to successfully grow with 6.0 MMgal being
distributed through its 14 terminals during the same six month period to 30
September 2007 with an average realised ethanol price of US$2.37 per gallon.
Overall, the US operations generated US$1.9 million in cash during this period.
Sales for the three months ended 31 December 2007 amounted to 3.5 MMgal of
ethanol at an average realised price of $2.10/gal compared to 3.1 MMgal at $1.94
/gal for the same period last year. After a decline in ethanol prices in the
last quarter of 2007, prices have strengthened recently with Renova's posted
terminal prices now in the range of $2.25 - $2.45/gal.



However looks like a placing to cover short fall if we can get anyone interested

Very much up hill from here, but do able imo

[crystalclear] 28/12/2007 20:20

Maybe she stole it.
There's an age limit for buying, but not for stealing as far as I am aware.

[jimarilo] 26/12/2007 23:58

A positive out come could see a bounce from here one would think, just as ethanol producers are coming into favour

Time will tell as usual ;-)

[j5ack5k] 24/12/2007 09:51

Some more details here:



Company quiet on stalled stocks

By Sven Berg
For the Times-News

As of the close of trading on the London Stock Exchange Friday, Renova Energy, a London-based company with plans to build an ethanol plant near Heyburn, had not made any new announcements regarding the status of its stock, which it stopped trading early last week.

Renova stock was suspended the morning of Dec. 17, "pending clarification of its financial position," according to a statement the company released the same day.

The statement indicated cost overruns at the ethanol plant being built in Heyburn led to the suspension. Later on Monday, ADI Systems, the company hired to build the plant's digesters, stopped work at the plant, citing concerns that Renova wouldn't be able to pay the money it owes the company.

ADI President Graham Brown said if Renova resolves its financial issues, ADI crews will return to work.

Renova planned to make capital expenditures of $40 million - roughly the estimated cost of building the Heyburn plant - in the current fiscal year, which ends March 31, 2008, according to a financial outlook report prepared by its broker, Brewin Dolphin.

Renova's own report, released Sept. 30, states the company increased the amount of credit available to it by $40 million - $22.2 million of which had already been borrowed.

The remaining $17.8 million of credit was insufficient to cover the cost of completing the Heyburn plant, Renova Senior Vice President Jim Glancey said, leading Renova to seek additional financing from its consortium of lenders headed by the New York City branch of Standard Bank.

Renova has worked with lenders in recent days to ensure operations at the company's existing facilities continue uninterrupted, Glancey said. A time frame for a permanent resolution has yet to be worked out.

"I don't really expect anything firm to come out until after the first of the year," he said. "To me it sounds positive, but I can't tell you anything definitive."

A representative of Standard Bank could not be reached for comment after office hours on Friday.

Despite Renova's estimated $38 million decrease of cash on hand through the end of March 2008, Brewin Dolphin predicts a bright future for the company. "Ongoing widespread political support is likely to maintain the recent encouraging momentum which has been generated with regard to the mandated use of renewable fuels," the broker's report says.

[bpoole] 21/12/2007 16:32

Looks to me they did not have a water tight contract as did GTL. If they did why have the shares been suspended for so long?

[jimarilo] 21/12/2007 12:52

Cheers Jack

60% complete seems a long way of completion, lets hope RVA had a well written contract and has over run penalty clauses built in

Lea Electric probably downed tools for that very reason. It is easier being a sub-contractor to walk a way with minor losses, but the main contractor will have to face the music

[j5ack5k] 20/12/2007 13:52

Work crew fired at overbudget ethanol plant

Complications stemming from budget overruns led to the dismissal Monday of at least one work crew at the site of the Renova Energy ethanol plant.

A crew of about eight electricians employed by Boise-based Lea Electric was let go, apparently in connection with a suspension of Renova stock sales on the London Stock Exchange Monday morning. Lea Electric could not be reached by telephone Monday night.

A statement released by Renova requested "that the trading of its ordinary shares be suspended with immediate effect pending clarification of its financial position. The Company has identified cost overruns in relation to the construction of its new ethanol facility at Heyburn, Idaho."

Suspension of trading was to be implemented at 11:30 a.m. Greenwich Mean Time (GMT) Monday. No indication was given as to when trading was expected to resume.

Renova Senior Vice President Jim Glancey said he does not anticipate the suspension will cause construction of the plant now 60 percent complete and scheduled to be operational in early 2008 to stop.

"It's going to continue unless something happens that I'm not aware of," he said. "You don't go 60 percent and then stop."

William Drinkwine of Dilling Mechanical Contractors, Inc., one of the project's general contractors, agreed Monday's stoppage was a temporary problem which would soon be resolved.

"I expect they'll be done in the next day or so. It's not a major ordeal. It's just a matter of fixing what's been budgeted to what actual construction costs are," he said.

Dilling works in concert with ADI Group, Inc., an engineering consulting firm based in Fredericton, New Brunswick, on the east coast of Canada. Drinkwine said ADI is in charge of building the plant's digesters and had hired Lea Electric to do electric work on that part of the project.

ADI located in Atlantic time zone could not be reached by telephone Monday night.

Lea Electric General Foreman Mike Carter said his company made the decision to stop work on the site until it is certain the project is on stable financial footing.

"I don't know the money aspect of this," Carter said. "All I know is this Friday we should have been walking out of here done."

Carter said he doubts the stoppage will be as short-lived as Drinkwine suggested. He said he mostly regrets having to dismiss his all-union crew, because they are good workers and will likely be working on another project by the time Lea Electric returns to Heyburn.

"I hope it gets resolved really quick, and I hope I can get them all back," he said. "They're the ones that are taking the hit on this one."

Carter said besides the inconvenience, Lea Electric stands to lose a substantial amount of money during the stoppage, due to wasted man-hours and travel and lodging expenses.

[j5ack5k] 19/12/2007 12:34

I reckon they are up to something. Total speculation, but they would be nuts to throw in towel especially as things finally seem to be turning.

Time will tell I guess (not that I'm patient). At least Gtl finally going right way.

[motoben] 19/12/2007 11:38

how long can it take to get a statement from the bank for cash, all suppliers debt and the building contractors bill? its all computerized so a couple of days max i would say, but im no fd