Powerhouse Energy Share Discussion Threads

[beeezzz] 04/6/2018 21:36

The probably didn't offer a big enough bung.....money opens many doors....

[deccer1] 04/6/2018 14:25

I don't know.

[vatnabrekk] 04/6/2018 12:22

And how many are able to produce hydrogen to be used as fuel for vehicles? That is very important as far as understanding competition for PHE is concerned.

[mertymcs] 04/6/2018 08:22

How many classification plants are there in the UK?What are their feedstocks and current operational outputs? Is this purely just electricity?Are they operating 24/7 or intermittently?

[vatnabrekk] 03/6/2018 16:45

Mervin, can you tell me a bit about these other gasification systems in Holland and other countries, because I am not familiar with them. For example, who owns them, what temperatures do they operate at, and do they produce hydrogen? If you have any web links that would also be useful.

[vatnabrekk] 03/6/2018 15:04

Despite all of the alternative uses for old tyres, about 50% end up either being incinerated (hugely damaging to the environment) or go to landfill, which isn't good fort the environment either. So the tyres being incinerated and going to landfill are the tyres that PHE is targeting as feedstock.

[city chappy] 03/6/2018 14:27

A lot of car tyres usefully go into the cement making process, to power the kilns, although it is very polluting.

[mertymcs] 03/6/2018 14:10

The feedstock is not just plastics it is also car tyres which currently has issues with disposal and there is still the on going demand for car tyres until someone invents a better type of tyre material.

[mervin4] 03/6/2018 10:35

The business model relies on receiving gate fees for taking waste in, so it would not be economically viable for PHE or an SPV to expend money on going out to collect waste plastics from the sea and forgoing gate fees.

[vatnabrekk] 02/6/2018 23:30

What nonsense! There will be oceans full of plastic for generations to come. More than enough plastic to keep PHE running for decades. Don't worry about a shortage of plastic in the lifetime of anyone alive today.

[deccer1] 02/6/2018 20:04

Come on PHE.

[mertymcs] 01/6/2018 15:35

Continued bulk seller could see this pushed below 0.4 to buy over the next few weeks.

[deccer1] 29/5/2018 16:27

Could be a steady earner then.

[new tech] 29/5/2018 14:44

ELB you are correct. For each 25 tpd module deployed, PHE could earn annual licensing royalties of £183,000 to £637,000, depending on the precise electricity to hydrogen mix.

As PHE do not have to contribute to CAPEX unless they want to, its a very nice risk-free arrangement for PHE.

............................

englishlongbow
29 May '18 - 10:12 - 6597 of 6601
0 0 0
vatnabrek - Key figures were provided in a recent Facts Sheet from W2T (13/4/2018) at the bottom of the first page and top of the second:




CAPEX £5m (includes 1 x 25 tpd module + everything else needed for turn-key operation, funded by W2T and other partners; with additional 25 tpd modules at £3m each if needed)

Revenues = £700k pa gate fees + £567k electricity sales
OPEX = £350k pa

EBITDA = 700k + 567k - 350k = £917k pa

PHE 20% of £917k = £183.4k pa (based on gate fees + electricity sales)


The electricity sales component of the above figures would be 5x higher for hydrogen sales (i.e. £2.835m instead of £567k). Its easy then to do the calculation of the amount accruing to PHE for hydrogen:

Revenues = £700k pa gate fees + £2.835m hygrogen sales
OPEX £350k pa

EBITDA = 700k + 2835k - 350k = £3.185m

PHE 20% of £3.185m = £637k pa (based on gate fees + hydrogen sales)


Sites can be gate fees + either: electricity sales only, hydrogen sales only, or a mixture of electricity sales + hydrogen sales. The mix can be modified over time, including as demand for hydrogen increases.

PHE will also receive a larger payout if they want to contribute to CAPEX.

[vatnabrekk] 29/5/2018 13:11

Yes, I think you're right, the W2T fact sheet states:
"The net revenue to an SPC will be about £900k – from this PHE will receive a 20% licence fee plus its share of the SPV participation."
So it's 20% of Net Revenue, not Revenue as I had stated, which I suppose is EBITDA as you suggest. I'll amend my post accordingly.

[englishlongbow] 29/5/2018 10:24

I assume as indicated in the W2T Facts Sheet that PHE get 20% of EBITDA, not 20% of gross revenue.

[vatnabrekk] 29/5/2018 10:19

I'm not producing figures elb, I'm trying to ascertain how profits are shared out. There has been a lot said about PHE giving 50% of profits to W2T which on the face of it sounds like a huge give-away, but when you consider all of the costs that has to be deducted from the revenue before striking a profit figure, then perhaps not so much is being given away after all.

Also I wanted to highlight that PHE is to receive 20% of the SPV's Net Revenue before striking a profit figure, so actually PHE end up with a bigger overall share than perhaps has been suggested.

[englishlongbow] 29/5/2018 10:12

vatnabrek - Key figures were provided in a recent Facts Sheet from W2T (13/4/2018) at the bottom of the first page and top of the second:




CAPEX £5m (includes 1 x 25 tpd module + everything else needed for turn-key operation, funded by W2T and other partners; with additional 25 tpd modules at £3m each if needed)

Revenues = £700k pa gate fees + £567k electricity sales
OPEX = £350k pa

EBITDA = 700k + 567k - 350k = £917k pa

PHE 20% of £917k = £183.4k pa (based on gate fees + electricity sales)


The electricity sales component of the above figures would be 5x higher for hydrogen sales (i.e. £2.835m instead of £567k). Its easy then to do the calculation of the amount accruing to PHE for hydrogen:

Revenues = £700k pa gate fees + £2.835m hygrogen sales
OPEX £350k pa

EBITDA = 700k + 2835k - 350k = £3.185m

PHE 20% of £3.185m = £637k pa (based on gate fees + hydrogen sales)


Sites can be gate fees + either: electricity sales only, hydrogen sales only, or a mixture of electricity sales + hydrogen sales. The mix can be modified over time, including as demand for hydrogen increases.

PHE will also receive a larger payout if they want to contribute to CAPEX.

[englishlongbow] 29/5/2018 09:28

tt, good point. Keith Allaun says PHE could be a FTSE 100 company based on their UK rollout plans i.e. at least 300p share price; and they are expecting 2.5x more rollout in the EU, and roll out in other geographies like Australia, Far East, Midddle East, etc.

So in terms of the share price: 300p for the UK + 750p for the EU + more elsewhere, gives an eventual share price well over 1000p (£10) making it a 2000+ bagger from here.

£1000 investment now could be worth £2 million in future.

[top tips] 29/5/2018 08:34

Another way of looking at it is KA says PHE could be a FTSE 100 company based on their expected activities in the UK (i.e. 300p+) and more for the rest of world, so other details are not so important.

Even one third that prediction and just in the UK would give 100p.

[new tech] 29/5/2018 08:28

They would still need project funding for each SPV and W2T will provide that (particularly in the early years) in a non-dilutive way.