Powerhouse Energy Share Discussion Threads

[vatnabrekk] 01/9/2019 19:03

Absolutely right, Jacknife, I have read this RNS so often now that I just about know it off by heart. And the part that you highlight confirms what I have been saying in several posts recently, i.e. that it does not say that PHE must give 50% of its profits to W2T. In fact it could be interpreted the other way round, to say that W2T must give 50% of its profits to PHE. The RNS says that the profits of the project will be shared 50/50. As PHE will not be a shareholder in the SPV for the first DMG project, but W2T will, therefore surely it must follow, using your logic, that W2T will have to share its profits from the project with PHE.

[vatnabrekk] 01/9/2019 15:19

I agree that no business can afford to give away 50% of their profit. That would be insane and probably illegal. And that is not what the RNS says. Anyone who suggests that PHE has to give away 50% of its profits to W2T is just mischief-making.

[steverabet] 01/9/2019 15:03

i wasn't the one to (mis)quote on revenue - that should be a moot point anyway - no business can afford to give away 50% of revenue. the more salient issue is that the contract is bananas, no one in their right mind gives away 50% of their profit. but then so much of what phe does looks wrong - suppliers paid in shares instead of cash, speculation on japanese interest, paper thin MOU with 3rd rate outfits arriving at nothing etc. i keep an eye here to see if there is ever anything of substance as i would sincerely like there to be something, but all i continue to see is smoke and mirrors, flogging of dead horses, dreams, and frankly, BS anyway, you keep on believing - i will keep abreast of developments

[vatnabrekk] 01/9/2019 13:49

Steve, why do you keep going on about revenue? Revenue is not the same as profit. And anyway, the RNS does not say that PHE has to give away 50% of its profits to W2T. If that were actually the case then you would be right that it would be insane and unsustainable, but of course that is not the case. That is just a deliberate misrepresentation of the agreement as summarised in the RNS.

[tenapen] 01/9/2019 12:22

50% of something is better than 100% of nothing ! When i used to buy OFEX stocks, the new tech was great but the companies did not have the money for both the tech creation / improvement and a sales force. The early investors used to cry fowl at any mention of a fund raising Durrrr and So inevitably to companies went bust. A 50/50 with W2T focuses both compaies on making PHE a success !. IMHO

[steverabet] 01/9/2019 11:22

giving away 50% of revenues is insane and unsustainable, giving away 50% of profit is just bananas, anyway you slice it, it makes no sense

[zeppo] 31/8/2019 20:21

nelson My interest is in PHE. You appear to be suggesting that W2T always lose money and therefore by association PHE will fail. Is it your 'good deed' to warn people? Are you actually an investor here? Do you have any faith in PHE itself? If you have no faith in PHE's project what is your motivation?

[nelson5100] 31/8/2019 19:48

I am merely asking if you have seen these "history of initiating projects"? Perhaps with your good eyes you can list W2T projects, or are you also blinded about them?

[zeppo] 31/8/2019 19:38

nelson You really should put your telescope to your other eye. You only see blackness. 2017 is very, very recently. If you can't stand the heat - get out of the kitchen. Are you an investor in PHE? If you believe your own analysis take advantage of the many opportunities in this fraught market and place your investment elsewhere.

[nelson5100] 31/8/2019 18:44

From Jan 2017 RNS, "Waste2tricity has a history of initiating projects both in the UK and in Thailand". What were these initiated projects and which were successfully completed? If PHE is in partnership with them then would be worthwhile knowing for any potential investor assessing the business.

[zeppo] 31/8/2019 17:57

Put your telescope to your other eye, Nelson. What is important now is PHE obtaining funding for initial commercial projects. The two main directors, both engineers have both been with the company a relatively short time. Companies in similar areas have benefitted from board changes, as I am confident that PHE will. CWR went through board and other changes and are now getting tens of millions in joint partnership investments. CWR's next Annual Results, due in early October should be very interesting. ITM and AFC have taken years to get to the development stages that they are currently at, but both are very recently able to issue positive statements. Let's see what transpire in the coming months. Those attending PHE's AGM are confident to continue as investors. Patience is sometimes a virtue.

[nelson5100] 31/8/2019 15:57

Yet still no single projects posted that Waste2tricity has successfully implemented.

[vatnabrekk] 31/8/2019 08:39

And the RNS does not say that PHE will give 50% of its profits to W2T. To make that statement is a misrepresentation of what it actually says.

[vatnabrekk] 31/8/2019 07:26

Profits are not revenues.

[tenapen] 31/8/2019 07:11

Sounds fair enought to me !. Without W2T, Powerhouse would be no where !, and so W2T deserve the compensation due for a good job done. Investors with vision only.

[steverabet] 30/8/2019 23:07

er, what bit of "profits will be shared 50/50" are you having trouble with?

[vatnabrekk] 30/8/2019 21:04

I am well aware of that particular RNS, and it certainly doesn’t state that W2T gets 50% of PHE’s revenues as stated by Ken. Nor does it state that W2T gets 50% of PHE’s profits.

[steverabet] 30/8/2019 09:45

vatna, re 50% of PHE profit going to w2t, this from 18/1/17 rns "The terms of the contract are such that Waste2tricity will initially be compensated in PowerHouse shares for its fees of £20,000 per month to be issued on a monthly basis. 51 per cent. of the shares will be restricted until a final investment decision on a commercial project is reached. Subsequent to successful project development, and after each party recovers its project-related costs (including PoweHouse recovering the expense of the shares issued,) the profits of the project will be shared 50/50. In the event it becomes necessary, each party will provide the other with specialized, externally sourced, personnel at cost + 5 per cent.; such cost to be recovered from the project related costs as defined above"

[nelson5100] 28/8/2019 21:02

Very happy not to have been given investment advice and purchased the same as that shareholder. In January 2016 following a share placing they held 23m shares or 5.43% of the total equity. But following substantial share placings they have had to increase the number of shares held by 4.6 times to keep neatly the same shareholding percentage of 5.77% at May 2019. Since January 2016 the share price has also failed to increase dropping from 0.55p to the current 0.4p.

[zeppo] 28/8/2019 18:58

lagosboy Read : 'Substantial Shareholders' in the PHE Annual Report. W2T's Commercial Consultant has 5.77% valued (even at current low prices) at well over £400,000. That is cash committment! That investment will only gain value when PHE gains value. It appears that he has faith in PHE.

[lagosboy] 28/8/2019 07:59

W2T - As far as I am aware and records at CH confirm this, W2T has no cash, no capital and has never generated any income or closed any projects of note. If the DMG is as groundbreaking as those believe it to be on here, surely it would be able to cut a better deal than the one with W2T It also occurs to me that it is Phe shareholders that have suffered dilution and put up millions in hard cash to develop the DMG. What have W2T contributed - a big fat nothing. Its a stitch up.

[vatnabrekk] 28/8/2019 06:52

What is this nonsense about W2T taking 50% of the revenues? Where on earth does it say that in any RNS?