Gas to Liquid
Commencement of Operations Started 28/12/2006
The strategy of GTL Resources plc is to produce liquids such as methanol and ethanol from stranded gas, corn and other feedstocks with quality counterparties. GTL manages all aspects of a project: finance, feedstock supply, production and marketing.

In line with its strategy of seeking to develop and exploit markets for alternative fuels, GTL has, since the beginning of 2001, concentrated primarily upon developing methanol projects, principally in Australia, and, more recently, ethanol project work. The Board has recognised the strategic benefits of acquiring a cash generative asset on a shorter time scale than the typical methanol construction time of three years. In furtherance of this strategy, on 6 September 2005 GTL Resources acquired a controlling interest in Illinois River Energy (IRE) to build an ethanol plant at Rochelle, Illinois, through its wholly owned subsidiary, GTL USA, which has been established for the purpose of investing in ethanol projects in the USA. GTL USA has invested in IRE by way of a subscription for units of IRE pursuant to the Unit Purchase Agreement.

This project has the advantage that the Plant is expected to produce revenues on a shorter time scale and at a significantly lower capital cost than the methanol plant in Australia.

The Company intends to further expand within the ethanol industry in the United States or other suitable markets by selective acquisition of low cost production facilities. The Company sees itself as a potential consolidator of ethanol plants in a particularly fragmented market.

FT Tip
GTL Resources, an Aim-listed company. It raised money to build an ethanol plant in the US. Raw materials costs have risen but the price of ethanol has gone through the roof. The earnings potential should be spectacular.

New Plant

Construction started at Rochelle, Illinois site in September and production from the 50 million gallon per annum ethanol plant is expected to commence in the fourth quarter of 2006. Following unusually mild weather in Illinois the project has progressed well and is on schedule and on budget. Whilst the Companys main efforts centre on the successful delivery of the US ethanol project at Rochelle, the potential expansion of that site to 100 million gallons is being investigated. In addition and consistent
with GTLs stated strategy for the expansion of its interests in the ethanol industry, other ethanol opportunities have also been identified and will be analysed. Pictures Of The Site Under Construction March 27, 2006 http://www.illinoisriverenergy.com/html/construction.html


Arden
http://gtlresources.com/documents/ArdenAnalystResearchNote.pdf
http://www.gtlresources.com/documents/ArdenAnalystResearchNote.pdf
BBC News Item On Ethanol
http://news.bbc.co.uk/nolavconsole/ukfs_news/hi/newsid_4940000/newsid_4948400/bb_wm_4948456.stm

Ethanol Priceshttp://ethanolmarket.aghost.net/
Ethanol as a Transportation Fuel
http://energy.ca.gov/afvs/vehicle_fact_sheets/ethanol.html

Annual report for 2006
http://www.gtlresources.com/documents/GTLAnnualReport2006_001.pdf
Pics from Ethanol Producer Magazine of GTL's plant.
http://ethanolproducer.com/plant-images.jsp?plant_id=302&image_id=59
Commencement of Operations Started 28/12/2006
http://www.gtlresources.com/
Economics of Ethanol
http://www.ces.purdue.edu/extmedia/ID/ID-339.pdf
2 July 2007 GTL Resources FY pretax loss narrows, plans 13 mln stg placing to fund expansion
http://moneyam.uk-wire.com/cgi-bin/articles/200707020705014067Z.html
GTL Web Site
http://www.gtlresources.com/

good morning - My portfolio VLR, DOO, ARG and KSK are all in the blue, and the one that isnt? you guessed it.

A slight tick-up today: GTL Bid: 150p Offer: 155p Change: 2.5 32k traded.

Could this signal that the SP has finally bottomed out?

soul
Yes

have just dumped mine ..... have come to the conclusion they are not going anywhere any time soon, and per some earloier posts of mine, am far from convinced that ethanol from foodstocks is either a good idea of actually viable in the long term

cynic
You won't be posting any more then.

Cynic
I was going to ask why you were still holding these shares, when you believed shares could bottom out at 1. Hope you have better luck with other holdings elsewhere.

Afternoon everyone. Sorry to learn that you are out, Cynic, but each must follow his own convictions.

Have to admit my faith was wavering a little this morning, but am still convinced that the first set of financials are going to prove the sceptics wrong.

I see corn is now barely above $4 (actually 403.4) and ethanol is rising again at 220.5 (yesterday's prices for both), so the market forces are in our favour, at least.

and next year and the following years?

Demand for eth should be strong, thanks to Dubya. Which leaves the possibility of oversupply, but let's see how this year pans out.

driver .... you KNOW i could not possibly desert this thread. especially when good friend soul* is still a holder ...... you would miss my facetious posts; i would miss whatever abuse might be subsequently forthcoming!

I think GTL will be fine - give it 6 months we ll be sorted. D1 looked to have turned the corner and there was a reasonable article in the FT on Biofuels last week

When are our next results out?

According to Hargreaves Lansdown, they are due on Saturday?

http://www.hl.co.uk/shares_and_stock_markets/security_research/sedol/B1HT233.hl

Good thing is they have it recommended as a strong buy.

Aww, Cynic, you say the nicest things.

Jonesy, are you sure re those results? The last reported financial half-year ended on 30th Sept 2006, and the relevant interim report came out on November 29th.

We might get a trading update though.

Next GTL management meeting is due tommorrow so hopefully 3 month figures will follow, but it can take a week for approval (solicitors, nomad etc).
Off on holiday so 2 please when I come back!

souly, i'm not sure if its correct, i was just going by the date on the link.

hopefully some good news though!

NOTIFICATION OF MAJOR INTERESTS IN SHARES

http://moneyam.uk-wire.com/cgi-bin/articles/200703281820069439T.html

RNS regarding Standard Life's holdings:

Direct voting rights exceed 8% and total voting rights exceed 9%

8. Notified Details

(A) Voting Rights Attached to shares Number of Voting Rights (Direct) -
1,999,493

% of Voting Rights (Direct) - 8.807%

Number of Voting Rights (Indirect) - below 3%

% of Voting Rights (Indirect) - below 3%


(B) Financial Instruments - None


Total (A)+(B)

Total number of Voting Rights - 2,199,011

Total % of Voting Rights - 9.686%


It doesn't say whether that's an increase in holdings or a decrease (I assume it's the former). Has to be a good thing IMO.

but still a drop...

Corn now below $4.

Strange that with all this good news, and yet price is still depressed. I know market sentiment is against the sector, but it will have to change on the back of solid results, which I'm convinced that GTL will deliver.