posted
"I believe the offer tabled by our future partner warrants immediate clarification of its terms and conditions," stated Dr. Cavasin. "In a nutshell, the presently proposed terms and conditions contained in the offer do represent an acquisition of controlling interests by the consortium at a valuation of US$2.05 per share," further added Dr. Cavasin.
posted
from Han2004fl at IH *** NEWS of interest ... I think this is why the deal is going to be signed.. and this makes sense about recent India contract.
ETHANOL IN INDIA - INFORMATION AND USEFUL LINKS
Fri, 9 February 2007 India imports nearly 70% of its annual crude petroleum requirement, which is appox. 110 million tons. The prices are in the range of US$ 50-70 per barrel, and the expenditure on crude purchase is in the range of Rs.1600 billion per year, impacting in a big way, the country's foreign exchange reserves.( Oil Prices touched a record high of $76 per barrel )
The petroleum industry now looks very committed to the use of ethanol as fuel, as it is expected to benefit sugarcane farmers as well as the oil industry in the long run. Ethanol (FUEL ETHANOL) can also be produced from wheat, corn, beet, sweet sorghum etc. Ethanol is one of the best tools to fight vehicular pollution, contains 35% oxygen that helps complete combustion of fuel and thus reduces harmful tailpipe emissions. It also reduces particulate emissions that pose a health hazard.
This website with an aim to promote the production of ethanol brings together all the information required (ETHANOL PLANT MACHINERY & TECHNOLOGY, PROJECT FINANCE, GOVT SCHEMES & APPROVALS FOR FUEL ETHANOL PLANTS , ETHANOL DISTILLATION, ETHANOL PRODUCTION, FERMENTATION, MOLECULAR SIEVE TECHNOLOGY , FUEL ETHANOL PLANTS COMMISSIONED.) for the ethanol producer. Plans to set up an online ethanol marketplace connecting buyers and suppliers.
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SUGAR INDUSTRY PERSPECTIVE & ETHANOL PRODUCTION
India is the largest producer of sugar in the world. In terms of sugarcane production, India and Brazil are almost equally placed. In Brazil, out of the total cane available for crushing, 45% goes for sugar production and 55% for the production of ethanol directly from sugarcane juice. This gives the sugar industry in Brazil an additional flexibility to adjust its sugar production keeping in view the sugar price in the international market as nearly 40% of the sugar output is exported.
The annual projected growth rate in the area under sugarcane at 1.5% per annum has doubled during the last five years. This is because it is considered to be an assured cash crop with good returns to the farmers vis-a-vis other competing crops.
India is currently passing through a glut situation with closing stocks at the end of the year of over 100 lakh tons since 1999-2000. Correspondingly, molasses production has also increased. The table below gives the production of molasses, alcohol utilization by the alcohol-based chemical industry, potable sector and the surplus at the end of each year. It is therefore evident that along with sugarcane production, phenomenal growth is also taking place in the production of molasses, the basic raw material for the production of ethanol from sugarcane. Of course, there are also other agro routes available to produce ethanol.
According to MPNG, 5% ethanol blends on an all-India basis would require 500 million liters. The current availability of molasses and alcohol would be adequate to meet this requirement after fully meeting the requirement of the chemical industry and potable sectors.
AVAILABILITY
In the absence of a well knit policy in the past for purchasing and blending ethanol, not many distilleries have been producing ethanol. Only three distilleries attached to sugar mills had war years’ experience, and were able to gear themselves up to supply ethanol immediately. Now, about 11 factories in Uttar Pradesh will be adding facilities to produce about 75 million liters of anhydrous alcohol by end-September; 7 units in Tamil Nadu (production capacity of 62.5 million liters of anhydrous alcohol); 8 in Karnataka (anhydrous alcohol production capacity of 66.5 million liters); and 4 units in Andhra Pradesh (capacity of over 40 million liters). Similar steps have also be taken up by the cooperative sector units in Maharashtra, Punjab and UP. By the end of the year it is estimated that about 300 million liters capacity would have been created for the production of anhydrous alcohol.
As capacities are built up, the oil sector should also be able to generate that much demand for ethanol to guard against any idling capacity. The Petroleum Ministry may therefore like to look into this matter and ensure that the oil sector speeds up the creation of requisite facilities for blending ethanol with petrol. So far generation of demand for ethanol has been very low and it takes considerable time for IOC’s units to finalize purchase of ethanol against offers made by distilleries in response to their tenders.
In the Indian Sugar Mill Association, this matter was recently examined and it was concluded that instead of taking up the scheme on a state-wise basis, it would be appropriate to take it up in metropolitan and other cities where environmental pollution is a major concern. The blending should be taken up to 10% and introduced selectively to make a better impact on the environment, as no changes in the engine or carburetor are required, and other countries are already carrying this out successfully.
COST There is considerable scope for further reduction in the cost of production of both sugarcane and sugar in India with liberalization of controls on the sugar industry. Consolidation of land holdings and corporate farming on the raw material side and expansion of capacity on the unit size are important developments and would lead to substantial improvements in productivity, thereby rendering India a cost-effective producer of sugar in the world.
The area under sugarcane is presently less than 2% of total cultivable area in the country and about 3% of the irrigated area. There is considerable scope for increasing the area under sugarcane considering the fact that it is more profitable compared to other crops. The Planning Commission has visualized a conservative increase in area under sugarcane by 6 lakh hectares during the 10th Plan period, but considering past trends, the area under cane is likely to exceed 5 million hectares (see table).
During the 10th Plan period, the annual incremental growth in consumption has been estimated at 9 lakh tons per annum. For the first time the Indian Government has fixed a target of 15 lakh tons per annum for export for this period. However, the production target was fixed at 21.3 million tons keeping in view the large carry forward stocks at the beginning of the period and to correct the demand-supply distortions presently caused. These targets are achievable looking at the performance of the industry in the past with a production of 18.5 million tons achieved in 2000-01.
CONCLUSION
In conclusion, the sugar industry will not be lacking in meeting the requirement of ethanol. In a market economy, there would be a considerable shift from the gur and khandsari sectors which are inefficient producers with poor quality. In the current scenario of glut in sugar production, it may be advisable to divert such additional cane for the production of alcohol after meeting the sweetener requirement. The additional availability of alcohol on the assumption that the entire cane is utilized for the production of sweeteners will be about 200 million liters over and above that indicated in the table. Alternatively, if additional cane available is utilized for the production of alcohol to bring in a balance in the demand and supply of sugar, the alcohoI production at the end of the 10th Plan would be around 1,485 million liters. Such a flexibility has become very relevant in the current scenario of economy liberalization and more particularly as a means to correct the aberrations in sugar production.
-------------------- "Man who excels at putting worm on hook is Master Baiter" Posts: 678 | From: Boise, Idaho | Registered: Nov 2005
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posted
It will rally HUGE once the LOI is signed on 2/15
But the stock should start going back up after the sell off from .145 when the news first started circulating a few days back
Posts: 817 | From: Florida | Registered: Feb 2006
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posted
This is old news but I'm watching MLXO closely.
Michelex, Corp. Hires NY Investment Banking Firm JH Darbie & Co. Inc. to Complete the Purchase of AGPro Soybean Processing and Oil Assets as Well as to Fuel Anticipated Ramp Up in Business
MASSENA, N.Y., Jan 25, 2007 (*********wire via COMTEX) -- Michelex Corp. (Pink Sheets:MLXO) ("Michelex" or the "Company"), a plastic manufacturing company with its offices in Utah, and an audio record production group located in New York announced today that it has signed an Exclusive Investment Banking agreement with JH Darbie, located 99 Wall Street New York, to arrange financing for up to $5 million, in order to consummate the purchase of the AGPro soybean crushing and soybean oil refining assets located at Massena, New York in St. Lawrence County. JH Darbie has stated several factors that lend insight toward their confidence in carrying out this raise, geared to enable Michelex to enter the rapidly growing soybean oil refining and processing business. The soybean market has been bolstered primarily due to recent trans-fat replacement regulations, as well as momentum towards alternative fuel and increased demand for Bio-diesel. St. Lawrence County is an ideal location for operating a Soybean Processing Plant as it provides among the lowest electrical power cost in the country; St Lawrence County has readily available farmland, and enjoys proximity to the country's largest East Coast population. Thomas Gramuglia, Chief Executive Officer of Michelex also commented from its head quarters in Utah; "Sales in our plastics business continue to ramp up nicely now that we have eliminated our debt to Wells Fargo Business Credit. We are also excited about our Plastics' Business Outlook for 2007, and share JH Darbie's enthusiasm for value driven opportunities."
Posts: 806 | From: CT | Registered: Dec 2005
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posted
got some at .085 soon as i sold RGNO, unsettled funds so i CANT sell till next tues/wed? wednsday i think!. hope it works out!! looking good so far.
Posts: 2503 | From: connecticut | Registered: Mar 2005
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posted
This is the latest PR and from my understanding the CEO is the one with the current controlling interest in the company. This last PR states that this SEA Consortium wants to have the controlling interest in the company.("I believe the offer tabled by our future partner warrants immediate clarification of its terms and conditions," stated Dr. Cavasin. "In a nutshell, the presently proposed terms and conditions contained in the offer do represent an acquisition of controlling interests by the consortium at a valuation of US$2.05 per share," further added Dr. Cavasin.) (They want the technology this company controls) The way I understand them being able to do this is to buy 51% of the total shares. The CEO currently owns 51% of the shares now, so they would have to issue a small amount more to be able to have enough shares, without the CEO giving up his. He is going to place all of his shares in an escrow in the meantime. The company stated the current offer is for $2.05 per share. According to the company they will have the final offer out on February 15th(Thursday). If an LOI comes out and states they will be buying our shares for $2.05, this will sky rocket. This is just my take on the current events. I recommend visiting the company website and reading a little...TRULY AMAZING!
CURRENT SHARE STRUCTURE: Outstanding Shares: 98.000,000 as of 2005-04-21
Estimated Market Cap: Not Available Float: 26,000,000 as of 2006-04-21
ACMG -- Alcar Chemicals Group, Inc. (The) Com ($0.001)
COMPANY NEWS AND PRESS RELEASES FROM OTHER SOURCES:
Alcar's CEO Provides Clarification on South East Asia Offer
MONTREAL, Feb 07, 2007 (MARKET WIRE via COMTEX) -- Alexander P. Cavasin, CEO of Alcar Chemicals Group Inc. (PINKSHEETS: ACMG), issues an update on the acquisition offer received from the SEA consortium. "I believe the offer tabled by our future partner warrants immediate clarification of its terms and conditions," stated Dr. Cavasin. "In a nutshell, the presently proposed terms and conditions contained in the offer do represent an acquisition of controlling interests by the consortium at a valuation of US$2.05 per share," further added Dr. Cavasin.
According to the company, this partnership between the consortium and ACMG will require four 1M gal daily ethanol plants to be built and located in Thailand and Malaysia, immediately following the completion of the 1st Canadian plant and the scale up engineering, for which, under this offer, the required financing is being provided by the consortium. Although dilution will be kept at a minimum, the consortium will gain controlling interests of ACMG. In order to move the transaction forward, Dr. Cavasin has placed all of his shares into escrow pending the closing of the proposed offer.
The company states that it is now quickly moving towards completing the LOI, which is expected to be signed on February 15th, at which time all terms and conditions will be released accordingly.
About The Alcar Group
The Alcar Chemicals Group (PINKSHEETS: ACMG) represents a significant market opportunity due to a serious worldwide supply shortage of raw materials for polymers as well as an increased requirement for ethanol and biodiesel. ACMG has been concentrating on innovative methods for biomass (forestry waste, agricultural waste and non-food crop) valorization for the past decade, specifically petroleum-independent fuel and plastics resin production. Its proprietary technology represents today's most economical and advanced manufacturing process for plastic raw materials, ethanol and biodiesel, allowing production at cost savings of up to 40% when compared to current production methods.
Important Information About Forward-Looking Statements
All statements in this news release that are other than statements of historical facts are forward-looking statements, which contain our current expectations about our future results. Forward-looking statements involve numerous risks and uncertainties. We have attempted to identify any forward-looking statements by using words such as "anticipates," "believes," "could," "expects," "intends," "may," "should" and other similar expressions. Although we believe that the expectations reflected in all of our forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct.
A number of factors may affect our future results and may cause those results to differ materially from those indicated in any forward-looking statements made by us or on our behalf. Such factors include our limited operating history; our need for significant capital to finance internal growth as well as strategic acquisitions; our ability to attract and retain key employees and strategic partners; our ability to achieve and maintain profitability; fluctuations in the trading price and volume of our stock; competition from other providers of similar products and services; and other unanticipated future events and conditions.
Investor Contact: Steven Sung Steven*alcarchemicalsgroup.com
SOURCE: Alcar Chemicals Group
CONTACT: mailto:Steven*alcarchemicalsgroup.com
Copyright 2007 Market Wire, All rights reserved.
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SUBJECT CODE: Chemicals:Plastics and fibers Energy and Utilities:Oil and Gas Energy and Utilities:Alternative Energy Chemicals:Specialty Chemicals
Search for Dun & Bradstreet reports on this company.
Posted by: Dr Wonderful In reply to: None Date:2/9/2007 7:48:16 PM Post #of 4147
Is the $2 per share real? I'm thinking about getting in on Monday. What are the thoughts on this?
Posted by: grantg2 In reply to: Dr Wonderful who wrote msg# 4099 Date: 2/9/2007 8:29:29 PM Post #
DrW... YOU will not see anything near $2/share for ACMG you buy for a dime now...
YOU need to learn how to read everything that has been said about the Asian business VC funding being brought to this deal...
They are contributing the equivalent of $2.05 a share to BUILD producing assets!
Whether the market will value that in the stock price BEFORE ACMG proves it can deliver FIRST in Canada, and then move on to the Asian plant builds/starts IS ANOTHER matter entirely!
IF ACMG is not delivering on the promised potential once funding is provided, the PPS is not going to move on up... and if is does, it will not be in a steady climb to $2 & above.
JMO...
Posted by: snow In reply to: grantg2 who wrote msg# 4103 Date: 2/10/2007 2:48:57 AM Post #
What do you mean?
They are contributing the equivalent of $2.05 a share to BUILD producing assets!
Posted by: grantg2 In reply to: snow who wrote msg# 4108 Date:2/10/2007 3:09:54 AM Post #of 4145
IT means JUST what it says...
contributing money to build plants will not translate rapidly to the PPS in equivalent value amounting to $2.05...
obviously NOT all the plants will instantly appear & not a one will be up and producing revenue immediately...
until ACMG has the Canadian plant up and going, proving the ability to deliver... and until the others are funded & coming online in Asia, the price of ACMG will rise in increments reflecting
current accomplishment and expectation of future success...
the stock has the ability to run up and drop back in some large swings early on...
and as more plants and revenues come into being, the swings will get tighter and the price will move higher.
IF you think it will rise to $2 and hold that PPS anytime soon, you are in for disappointment... the market is NOT going to take the Asian VC money and put it into your pocket! Patience to hold... or good TA skills to flip when opportune to do so... will make money. But the dime is not going to become $2 on Thursday and stay there or move higher from there...
posted
jos_tul, This is direct quote from the PR. "I believe the offer tabled by our future partner warrants immediate clarification of its terms and conditions," stated Dr. Cavasin. "In a nutshell, the presently proposed terms and conditions contained in the offer do represent an acquisition of controlling interests by the consortium at a valuation of US$2.05 per share," further added Dr. Cavasin".
I personally do not think that it is to hard to figure out. NOBODY knows the exact terms of this agreement, but on Feb. 15, they will disclose all of the details. This was my understanding of the information available to us. GN
posted
The way I read it, is that the company is aquiring a Controling interest in the company. This generally means they will be buying between 20% and 50% of the the stock. But, companys can still buy less than 20% and have a controlling interest by guaranteed ROI, or providing management ect..
So, it does not like they are buying the entire company, just a controlling interest
Posts: 189 | Registered: Apr 2004
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posted
MONTREAL--(MARKET WIRE)--Jan 31, 2007 -- Alcar Chemical Group Inc. (Other OTC:ACMG.PK - News) announces today that it is continuing talks with US Sustainable Energy Corp. for the acquisition of controlling interest in Alcar Chemicals Group Inc. to proceed towards a US expansion for an estimated USD $280 million, representing approximately $2.00 per share.
This may be why the poster at Ihub stated what they did.
This was their deal with USSE. That of course fell through but read the last line. 280mm for expansion that equates to $2.00 a share. The SEA group may be doing the same thing. Providing financing for a share of the pie. The financing is worth 2 bucks a share. That doesnt mean they are paying 2 bucks a share. IMO. Are they playing loose with PR's to confuse share holders? Do they have a lousy PR writer? dunno. I guess we will find out the 15th. TMAN...
-------------------- In the end, trust only yourself when trading stocks. Posts: 2048 | From: Texas | Registered: Feb 2006
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