Announcement

Collapse
No announcement yet.

Cielo Waste Solutions CSE:CMC

Collapse
X
  • Filter
  • Time
  • Show
Clear All
new posts

    Cielo Waste Solutions CSE:CMC

    Disclaimer

    No material on aheadoftheherd.com should be construed as an offer to sell or the solicitation of an offer to purchase or subscribe for any investment.

    Richard Mills assumes no warranty, liability or guarantee for the current relevance, correctness or completeness of any information provided within aheadoftheherd.com and will not be held liable for the consequence of reliance upon any opinion or statement contained herein or any omission.

    Furthermore, I, Richard Mills, assume no liability for any direct or indirect loss or damage or, in particular, for lost profit, which you may incur as a result of the use and existence of the information provided within aheadoftheherd.com.

    Richard Mills owns shares in Cielo and the Company is an advertiser on AOTH. By virtue of ownership of the Company’s shares and it being an advertiser Richard Mills is biased in his views on the Company.

    Richard (Rick) Mills is not a Registered Investment Advisor, Broker Dealer or a member of any association for other research providers in any jurisdiction whatsoever and is not qualified to give financial advice.

    Always do your own due diligence.

    Always consult a registered investment professional before the purchase of any investment.

    ***

    Cielo = Garbage, almost any type of garbage into renewable bio-diesel. .

    rick
    Last edited by rick; January 20th, 2018, 08:58 AM.

    #2
    Now this looks interesting!
    Did they get into details with you what their production cost would be per liter vs why they'd sell for? Trying to get an idea of hard cash flow numbers.

    And did they get enough money from this recent financing and 'loan' to complete their plant move?

    Comment


      #3
      They sell to refineries for big dollars. Refineries are man-dated to blend a certain amount of bio-diesel, only place they can get it is imported.

      600 million litres a year has to be used in Canada, we're the only ones who can produce from any garbage stream and I'm told we can get Cdn$1.70L.

      And yes, even if they do not complete the last tranche of the current PP they are financed to commercial production.

      rick
      Last edited by rick; January 7th, 2018, 09:45 AM.

      Comment


        #4
        Did they disclose production costs per liter?
        I immage it's going to be over $1 - just a guess

        Comment


          #5
          Interesting so some sort of government subsides to get 1.70/L? Seems like at least for the next couple years that should remain pretty stable. There using this money to upgrade there current demo plant to 2.9 million a year? Seems like this technology is being used in Scandinavia on a big scale? I remember reading about converting wood to bio deisl you would think with all the rotting/burnt trees in the interior BC they would be setting up shop and filling that 600 million year requirement pretty fast? I'm surprised to see garbage chosen over wood but I guess they probably collect fees to dispose of the garbage aswell as it gets trucked there and they dont need to reforest ect.///

          I will have to do some more reading, they seem to keep adding additional traanches, this will be the last one for now even if they dont fill it?


          "The Company anticipates closing one additional tranche of the Private Placement on or before October 5th, 2017 by issuing additional Units on the same terms."

          Comment


            #6
            Looks like there is only one large scale plant like this int he world run in Austrialia but they dont seem to be using general garbage like CMC. I'm Surprised to see this company (Licella) has signed some big contacts with CANFOR to process there waste wood. Looks like Canada is where this tech might gain real traction. Does CMC have exclusive patents on there tech that lets them use straight garbage? Looks like Licella goes with either straight wood waste or recycled plastics.

            http://www.licella.com.au/pulp-paper/

            Im guessing Licella is the competition? It would be intresting to see if CMC would be going after any of the other big mills in canada like west fraser or if they are going to focus mainly on garbage.

            Comment


              #7
              WeyerHauser

              Comment


                #8
                Nice that would be a reason for the SP to go crazy.

                Comment


                  #9
                  It's estimated that globally, solid-waste generation will triple to 11 million tons a day by the end of this century – in spite of the fact that we are running out of landfill space, especially in land-constrained places like Japan and Europe.

                  Cielo's renewable or “green” diesel can be made by running any fibrous material through a catalyst, whose ingredients are proprietary. Eligible materials include landfill waste, plastics, organics like table scraps or lawn clippings, cardboard, sawdust and tires.

                  “We can walk into a landfill, and we work with somebody that's got a recycling component in front. And they'll take out the stuff that they can make money with, so all the ferrous metals, the copper, the glass and they also remove the rocks and the dirt. And we can use everything else. So we can actually quantify that we can get rid of 95 to 100 percent of the landfill, says Allan.

                  Imagine you own a gold mine that's very profitable and will never run out of gold. Now imagine you own and mine thousands of deposits, are continually adding more deposits, and none will ever run out.

                  Thats Cielo.

                  rick

                  Comment


                    #10
                    Its seems very early stage in this garbage to money game. Nice part about this vs a gold mine is you dont have to drill for it haha.

                    I couldn't find any publicly traded companies in canada doing this. Enerkem is a pretty big private company and they seem to have set up shop in Edmonton AB which makes sense as your right next door to the refineries and have tones of garbage. I guess they would be the biggest direct competitor to Cielo although Cielo could scale up way faster being listed if they can gain the right momentum. I noticed Enerkem tried doing an IPO but didnt hit there target of 125million so they stayed private. So if Enerkem is still around making money as a private firm, it would be interesting to see if Cielo can upscale and capture more of the market with hopfully more favorable market conditions then when Enerkem tried there IPO.

                    In August 2016, Enerkem obtained certification from the International Sustainability and Carbon Certification (ISCC) system for the biomethanol production of its Enerkem Alberta Biofuels full-scale facility in Edmonton, becoming the first ISCC certified plant in the world to convert municipal solid waste into biomethano
                    Last edited by RedBaron2; October 1st, 2017, 08:20 PM.

                    Comment


                      #11
                      Enerkem has been trying to commission their 1st commercial plant. They started from a demo plant smaller than CMC's and had a 110M budget for the 1st refinery. I understand that after 4 yrs of trying to start it up (after construction) they might finally be operating. The budget is now closer to $220M. They take the garbage and convert it into a methane gas, which is then sold to make power. They are hoping to make ethanol at some point. This is a gasification technology that ends up with 35% of their waste stream as a toxic fly ash that must be landfilled. When Cielo did their research on technologies, this was one of the technologies looked at very closely but Don wasn't interested in making power (very low margins) and the fly ash is a problem. Cielo makes renewable diesel, ethanol is a blend for the gasoline market. Diesel is a growing market and gasoline is a declining market. Canada imports diesel while we sell gasoline worldwide. Enerkem scaled up to large, but it was necessary for the small margins to make a profit.

                      rick

                      Comment


                        #12
                        Interesting yah I noticed they were not making diesel but were in the garbage conversion business, however Licella seems to be making "bio oil" im guessing something similar to what CMC is doing or is CMC spearheading diesel production? I called and left a message to inquire about the PP and CMC operations but haven't got a call back yet. Maybe ill try again tomorrow.

                        Comment


                          #13
                          CMC is gearing up to supply refineries with their diesel. Refineries are mandated to use 5% renewable diesel in their blend. Currently it is all imported from Portugal.

                          That's 600ML a year. CMC thinks they can sell their diesel for up to Cdn$1.78L. That's just one revenue stream out of hundreds and hundreds.

                          There's no one else.

                          rick

                          Comment


                            #14
                            Cielo Close to Commercialization with its First Continuous-flow Waste to Renewable Diesel Refinery

                            Comment


                              #15
                              Rick - If you're talking to Michael Monday can you inquire about patents. When I asked him the question this week he indicated that they weren't going for patent. He likened it to the Coke recipe. No patent, just a formula locked up in the vault. A patent would eventually divulge their process to the world and they don't want this to happen. All sounded a bit off to me. Maybe I misinterpreted his meaning. Cell phone outside on a windy day. Lousy connection.

                              Said the credit facility and closing of PP should be in a week or two. Docs for the former are with the lawyers. He's read them and they are pretty standard. Just had to go through the process. Still waiting on the Provincial Government production permit. This may slow them up a bit re start up. As far as he new the Government had all the information they needed to stamp the request. Just my insights prior to your call.

                              Comment

                              Working...
                              X