Eqtec Share Discussion Threads

[sharetalk] 19/6/2020 08:10

Good points about their growing markets and resilience, especially in the current climate.

[tewkesbury] 19/6/2020 06:43

You could multiply that by a factor of six at least. EQT are leaders in a market that is growing and very resilient. It's a great short-term and long-term business.

[neilyb675] 18/6/2020 22:29

5p imminent.

[nicktopten] 18/6/2020 20:54

EQT return to 1p soon..... and then we'll see about the rest!

[tell sid] 18/6/2020 20:48

EQT return to 30p+ soon.

[tell sid] 18/6/2020 20:48

EQT return to 30p+ soon.

[highly geared] 18/6/2020 20:10

If you draw a line under the share resistance points since 2014, you get the left half of a huge “bowl”. Complete the right hand side of the bowl and that provides a clue for the next 3-4 years 😉

[hoper1] 18/6/2020 18:36

I'd settle for that *¿* !

[m4rtinu] 18/6/2020 18:15

ST - a bit random?

[sharetalk] 18/6/2020 17:55

free stock charts from uk.advfn.com

[neilyb675] 18/6/2020 17:51

5p seller here.

[tewkesbury] 18/6/2020 17:43

Another 10m sell tickled through just after close. Seller could be out or almost out by now after that 75m sell yesterday. Looking good.

[tell sid] 18/6/2020 17:32

EQT return to 30p+ soon.

EQTEC PLC
28 May 2020

Projects and Commercial Update



EQTEC plc (AIM: EQT), the technology solution company for waste gasification to energy projects, is pleased to announce the following update on its projects and commercial activities.

United Kingdom

Billingham:

-- Work for full detailed quote for the grid connection has been completed by grid operator, Northern Powergrid, and the quote has been received and accepted by EQTEC. The requisite assessment and design fees have been paid to Northern Powergrid.

-- Non-binding project finance term sheet received for the project, which has been signed by EQTEC and is being assessed by a consortium of potential equity investors. The funding structure set out in the term sheet comprises both senior debt and mezzanine tranches and requires an equity contribution from the consortium of developers of, in aggregate, 10% of the total project CAPEX, currently estimated at c. GBP170 million.

-- Following detailed technical due diligence on EQTEC's advanced gasification technology, an offer for a Technology Warranty Insurance Policy was offered by an international underwriter of speciality insurance products for the project. The nature of cover offered and the level of insurance premium is considered by EQTEC to be in-line with expectations and it is to be offered to the funders and the EPC contractor as part of the project structure.

United States of America

North Fork:

-- Detailed engineering plan completed and delivered by EQTEC, in April 2020, to the EPC contractor and Phoenix as planned and the second payment milestone invoice of EUR770,000 was received by the Company in May 2020.

-- Preparation work commenced in-line with the project programme, including the requirement to have the equipment located at the Group's Newry site in Ireland being shipped to the US by no later than August 2020.

NAPA:

-- Full planning permit for the new location (initially to accommodate a larger 2MWe capacity power plant) is still under process with some delays attributable to COVID-19.

-- The client is now evaluating the option of a larger installation and requested a full quote for an increased 3MWe plant. This was completed and provided by EQTEC.

Europe

Agrigas:

-- Full project technical due diligence report completed by TUV Hellas, the nominated engineer of the local Greek bank (the "Bank") offering the project finance, which has now been presented to the Bank.

-- Project third party financial due diligence requested by the Bank, which was carried out by EY Greece, has also been completed and provided to the Bank.

-- The Bank's credit committee meeting for project final approval was rescheduled to first week of June 2020, due to the Bank prioritising COVID-19 related loans in Greece, with a response expected during June.

ewerGy/ECO Hellas Pipeline:

-- 13 potential new projects in the Balkan region have passed the initial due diligence phase and, accordingly, now fall under the scope of the framework agreement (announced on 16 March 2020), including exclusivity.

Commercial:

-- 10 new commercial enquiries have been received by the Company in Q1/early Q2 2020 and full detailed commercial offers, with an aggregate potential sales value of c.EUR120 million were made by the Company during that period.

-- EQTEC has progressed discussions with a European Infrastructure Operator of district heating and waste to energy and, together, the parties have selected three potential projects for financial due diligence, which has already commenced. Once completed, the intention is to develop the projects together under a new framework collaboration agreement.

David Palumbo, CEO of EQTEC, commented:

"I am pleased with the ongoing progress that EQTEC has made during this challenging time. As we approach H2 2020, we continue to focus on executing our strategy with special emphasis in seeking strategic partnerships to enhance our portfolio opportunities. We are already experiencing an increase in the number of large operators that are engaging in conversations with us regarding collaboration opportunities. We believe the coronavirus pandemic may influence the pace and nature of climate action positively and we will be ready to seize inspiring and fruitful new partnerships to apply our solutions."

[bmnsa] 18/6/2020 16:55

I like this mention in above link-

Best-in-class waste gasification capabilities -

EQTEC is a proprietary and patented advanced gasification technology company, with a market leading capability in directly converting a wide variety of waste materials, at modular scale, into an ultra-pure syngas with negligible environmental impact.

This syngas can be used to generate high efficiency electricity, heat or steam for industrial processes, or low emissions liquid biofuels via a Fischer-Tropsch gas-to-liquids process.

Honestly what's not to like in todays environment.

[sharetalk] 18/6/2020 16:22

I probably agree. I just take the broker figures as minimum baselines.

[tell sid] 18/6/2020 16:19

EQT should already be 4x their current level based on PHE's recent valuation adjusted for their W2T takeover.

EQT 30p+ target.

[sharetalk] 18/6/2020 16:12

Arden forecasts EQT will make €11m adjusted profit for 2022 based on just the few current projects. Using their suggested PE ratio of 18 for Yr 2021 (below), gives €198m (£175m) (i.e. €11 x 18) forward market capitalisation for Yr 2022, which is 5.35x upside from here based just on the current projects. Obviously the number of projects will increase going forward, so actual figures are likely to be higher. You could probably also justify a forward PE of 40 to 50 for a growth company like EQT, in a growth sector and in the green tech sphere - which then gives a forwrd valuation based on Yr 2022 profits of €550m.

"On the basis of our DCF valuation, using a conservative WACC rate of 20%, we value EQTEC at 2.18p, equivalent to a market capitalisation of £88m. Our valuation represents 282% upside to the current share price of 0.57p and market cap of £22.7m. On the basis of our 2021E net profit forecast of €5.5m, using a UK current market multiple of 14x would give a valuation of €77m or £68.1m. However, given the unique capabilities of EQTEC’s technology, its status as a proven, best-in-class solution for energy-from-waste applications, the high growth nature our forecast profitability, and the potential for strategic interest from major waste industry EPC and/or waste infrastructure owner/operators in the future, we believe a P/E of 18x is fully justified. Applying this multiple to our 1-year forward net income forecast of €5.5m implies a valuation of €99m or £88m."

[bmnsa] 18/6/2020 15:30

Great link hb

Initiating with a Buy rating – 282% upside - We initiate coverage on EQTEC with a BUY rating and target price of 2.18p.

We believe that nearterm step-changes in forecasted profitability, derived from a pipeline of projects currently under development and construction, coupled with existing multi-project Framework Agreements, comfortably justify our valuation.

Additionally, we see significant potential scope for strategic partnership interest from major waste industry and infrastructure stakeholders that could look to license EQTEC's technology for deployment of its market leading capabilities - potentially on a global basis - representing substantial future upside.

Best-in-class waste gasification capabilities - EQTEC . . . . . . .

[homebrewruss] 18/6/2020 15:04

Link to the arden note, thanks to lunsam on LSE:

[bmwman3] 18/6/2020 14:45

Within the next 5 or 10 mins we will be blue! Yahoo sorry for those who sold but you was warned!

[bmwman3] 18/6/2020 14:38

Anything below 0.8 is a bargain imho

[hoper1] 18/6/2020 14:28

After the rise we've had over the past few days it doesn't matter if it's not! It will be tomorrow!

[tewkesbury] 18/6/2020 14:04

Blue finish looks possible.

[neilyb675] 18/6/2020 13:00

Perfect day for MMs. They know this share is firmly on the radar, in play, hot, whatever phrase you prefer.

Today they are collecting shares as pointed out. Some get off, some get on, some stay on.

I'm staying for 5p, this is only the start of a re-rating here.