Biodiesel panel June 29 at the 2011 Fuel Ethanol Workshop & Expo in Indianapolis.
". . . Kevin Kreisler of GreenShift Corp. will give his unique perspective on the markets and opportunities."
See BIODIESEL Magazine Article HERE
See FEW Co Products Agenda 29 June HERE You can see Dave Winsness in the 1:30-3pm slot , followed by Kevin Kreisler in the 3:30-5pm slot.
SkunK
Wednesday, May 25, 2011
Tuesday, May 24, 2011
GPRE Reports
Corn oil extraction initiative has been a "significant positive event" for GPRE. [2:30-2:40]
Seeing an increase in net of 8-9 cents/pound for DDGs to around 35cents/pound net for Corn Oil.
". . . surpassing our expectations. . . "
They previously expected with an $18M investment they would get an $18M annual return. Now looking at an annual return of $25-$30M on corn oil! They expect to see 100m to 125 million ponds of corn oil production from their 9 ethanol plants. ". . .very excited about that as well . . ."
Hear HERE
Most of corn oil information: [16:14 to 17:25]
SkunK
New to GERS? Here is GPRE release (republished by GERS) and Here is the GPRE release (published by GPRE) - note 4th paragraph.
Seeing an increase in net of 8-9 cents/pound for DDGs to around 35cents/pound net for Corn Oil.
". . . surpassing our expectations. . . "
They previously expected with an $18M investment they would get an $18M annual return. Now looking at an annual return of $25-$30M on corn oil! They expect to see 100m to 125 million ponds of corn oil production from their 9 ethanol plants. ". . .very excited about that as well . . ."
Hear HERE
Most of corn oil information: [16:14 to 17:25]
SkunK
New to GERS? Here is GPRE release (republished by GERS) and Here is the GPRE release (published by GPRE) - note 4th paragraph.
Monday, May 23, 2011
New Litigation, Old Case
Here is some new litigation from an old case centering around the seed crushing plant in Montana that used to be owned by GreenShift. Thanks to Nobody who updated me in the comments to AnimalMother's Post on I-Hub. Here is all that is on Pacer as of now. Since I was at Pacer I also checked the MDL case and the last update there was the 6 May filing I posted on the 8th. This case does not come up under a GS CleanTech pacer search - so that's why I missed it till today.
Here is a quick history from the 1Q just out:
On October 31, 2006, the Company guaranteed a secured note issued by a wholly owned subsidiary of the Company’s former subsidiary, GS AgriFuels Corporation, in the principal amount of $6,000,000 to Stillwater Asset-Backed Fund, LP. The balance due to Stillwater at March 31, 2011 and December 31, 2010 was $2,071,886. The operations of GS AgriFuels were discontinued during 2009. Viridis Capital, LLC subsequently acquired the stock of GS AgriFuels during 2010, and has agreed to indemnify the Company with respect to the foregoing amounts.
More importantly from page 21 of the same 1Q:
Effective December 31, 2010, Viridis Capital, LLC and the Company entered into an agreement pursuant to which Viridis acquired the stock of GS AgriFuels Corporation and GS Design, Inc., from the Company for $5,000. The terms of the agreement provided for the acknowledgment by the parties of the continuing first priority security interest of the Company’s senior lender on the stock and assets of each entity, and the continuing guarantees and obligations of both Viridis and the Company with respect to amounts due from the Company to its senior lender. In addition, Viridis and the Company entered into an addendum to the December 31, 2010 agreement, pursuant to which Viridis agreed to indemnify and hold the Company harmless from and against any and all claims that may be asserted against the Company involving the acquired entities.
So it looks like Mr Kreisler has personally taken on the burden of any litigation that GS Agrifuels is involved in - to protect the interests of the GreenShift investors . . . not surprising in some parts . . . but a difficult narrative to explain in other parts of the GreenShift community.
***************
1:11-cv-03259-LBS Max et al v. GS Agrifuels Corporation et al
Leonard B. Sand, presiding
Date filed: 05/13/2011
Date of last filing: 05/13/2011
***************
SUMMONS ISSUED as to Mark Angelo, Carbonics Capital Corporation, GS Agrifuels Corporation, GreenShift Corporation, John Does 1 through 100, Kevin Kreisler, Paul Miller, Troy Rillo, Thomas Scozzafava, Sustainable Systems, Inc., Sustainable Systems, LLC, Viridis Capital, LLC, Ya Global Investments (U.S.), LP, Ya Global Investments II (U.S.), LP, Ya Global Investments LP, Ya Global Investments SPV, LLC, Yorkville Advisors, LLC. (ama)
Magistrate Judge Debra C. Freeman is so designated. (ama)
Case Designated ECF. (ama)
RULE 7.1 CORPORATE DISCLOSURE STATEMENT. No Corporate Parent. Document filed by Amazing Milling, LLC, Michael Amspaugh, Howard "Nick" Chandler, Stephen Charter, Conway Private Equity Group LLC, Edward T. Holzheimer, Lifeline Produce, Ian O. Mausner, David W. Max, Dallas Neil, Kent Perelman, Susan Russell, Eric Scott, Jenny Scott, Clay Franklin Scrogham, Gary Scrogham, Linda Scrogham, Michael Skinner.(ama)
COMPLAINT against Mark Angelo, Carbonics Capital Corporation, GS Agrifuels Corporation, GreenShift Corporation, John Does 1 through 100, Kevin Kreisler, Paul Miller, Troy Rillo, Thomas Scozzafava, Sustainable Systems, Inc., Sustainable Systems, LLC, Viridis Capital, LLC, Ya Global Investments (U.S.), LP, Ya Global Investments II (U.S.), LP, Ya Global Investments LP, Ya Global Investments SPV, LLC, Yorkville Advisors, LLC. (Filing Fee $ 350.00, Receipt Number xxxx)Document filed by Stephen Charter, Conway Private Equity Group LLC, Susan Russell, Edward T. Holzheimer, David W. Max, Lifeline Produce, Ian O. Mausner, Jenny Scott, Amazing Milling, LLC, Gary Scrogham, Linda Scrogham, Michael Skinner, Eric Scott, Michael Amspaugh, Clay Franklin Scrogham, Howard "Nick" Chandler, Dallas Neil, Kent Perelman.(ama)
SkunK
Ps. For the research hounds:
You can go back to the 2009 annual report for a history, pages 19 and 56. The way I understand it (which may or may not be the way someone else understands it) is the crushing plant was bought from a group who did not have a clear title. They only owned a right to purchase, which was about to expire. So after it was purchased, without a clear title, the plant could not be used for collateral for expansion. The plant could not be operated for profit in the state it was in - it needed to be expanded and modernized to achieve economies of scale. It lingered on, tied up in litigation . . until it finally went teats up. This litigation is echos of that. Here is from the 2009 10K:
The Company’s GS AgriFuels subsidiary is party to the matter entitled GS AgriFuels Corporation v. Chaykin, et al. The action was filed in the Supreme Court of the State of New York, County of New York, on February 2, 2009. The Complaint seeks damages for defendants' fraudulent misrepresentations, tortious interference, breach of acquisition agreements and related claims relating to the sale by the defendants of the stock of Sustainable Systems, Inc. (“Culbertson”) to GS AgriFuels, and arising from the disclosure by the defendants that Culbertson owned its Culbertson, Montana oilseed crushing facility when in fact Culbertson merely held the right to purchase the Montana facility at the time of the acquisition by GS AgriFuels; the failure to disclose by the defendants that Culbertson’s right to purchase the Montana facility, as well as any investment made in the Montana facility, was subject to forfeiture within months of entering into the acquisition agreements with GS AgriFuels; and, the provision by the defendants of materially false financial statements. The defendants served a separate action entitled Max, et al. v. GS AgriFuels Corporation, et al. in the Montana Fourth Judicial District Court in response to GS AgriFuels’ New York complaint; this Montana complaint was dismissed in January 2010. The New York court granted GS AgriFuels’ March 2010 motion for summary judgment as to liability on GS AgriFuels’ fraud and breach of contract claims on April 8, 2010. During 2008 and 2009, three of the former shareholders of Culbertson, corresponding to about 60% of the former shareholders’ prior ownership interest in Culbertson, entered into settlement agreements pursuant to which has all parties have been released from all obligations under the relevant acquisition agreements and otherwise. Management is unable to characterize or evaluate the probability of any outcome at this time.
Here is a quick history from the 1Q just out:
On October 31, 2006, the Company guaranteed a secured note issued by a wholly owned subsidiary of the Company’s former subsidiary, GS AgriFuels Corporation, in the principal amount of $6,000,000 to Stillwater Asset-Backed Fund, LP. The balance due to Stillwater at March 31, 2011 and December 31, 2010 was $2,071,886. The operations of GS AgriFuels were discontinued during 2009. Viridis Capital, LLC subsequently acquired the stock of GS AgriFuels during 2010, and has agreed to indemnify the Company with respect to the foregoing amounts.
More importantly from page 21 of the same 1Q:
Effective December 31, 2010, Viridis Capital, LLC and the Company entered into an agreement pursuant to which Viridis acquired the stock of GS AgriFuels Corporation and GS Design, Inc., from the Company for $5,000. The terms of the agreement provided for the acknowledgment by the parties of the continuing first priority security interest of the Company’s senior lender on the stock and assets of each entity, and the continuing guarantees and obligations of both Viridis and the Company with respect to amounts due from the Company to its senior lender. In addition, Viridis and the Company entered into an addendum to the December 31, 2010 agreement, pursuant to which Viridis agreed to indemnify and hold the Company harmless from and against any and all claims that may be asserted against the Company involving the acquired entities.
So it looks like Mr Kreisler has personally taken on the burden of any litigation that GS Agrifuels is involved in - to protect the interests of the GreenShift investors . . . not surprising in some parts . . . but a difficult narrative to explain in other parts of the GreenShift community.
***************
1:11-cv-03259-LBS Max et al v. GS Agrifuels Corporation et al
Leonard B. Sand, presiding
Date filed: 05/13/2011
Date of last filing: 05/13/2011
***************
SUMMONS ISSUED as to Mark Angelo, Carbonics Capital Corporation, GS Agrifuels Corporation, GreenShift Corporation, John Does 1 through 100, Kevin Kreisler, Paul Miller, Troy Rillo, Thomas Scozzafava, Sustainable Systems, Inc., Sustainable Systems, LLC, Viridis Capital, LLC, Ya Global Investments (U.S.), LP, Ya Global Investments II (U.S.), LP, Ya Global Investments LP, Ya Global Investments SPV, LLC, Yorkville Advisors, LLC. (ama)
Magistrate Judge Debra C. Freeman is so designated. (ama)
Case Designated ECF. (ama)
RULE 7.1 CORPORATE DISCLOSURE STATEMENT. No Corporate Parent. Document filed by Amazing Milling, LLC, Michael Amspaugh, Howard "Nick" Chandler, Stephen Charter, Conway Private Equity Group LLC, Edward T. Holzheimer, Lifeline Produce, Ian O. Mausner, David W. Max, Dallas Neil, Kent Perelman, Susan Russell, Eric Scott, Jenny Scott, Clay Franklin Scrogham, Gary Scrogham, Linda Scrogham, Michael Skinner.(ama)
COMPLAINT against Mark Angelo, Carbonics Capital Corporation, GS Agrifuels Corporation, GreenShift Corporation, John Does 1 through 100, Kevin Kreisler, Paul Miller, Troy Rillo, Thomas Scozzafava, Sustainable Systems, Inc., Sustainable Systems, LLC, Viridis Capital, LLC, Ya Global Investments (U.S.), LP, Ya Global Investments II (U.S.), LP, Ya Global Investments LP, Ya Global Investments SPV, LLC, Yorkville Advisors, LLC. (Filing Fee $ 350.00, Receipt Number xxxx)Document filed by Stephen Charter, Conway Private Equity Group LLC, Susan Russell, Edward T. Holzheimer, David W. Max, Lifeline Produce, Ian O. Mausner, Jenny Scott, Amazing Milling, LLC, Gary Scrogham, Linda Scrogham, Michael Skinner, Eric Scott, Michael Amspaugh, Clay Franklin Scrogham, Howard "Nick" Chandler, Dallas Neil, Kent Perelman.(ama)
SkunK
Ps. For the research hounds:
You can go back to the 2009 annual report for a history, pages 19 and 56. The way I understand it (which may or may not be the way someone else understands it) is the crushing plant was bought from a group who did not have a clear title. They only owned a right to purchase, which was about to expire. So after it was purchased, without a clear title, the plant could not be used for collateral for expansion. The plant could not be operated for profit in the state it was in - it needed to be expanded and modernized to achieve economies of scale. It lingered on, tied up in litigation . . until it finally went teats up. This litigation is echos of that. Here is from the 2009 10K:
The Company’s GS AgriFuels subsidiary is party to the matter entitled GS AgriFuels Corporation v. Chaykin, et al. The action was filed in the Supreme Court of the State of New York, County of New York, on February 2, 2009. The Complaint seeks damages for defendants' fraudulent misrepresentations, tortious interference, breach of acquisition agreements and related claims relating to the sale by the defendants of the stock of Sustainable Systems, Inc. (“Culbertson”) to GS AgriFuels, and arising from the disclosure by the defendants that Culbertson owned its Culbertson, Montana oilseed crushing facility when in fact Culbertson merely held the right to purchase the Montana facility at the time of the acquisition by GS AgriFuels; the failure to disclose by the defendants that Culbertson’s right to purchase the Montana facility, as well as any investment made in the Montana facility, was subject to forfeiture within months of entering into the acquisition agreements with GS AgriFuels; and, the provision by the defendants of materially false financial statements. The defendants served a separate action entitled Max, et al. v. GS AgriFuels Corporation, et al. in the Montana Fourth Judicial District Court in response to GS AgriFuels’ New York complaint; this Montana complaint was dismissed in January 2010. The New York court granted GS AgriFuels’ March 2010 motion for summary judgment as to liability on GS AgriFuels’ fraud and breach of contract claims on April 8, 2010. During 2008 and 2009, three of the former shareholders of Culbertson, corresponding to about 60% of the former shareholders’ prior ownership interest in Culbertson, entered into settlement agreements pursuant to which has all parties have been released from all obligations under the relevant acquisition agreements and otherwise. Management is unable to characterize or evaluate the probability of any outcome at this time.
Sunday, May 22, 2011
GPRE to Present this Tuesday
Green Plains Renewable Energy to Present at the Stephens Spring Investment Conference
OMAHA, Neb., May 19, 2011 (GLOBE NEWSWIRE) -- Green Plains Renewable Energy, Inc. (Nasdaq:GPRE) announced today that Todd Becker, President and Chief Executive Officer, will present at the Stephens Spring Investment Conference in New York City on May 24, 2011.
SEE HERE
***************
The SkunK believes GPRE to be GreenShift's biggest COES customer . . .
SkunK
OMAHA, Neb., May 19, 2011 (GLOBE NEWSWIRE) -- Green Plains Renewable Energy, Inc. (Nasdaq:GPRE) announced today that Todd Becker, President and Chief Executive Officer, will present at the Stephens Spring Investment Conference in New York City on May 24, 2011.
SEE HERE
***************
The SkunK believes GPRE to be GreenShift's biggest COES customer . . .
SkunK
Tuesday, May 17, 2011
ICM Files Patent - for Corn Oil 'Seperation'
After consistently claiming that corn oil extraction was somehow outside the bounds of the patent system, ICM has now filed for a patent.
WOW! Look at this specific claim:
The Advanced Oil System design and method falls outside of all patent claims of GreenShift Corporation’s patent, according to Brian Burris, general counsel for ICM.
SEE HERE
SkunK
ps What is the difference between Corn Oil Extraction and Corn Oil Seperation? And for that matter what is the difference between Corn Oil Seperation and Corn Oil Separation? -lol
pss For those of you who think this spelling and capitalization thing is not important - I could tell you why I think it is - but first I have to help my Uncle Jack off his horse.
United Ethanol Newsletter
United Ethanol's May Newsletter is out.
Our corn oil extraction facility was brought online with minimal set backs and great day-today consistency. We’re in the process of testing an emulsion breaker that has given us added production without increasing our residence time or temperature. We’ve also been able to have tighter controls on our dry distiller’s grain (DDG) color and moisture. At today’s prices, corn oil extraction will add about 3.5 million in revenue to United Ethanol.
$$$$$$$$$
Through the first quarter of 2011, United Ethanol produced 10,553,367 gallons of undenatured ethanol. We also produced 30,005 tons of DDG, 2,099 tons of wet distiller’s grain, 10,548 tons of liquefied carbon dioxide, and extracted 1,214,452 pounds of corn oil.
$$$$$$$$$
The maintenance department has been wrapping up the cornoil extraction process and planning for the possible installation of a new cooling tower -- in addition to daily maintenance and repairs.
See Here
SkunK
According to my calculations - United is producing corn oil at a rate of .01514#/gallon of ethanol - or some 50% higher than SIRE. That is ONLY "great" if we assume United ran the COES the whole 1Q! But it appears they started up during the 1Q - and depending on when they started up we might be past "great" and could be talking "fantastic"!
Sometimes I forget we have a wide audience and sometimes things need to be (re)said. Here is a SkunK recap of a complicated history. United signed up with GERS for a COES many moons ago. During the Great Recession, with no credit to be had, the deal fell through. They have again (re)signed up with the leader in the field and it brings great pleasure to many of us grey beards to see them apparently fat and happy with the system they have installed.
Is this emulsion breaker GreenShift's? or Ashland's? or a surprise third party like ESYR?
ps Thanks to Slash for the Heads up on the site update.
The "underlines" in the quotes above are mine.
**************
'And' something eclectic for the grammer hounds . . . [day-today]?????
Words whose spelling changes according to how they are used . . .
Spaced words as noun phrases or adverbial phrases; hyphenated compounds as compound adjectives (or unit modifiers) preceding nouns:
day to day (as in We worked day to day), day-to-day (as in our day-to-day routine); door to door, door-to-door; eye to eye, eye-to-eye; long distance, long-distance (but always long-distance in reference to telephone calls, as in I ran a long distance in a long-distance race to call you long-distance); long term, long-term; one time, one-time; out of bounds, out-of-bounds; out of court, out-of-court; right to work; right-to-work; roll call, roll-call; note: second-rate (in all uses); side by side, side-by-side; white collar, white-collar; working class, working-class
Our corn oil extraction facility was brought online with minimal set backs and great day-today consistency. We’re in the process of testing an emulsion breaker that has given us added production without increasing our residence time or temperature. We’ve also been able to have tighter controls on our dry distiller’s grain (DDG) color and moisture. At today’s prices, corn oil extraction will add about 3.5 million in revenue to United Ethanol.
$$$$$$$$$
Through the first quarter of 2011, United Ethanol produced 10,553,367 gallons of undenatured ethanol. We also produced 30,005 tons of DDG, 2,099 tons of wet distiller’s grain, 10,548 tons of liquefied carbon dioxide, and extracted 1,214,452 pounds of corn oil.
$$$$$$$$$
The maintenance department has been wrapping up the cornoil extraction process and planning for the possible installation of a new cooling tower -- in addition to daily maintenance and repairs.
See Here
SkunK
According to my calculations - United is producing corn oil at a rate of .01514#/gallon of ethanol - or some 50% higher than SIRE. That is ONLY "great" if we assume United ran the COES the whole 1Q! But it appears they started up during the 1Q - and depending on when they started up we might be past "great" and could be talking "fantastic"!
Sometimes I forget we have a wide audience and sometimes things need to be (re)said. Here is a SkunK recap of a complicated history. United signed up with GERS for a COES many moons ago. During the Great Recession, with no credit to be had, the deal fell through. They have again (re)signed up with the leader in the field and it brings great pleasure to many of us grey beards to see them apparently fat and happy with the system they have installed.
Is this emulsion breaker GreenShift's? or Ashland's? or a surprise third party like ESYR?
ps Thanks to Slash for the Heads up on the site update.
The "underlines" in the quotes above are mine.
**************
'And' something eclectic for the grammer hounds . . . [day-today]?????
Words whose spelling changes according to how they are used . . .
Spaced words as noun phrases or adverbial phrases; hyphenated compounds as compound adjectives (or unit modifiers) preceding nouns:
day to day (as in We worked day to day), day-to-day (as in our day-to-day routine); door to door, door-to-door; eye to eye, eye-to-eye; long distance, long-distance (but always long-distance in reference to telephone calls, as in I ran a long distance in a long-distance race to call you long-distance); long term, long-term; one time, one-time; out of bounds, out-of-bounds; out of court, out-of-court; right to work; right-to-work; roll call, roll-call; note: second-rate (in all uses); side by side, side-by-side; white collar, white-collar; working class, working-class
Monday, May 16, 2011
SIRE Self-Reports
Doing a little math, one can see in this current SIRE report that it is producing at the rate of almost exactly "one tenth of a pound" of corn oil/gallon of ethanol produced.
SEE HERE 2nd page
This is the math I used:
1439 tons x 2,000# = 2,878,000#
gallons of ethanol produced = 28,728,974
= .10018# of corn oil /gallon of Ethanol produced
**************
GreenShift claims consistent rates of 4 gallons of corn oil/100 gallons of ethanol produced - or about 4% HERE
At 7.6# for a gallon of corn oil, that is over 30#/100 gallons or .3#/gallon. Three times the SIRE rate.
SkunK
ps Here is a little history of SIRE and their ICM tricanter
This SIRE rate appears to be an improvement as stated here on first page:
"We began Corn oil extraction in November, 2010 and are seeing a steady increase in our production. Corn oil is currently generating good margins and has been a great addition to our co-product stream."
pss - Let me just throw this out there - not being any kind of accountant or anything - but if you were making money at one rate of extraction, would you make more money at three times the rate? Even with a royalty? Lets do the math. If first they are making 1 "unit" and they bought into method I and they are now they are making 3 "units" minus 20%, I think that would leave them with 2.4 "units". The only question left is whether they would be rather making 1 or 2.4 "units" of revenue.
Now I am not saying things are not more complicated than that in the real world. For instance I make my own wine as one of my many hobbies. By the time I buy a bottle and the cork and the seal and the label and the sugar and the yeast and the fruit and invest the labor - I could have purchased a fairly good table wine and saved all the trouble. Yet I choose to make the wine because it gives me enjoyment to do it myself. It is not a business decision - it is a hobby. I am not saying some like to extract corn oil themselves because they enjoy doing it themselves, regardless of the obvious fiances - or am I? I though my hobby was expensive!
SEE HERE 2nd page
This is the math I used:
1439 tons x 2,000# = 2,878,000#
gallons of ethanol produced = 28,728,974
= .10018# of corn oil /gallon of Ethanol produced
**************
GreenShift claims consistent rates of 4 gallons of corn oil/100 gallons of ethanol produced - or about 4% HERE
At 7.6# for a gallon of corn oil, that is over 30#/100 gallons or .3#/gallon. Three times the SIRE rate.
SkunK
ps Here is a little history of SIRE and their ICM tricanter
This SIRE rate appears to be an improvement as stated here on first page:
"We began Corn oil extraction in November, 2010 and are seeing a steady increase in our production. Corn oil is currently generating good margins and has been a great addition to our co-product stream."
pss - Let me just throw this out there - not being any kind of accountant or anything - but if you were making money at one rate of extraction, would you make more money at three times the rate? Even with a royalty? Lets do the math. If first they are making 1 "unit" and they bought into method I and they are now they are making 3 "units" minus 20%, I think that would leave them with 2.4 "units". The only question left is whether they would be rather making 1 or 2.4 "units" of revenue.
Now I am not saying things are not more complicated than that in the real world. For instance I make my own wine as one of my many hobbies. By the time I buy a bottle and the cork and the seal and the label and the sugar and the yeast and the fruit and invest the labor - I could have purchased a fairly good table wine and saved all the trouble. Yet I choose to make the wine because it gives me enjoyment to do it myself. It is not a business decision - it is a hobby. I am not saying some like to extract corn oil themselves because they enjoy doing it themselves, regardless of the obvious fiances - or am I? I though my hobby was expensive!
Sunday, May 15, 2011
Another Sign
Another sign about just how important this 1Q is - is the quickness and the prominence the company has used to display it on the GERS website. It is now on the home page HERE, and under presentations and reports HERE.
Of course, if you like a printed copy - where the pages are clear and crisp and do not run into each other - nothing beats that PDF put out by the company - HERE
SkunK
Of course, if you like a printed copy - where the pages are clear and crisp and do not run into each other - nothing beats that PDF put out by the company - HERE
SkunK
Saturday, May 14, 2011
Timely
Before this 1Q, has GreenShift ever filed a quarterly or annual report without taking an extension? Sure they have - but the SkunK had to go back to the heady days of the second and third quarter of 2007 to find examples. The recent annual report came out on the same day as the request for an extension so we have a definite recent trend towards timeliness. Many have also commented on the increased professional look of the filings. Perhaps this is another sign of a turn around? That's my question - now you decide. . .
SkunK
SkunK
Positive Cash Flow
We have already made significant progress this year on each of these fronts:
New Agreements We entered into several new agreements during the first quarter, including an agreement to design and build the first commercial system based on our patent-pending Method II (whole stillage) corn oil extraction process.
Debt Reduction We reduced our debt to YA Global by about an additional $7 million, down to a principal balance of about $26 million as of March 31, 2011.
Cash Flow We eliminated our cash burn as of the end of 2010 and returned to positive cash flow during the first quarter of 2011.
Operating Income With only some of our licensed plants producing corn oil during the quarter, we generated about $5.8 million in operating income, or about $882,000 in operating income net of the non-recurring impact of the YA Corn Oil Transaction and sale of our previously-owned extraction systems.
SkunK
GERS still cannot service and eliminate debt out of cash flow - although they hope to reach that this year. The operation itself is creating a positive cash flow - an important turning point.
New Agreements We entered into several new agreements during the first quarter, including an agreement to design and build the first commercial system based on our patent-pending Method II (whole stillage) corn oil extraction process.
Debt Reduction We reduced our debt to YA Global by about an additional $7 million, down to a principal balance of about $26 million as of March 31, 2011.
Cash Flow We eliminated our cash burn as of the end of 2010 and returned to positive cash flow during the first quarter of 2011.
Operating Income With only some of our licensed plants producing corn oil during the quarter, we generated about $5.8 million in operating income, or about $882,000 in operating income net of the non-recurring impact of the YA Corn Oil Transaction and sale of our previously-owned extraction systems.
SkunK
GERS still cannot service and eliminate debt out of cash flow - although they hope to reach that this year. The operation itself is creating a positive cash flow - an important turning point.
1Q - Currently In Negotiations?
Infringement
"We are currently and are likely in the future to be subject to claims, negotiations or complex, protracted litigation in connection with the enforcement of our intellectual property rights." p.27
The great way that the English language can be constructed with various conjunctions and lists - there are many potential ways to read the information in a sentence. At each juncture or list one can pick any of the items and read it with equal legitimacy. ONE WAY - the SkunK believes this sentence can be read above is by just reading the underlined parts.
We are currently subject to negotiations in connection with the enforcement of our intellectual property rights.
SkunK
I am NOT trying to start a rumor that we are in settlement negotiations. However it appears that if we were - or will be - the sentence above in the 1Q just gave shareholders notice.
In the recent annual - the closest we had was this sentence. Even more complex - but could be basically read the same?
"In connection with the enforcement of our own intellectual property rights, the acquisition of third-party intellectual property rights, or disputes relating to the validity or alleged infringement of third-party intellectual property rights, including patent rights, we are currently and may in the future be subject to claims, negotiations or complex, protracted litigation."
"We are currently and are likely in the future to be subject to claims, negotiations or complex, protracted litigation in connection with the enforcement of our intellectual property rights." p.27
The great way that the English language can be constructed with various conjunctions and lists - there are many potential ways to read the information in a sentence. At each juncture or list one can pick any of the items and read it with equal legitimacy. ONE WAY - the SkunK believes this sentence can be read above is by just reading the underlined parts.
We are currently subject to negotiations in connection with the enforcement of our intellectual property rights.
SkunK
I am NOT trying to start a rumor that we are in settlement negotiations. However it appears that if we were - or will be - the sentence above in the 1Q just gave shareholders notice.
In the recent annual - the closest we had was this sentence. Even more complex - but could be basically read the same?
"In connection with the enforcement of our own intellectual property rights, the acquisition of third-party intellectual property rights, or disputes relating to the validity or alleged infringement of third-party intellectual property rights, including patent rights, we are currently and may in the future be subject to claims, negotiations or complex, protracted litigation."
Friday, May 13, 2011
1Q is Out!
As of May 12, 2011, there were 11,652,841,863 shares of common stock outstanding.
During the second quarter 2011, Viridis Capital, LLC, the Company’s majority shareholder, surrendered a total of 6 billion common shares, which shares were cancelled as of May 12, 2011. A total of 10 billion common shares were surrendered and cancelled by Viridis Capital between November 2010 and May 12, 2011. p22
Total revenues for the three months ended March 31, 2011 were $7.7 million as compared the $1.3 million generated during the three months ended March 31, 2010. The increase in revenue during 2011 was due to the impact of new licenses executed during 2010, increased corn oil production by our licensees, the increased market value of corn oil, and the award of one-time, non-cash performance bonuses of about $4.9 million in connection with the YA Corn Oil Transaction. p. 28
Our goals for 2011 are to improve on our 2010 performance by working with our licensees to maximize the benefits and minimize the costs of recovering corn oil; by licensing new ethanol facilities producing 1.3 BGY of ethanol, corresponding to about another 10% of the market; by reducing debt by at least another 33%; and, by generating meaningful positive cash flow from operations and operating income. We expect that realization of these goals will enable us to begin repaying our remaining debt out of cash flow by the end of this year. Achieving this milestone is a key objective for 2011.
See HereDuring the second quarter 2011, Viridis Capital, LLC, the Company’s majority shareholder, surrendered a total of 6 billion common shares, which shares were cancelled as of May 12, 2011. A total of 10 billion common shares were surrendered and cancelled by Viridis Capital between November 2010 and May 12, 2011. p22
Total revenues for the three months ended March 31, 2011 were $7.7 million as compared the $1.3 million generated during the three months ended March 31, 2010. The increase in revenue during 2011 was due to the impact of new licenses executed during 2010, increased corn oil production by our licensees, the increased market value of corn oil, and the award of one-time, non-cash performance bonuses of about $4.9 million in connection with the YA Corn Oil Transaction. p. 28
Our goals for 2011 are to improve on our 2010 performance by working with our licensees to maximize the benefits and minimize the costs of recovering corn oil; by licensing new ethanol facilities producing 1.3 BGY of ethanol, corresponding to about another 10% of the market; by reducing debt by at least another 33%; and, by generating meaningful positive cash flow from operations and operating income. We expect that realization of these goals will enable us to begin repaying our remaining debt out of cash flow by the end of this year. Achieving this milestone is a key objective for 2011.
SkunK
Cardinal: Corn oil production was below expectations
Corn Oil
Management anticipates continuing to increase our corn oil production during our 2011 fiscal year as we continue to refine the operation of our corn oil extraction equipment. We entered into an ICM Equipment Testing Agreement with ICM, Inc., the manufacturer of our corn oil equipment, for advanced oil recovery in October 2010. Pursuant to this Agreement, ICM will test new equipment to attempt to recover more corn oil from the plant.
Our corn oil sales increased in the three month period ended March 31, 2011 as compared to the same period in 2010 as a result of increased production in the three month period ended March 31, 2011. Our corn oil production was below expectations for the quarter ended March 31, 2011, mainly due to our work with ICM on installing and testing the advanced oil recovery system referred to above. In March and April 2011, we began testing an additive that shows promise in significantly improving oil production. During the third fiscal period we intend to evaluate which technology, the advanced oil recovery system or the additive, will be most effective and economical in achieving desired production. Corn oil prices increased for the quarter ended March 31, 2011. Management attributes this increase to the increase in biodiesel production as a result of the extended tax credit as well as the increase in the demand for fat in some livestock rations.
See Here page 23
SkunK
PS. The underlines in the above quote are mine and used to point out what I think are noteworthy. You may not think so and that's OK. Is the additive the same Ashland additive I featured in the last two blogs? Man, that's too much of a coincidence . . . Look at "Other Costs in the chart on page 22 - I am amaized that a ("typical", I assume?) ethanol plant spends three times more money on chemicals and additives than they do on labor costs/gallon of ethanol produced.
Management anticipates continuing to increase our corn oil production during our 2011 fiscal year as we continue to refine the operation of our corn oil extraction equipment. We entered into an ICM Equipment Testing Agreement with ICM, Inc., the manufacturer of our corn oil equipment, for advanced oil recovery in October 2010. Pursuant to this Agreement, ICM will test new equipment to attempt to recover more corn oil from the plant.
Our corn oil sales increased in the three month period ended March 31, 2011 as compared to the same period in 2010 as a result of increased production in the three month period ended March 31, 2011. Our corn oil production was below expectations for the quarter ended March 31, 2011, mainly due to our work with ICM on installing and testing the advanced oil recovery system referred to above. In March and April 2011, we began testing an additive that shows promise in significantly improving oil production. During the third fiscal period we intend to evaluate which technology, the advanced oil recovery system or the additive, will be most effective and economical in achieving desired production. Corn oil prices increased for the quarter ended March 31, 2011. Management attributes this increase to the increase in biodiesel production as a result of the extended tax credit as well as the increase in the demand for fat in some livestock rations.
See Here page 23
SkunK
PS. The underlines in the above quote are mine and used to point out what I think are noteworthy. You may not think so and that's OK. Is the additive the same Ashland additive I featured in the last two blogs? Man, that's too much of a coincidence . . . Look at "Other Costs in the chart on page 22 - I am amaized that a ("typical", I assume?) ethanol plant spends three times more money on chemicals and additives than they do on labor costs/gallon of ethanol produced.
Tuesday, May 10, 2011
1/3 of all Ethanol Plants
Inedible corn oil is an emerging co-product for the ethanol industry. Today, about 1/3 of all ethanol plants in production are producing some type of inedible corn oil.
Ashland Echo from yesterday's blog.
See HERE
SkunK
ps - You may have seen this already?
Ashland Echo from yesterday's blog.
See HERE
SkunK
ps - You may have seen this already?
Monday, May 9, 2011
Ashland Chemistry
As reported in a previous blog this COES add on appears to use chemistry to enhance mechanical means.
"Ashland PTV M-5309 corn oil extraction aid is a proprietary, non-polymeric, liquid product that significantly increases corn oil production by improving the release of oil during mechanical extraction."
They have today issued a pr here. They "claim" a cleaner oil and up to three times previous production.
"The product has received the generally recognized as safe (GRAS) and Kosher certifications. Additionally, Ashland has a pending patent application for use of Ashland PTV M-5309 in corn oil extraction."
The corn oil extracted on the front end is for consumption and commonly uses potentially dangerous chemicals: Almost all (edible) corn oil is expeller pressed, then solvent extracted using hexane or isohexane - so the idea of using chemicals in extraction is hardly new.
Here are 24 things Ashland sells to the biorefining industry. HERE is their Corn oil site.
SkunK
"Ashland PTV M-5309 corn oil extraction aid is a proprietary, non-polymeric, liquid product that significantly increases corn oil production by improving the release of oil during mechanical extraction."
They have today issued a pr here. They "claim" a cleaner oil and up to three times previous production.
"The product has received the generally recognized as safe (GRAS) and Kosher certifications. Additionally, Ashland has a pending patent application for use of Ashland PTV M-5309 in corn oil extraction."
The corn oil extracted on the front end is for consumption and commonly uses potentially dangerous chemicals: Almost all (edible) corn oil is expeller pressed, then solvent extracted using hexane or isohexane - so the idea of using chemicals in extraction is hardly new.
Here are 24 things Ashland sells to the biorefining industry. HERE is their Corn oil site.
SkunK
Sunday, May 8, 2011
Court Records Update
The following court things may be important - but they are so outside my experience I have little idea about what they mean in the big picture - or more to the point - do they help or hurt GreenShift? Happy to have your opinions. Maybe we have a Perry Mason, Esquire out their ready to provide some comments pro bono publico . . .Here are some recent court documents. These first two are court orders dated this last Friday and are signed by the judge..
*****************
Here are the Documents that were submitted leading up to the two court orders.
Proposed Joint Claim Chart
Happy Reading,
SkunK
Thursday, May 5, 2011
New Marquis Web Site
Tuesday, May 3, 2011
Patent Issued
As predicted here last Saturday the GreenShift Patent for Continuous Production of Biodiesel Fuel was issued. Patent #7,935,840.
See Here
Here is PR announcing Notice of Allowance for this patent
PS. On October 31, 2006, the Company’s subsidiary, GS AgriFuels completed the acquisition of NextGen Fuel, Inc. p. 47
SkunK
See Here
Here is PR announcing Notice of Allowance for this patent
PS. On October 31, 2006, the Company’s subsidiary, GS AgriFuels completed the acquisition of NextGen Fuel, Inc. p. 47
SkunK
Sunday, May 1, 2011
Hot!
Want proof that corn oil extraction is "Hot"? COES are now mainstream? How about; now everyone that serves the industry wants in on the action.
Here is a product that will aid the Corn Oil Extraction process and make it more satisfying for you and your commercial partner . . . through "Good Chemistry".
SEE HERE
WEB SITE HERE
SkunK
Here is a product that will aid the Corn Oil Extraction process and make it more satisfying for you and your commercial partner . . . through "Good Chemistry".
SEE HERE
WEB SITE HERE
SkunK
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