Get a load of those Corn Oil numbers in GPRE's 2Q!
Out of nowhere?
Corn oil has now officially burst on the scene. This is Big. GPRE is one of the largest public companies producing ethanol. First they produced no corn oil. Next they signed an agreement to use GreenShift's patented technologies. Now they are producing a lot of corn oil. How much is important - but not nearly as important as to what it did to their bottom line. In the 2nd quarter GPRE gross profits in their corn oil segment was over 40% of what was achieved in their entire Ethanol division. Corn Oil operating income was nearly 55% of what was achieved in their entire Ethanol Division. For a relatively small capital outlay - this is having huge results in a time of tightening ethanol margins! This type of news travels fast. I predict every single Ethanol Producer decision maker who is still sitting on the sidelines - they will either get some kind of corn oil extraction plan now - or their replacements will.
My unsolicited suggestion? Don't low ball it. Do it right. Use the right equipment, use patented technologies and experienced support. Do it the way GPRE did it. From corn oil zero to corn oil profits. They have quickly built another significant, successful portion of their business.
SkunK
GPRE CC at 10 am today. (I will miss it - Hope someone posts the corn oil clock times in comments)
Here is link to their numbers that I used above.
Thursday, July 28, 2011
Subscribe to:
Post Comments (Atom)
Posts
2 comments:
And I think in qtr 2 they only produced at about 40% of their full potential. They doubled on qtr 1, but they have much more room to ramp up production and sales. I believe their 8 plants that are equipped and online producing c. oil with gers coes have a max yearly ethanol production capacity of 672 mmgy. They have a 9th plant who's coes will come online at the end of qtr 3 adding another 60 mmgy for a total of 732 mmgy max ethanol production from 9 ethanol plants, all fitted with GreenShift licensed COES!
And think GreenShift has 1 billion gallons ethanol production online and a total of 1.9 billion licensed, that's 15% of the industry, with 20% expected by years end.
Now if we can just be rid of the YA financing, maybe another investor would come in and pay the debt down in one swoop in exchange for say 5 million post r/s shares. Debt free the stock would soar and they could make a handsome profit when the stock is in the $10 range. Par is .0001 and the a/s is 20 billion.
Just thinking about possible solutions to the YAGI debt which has drowned longs in dilution and reverse splits. I say find a new financier or investor that has a more shareholder friendly beneficial financing plan. There has been no gains for long investors who have contributed so much to help fund the building of this company, only heavy devaluation. Something really needs to be done to switch out the financing, Shareholders are really taking losses and who knows how long more it will last, how much more dilution and splits can shareholders handle before they are all broke and have no more money to invest.
I hope Mr. Kreisler has a plan to maintain and build shareholder value.
Post a Comment