Velocys Share Discussion Threads

[gac141] 19/6/2017 10:21

Thank you Visionon.. I think we are entering a very exciting phase and it shows much is happening under the surface.

[visionon] 19/6/2017 07:43

hxxps://www.rd.usda.gov/programs-services/biorefinery-renewable-chemical-and-biobased-product-manufacturing-assistance

This appears to be the programme quoted in the RNS.

[visionon] 17/6/2017 15:03

hxxp://biofuels-news.com/display_news/12482/epa_renewable_fuels_proposals_will_be_released_soon/

This is one to keep an eye on. VLS fuel from ENVIA will qualify for RINs under the RFS (see also post 369)if it comes from landfill gas.

Trump in his election campaign suppported reducing cheap biodiesel imports and instead encouraging job creating domestic production. ENVIA and Red Rock are such projects, particularly the latter. These advanced fuels can also be cleaner and Trump has said he wants cleaner air.

[visionon] 16/6/2017 14:27

Way2000. See my post 363 of 370 above. I think a first BTL plant award in 2018 is realistic provided ENVIA has been running at nameplate capacity for at least 6mths before FID and preferably 12mths.

Also I question Red Rock getting their bonds away until that kind of data is available. But when it is then it might be a 2 bus scenario. Plus VLS would then also be getting revenue + RINs for ENVIA product to pay down loans and debentures.

In the meantime the share price seems logical given the above.

One less NED, another saving.

[way2000] 16/6/2017 13:42

Very interesting Visionon. I guess the big question is how long have we got to wait?

Invested some time ago. Bought a few on the rise but should have sold them.

Is anyone going to the AGM next week? I cannot make it but would be good to get feedback if at all possible.

[visionon] 15/6/2017 17:52

May I suggest people also read this, which appears on the same webpage.


hxxp://www.biofuelsdigest.com/bdigest/2017/06/13/dont-spill-that-ethanol-those-cellulosic-fuels-are-worth-4-33-a-gallon/

[fluky] 15/6/2017 14:44

Finally an update from Red Rock Biofuels...
hxxp://www.biofuelsdigest.com/bdigest/2017/06/14/jet-and-diesel-from-the-sticks-the-digests-2017-multi-slide-guide-to-red-rock-biofuels/
Unfortunately without the information we are all waiting for: financing and timeline...

[gac141] 12/6/2017 14:48

Sorry Visionon... The share price can move very quickly with the right piece of news... Shareholders/investors are looking for direction and without that the price has drifted down quite a way in the last few months, which has been disappointing I hope the management will feel the urge to be proactive on PR going forward.

[gac141] 12/6/2017 13:42

I am hopeful that Velocys will take the opportunity to give us regular updates; Either on their website or more formally by means of an Non RNS to keep shareholders and stakeholders up to speed with ENVIA.

[visionon] 12/6/2017 13:40

I don't dispute the challenge but I think it's important to understand that in 2009 there were not the regulatory and CSR drivers that are present now. There is growing demand for renewable transport and aviation fuels, and that is what VLS are targeting in the short term. Don't give up on your 125p yet, although I prefer my 50p with fund raise built in. Happy to be proven too bearish by you or your alter ego gac141...;)

[fluky] 12/6/2017 13:00

Vision: the JM-Davy example points out how difficult it is to sell GTL technology. JM-Davy can afford this because they have many other process technology in their portfolio. Velocys cannot with their single FT process technology. My 125p prediction was based on a perfect ENVIA startup. We are closing in on mid-year and the ENVIA plant is not running at nameplate capacity yet and is requiring lots of cash from Velocys. I am leaning to the second option I proposed...

[visionon] 12/6/2017 12:01

Fluky given that you opted for 125p in the xmas share price competition then presumably you consider the answer to be positive...

The Numis (TP 107p i.e. Less bullish than fluky) NPV apparently assumes one BTL contract award a year wef 2018 and one GTL award every two years wef from 2019. That sounds sensible to me provided ENVIA has at least six months capacity running under its belt by end 2017.

[fluky] 12/6/2017 10:01

I hope that the Velocys technology will get quicker to market than the Davy-BP-IHI process. The 300 bpd Nikiski plant ran between 2003 and 2009. JM-Davy was not able to sell any licence since the Nikiski GTL plant met all commercialisation targets in 2009...

[gac141] 08/6/2017 12:32

The selection of IHI E&C looks very promising...look at one of the proojects they were working on with BP... I doubt we were involved but the synergies are definitely there...

IHI E&C engineered and constructed a grass roots Gas-to-Liquids (GTL) test facility for BP Exploration (Alaska) Inc. in Nikiski, Alaska. The test facility was built to demonstrate a new technology for syngas generation combined with an improved process for converting syngas to 300 barrels per day of syncrude.



Highlights:
Demonstration of a new syngas generation technology named “Compact Reforming” owned by Davy Process Technology and BP
Remote location, severe winter weather
Commercial size Compact Reformer
Modular design
Scope included site selection, detailed design, procurement, construction, commissioning and start-up services
Large tents were utilized to allow concrete foundation installation during severe winter weather leading to improved schedule
Projects executed from IHI E&C’s office in Houston, TX, U.S.A.
Duration: 28 months

[goodgrief] 05/6/2017 14:21

Freeloader, With UK one of the biggest economies in Europe, is it any surprise? On a per capita basis, I bet there is very little between countries. UK has only one remaining coal fired power station, whilst Germany has a number of coal and lignite (even dirtier) plants! With nuclear shut down, what do they do when the sun don't shine and the wind don't blow?

[fluky] 05/6/2017 13:14

"The selection of IHI E&C for the FEL-2 engineering stage for the BTL route to market is an important step forward in identifying the right collection of strategic partners that are best positioned to deliver the Velocys offer to customers - fully integrated and financed, cost effective and operations-ready plants." Why don't they help Red Rock Biofuels to get their financing...Now IHI will carry out the pre-FEED engineering for their first BTL plant. Is the board living in an alternative reality? Where are the customers?

[dogwalker] 05/6/2017 09:12

Does VLS in fact make anything itself?

[deutsch3] 05/6/2017 09:07

Getting tied up with long winded projects again. - The work done so far is now being progressively swallowed up by established wolves. - Small scale, flexibly mobile,go anywhere GTL we no longer are! - Jobs for the boys, major government backed social projects with massive lead times. - When are we going to create the 'sausage machine' GTL units that can be strapped on anywhere( i.e. outside of the USA) - Another UK development hijacked.- Are these others going to bring money to the table - dream on!

[visionon] 05/6/2017 08:48

Indeed. IHI looks like a good partner to have on board judging by their CV. And perhaps some cultural synergy with Morimatsu on how things are done. Another piece in the jigsaw, but a long way to go yet.

[gac141] 05/6/2017 07:53

Another important step..Well done Team Velocys!

[dogwalker] 02/6/2017 12:18

I wonder also if the recent visit to S.Arabia just ahead of yesterday's announcement is in any way relevant.Regarding OPEC, pricing etc..

[dogwalker] 02/6/2017 08:47

Only because of possible long-term outcomes. It's an energy-related company; the US is becoming that little bit more insular & self-reliant; VLS's product originates on the back of that kind of idea, albeit from a different angle originally (physical distance etc).
Against that of course is the presumed re-opening of coal etc, though that again isn't necessarily bad if it reveals stranded seams which would have remained so before.

It's all nebulous stuff I fully admit, but on balance I'd imagine the news helps our cause here.

[thebigshortfella] 02/6/2017 08:22

Dogwalker - why do you think that?