for more information about stanelco click on the links.

driver's research page link
http://www.moneyam.com/InvestorsRoom/posts.php?tid=7681#lastread
website link
http://www.stanelco.co.uk/index.htm

Alan,

The 1.5bn units was an annual requirement so 75,000 tonnes of material will be required annually to satisfy. The 20,000 tonne license only satisfies 27% of the annual requirement, yes, we don't know the term of the license but it is most likely to be a year.

Sphere have an annual requirement of 10,000 tonnes from Biotec estimated at in excess of 13.5m, so the revenue from the evaluated tray will be in excess of 100m. As it will be a JV, we can only guess at the SEO income.

can anyone tell me why seo themselves cannot give us a figure ? why do they have to leave it to bb enthusiasts ? no offence , alan, but this ain't your job , it's theirs.


zscrooge, the snow's back on winter hill !! what a view :))

Agree completely, bos. I am just absolutely facinated by what this all means in pounds shillings and pence!!
I am disappointed as anyone that SEO did not put any figure on it, but understand completely that any salesman in the world would not want to tell the price and bottom line to his client before he had sold him on the benefit. Major contract negotiations are no different to double glazing in some ways!
Anyway, isn't the essence of investing working out who is likely to make how much before the rest of the market cotton on to it? And I really don't believe that the enormity of the release has drilled down yet.
Alan

Been away for a few days and have only just read last 10 or so pages.
If I remember correctly everyone was complaining about STANELCO RNS's coming out in droves and promising nothing concrete.
Looking at the last few , Maybe they've gone a bit too far the other way.LOL.
Like ALAN I think the implications of the last RNS will sink in over the next few weeks and the SP will reflect this.
I'm even more confidant that as a long term investment STANELCO is coming good.
And yes the WEBSITES ARE S**T. There is no other phrase that springs to mind.
The results were pretty much what I expected, as for the ASDA greenseal contract , I still have faith re conversions by JULY and believe that some machines will be direct replacements by MONDINI ( as have reached end of lifecycle -5years).
Will see what new week brings and may top up as and when figures/news points to higher gains/results.
I'm happy with my current No of shares and have'nt brought anymore for past few months. I personally think the figures and RNS's reflect a SP of about 22p. Will buy more as/when they reflect 40-50p.... hopefully about june.

Good work Alan-I can't understand why the Analysts are ignoring SEO they should also be doing the figures and putting out buy notes. What do these guys do to earn their money? I agree SEO have been a bit too quiet lately but hopefully that's about to change. Could do with your wit on the Yoo thread lately Alan-I'm feeling very guilty that for the first time ever I was rude to tvc15. I don't usually rise to derampers! ps check out EPY the figures look good to me in a massive market. sp rising and I intend to add but then ---I'm in yoo so what do I know!!

I've seen the way tvc15 has been on YOO.
I am still in there (just) but have decided to ignore the posts.
Where someone posts dozens of times a day, almost putting a commentary on every deal and has such a negative outlook on the share, I have to wonder quite what their agenda is. If it is that bad, short it and bugger off.
I also have my suspicions that he and Mr Sensible are one and the same, and are playing the oldest deramping/ramping trick in the book.
On SEO, yep, I would be putting out a buy note right now. I always stuggle to work out NAV and P/E ratios and all the rest of it but SEO is trading happily at 14-15p while making a 3.2 million loss, and most commentators seem to think that is about right. Whichever way i cut it, the licenses for multiples of 20,000 tonnes of Starpol material should wipe that out at a stroke and still leave the Greenseal and Mondini and ciggy filters and all the rest, and not forgetting that the licenses are the start of a controlled roll out!!
Still needs details of the business model to price it all though, but I am more confident that ever.
Good luck with EPY, MP. I am in 18 stocks at the moment and so I am looking mainly at exits rather than entries!!
BTW, ITR and our beloved PCM look very promising, and the trading patterns for my oldest stock (BBC) are very odd. Big T Trades, all selling and the price has gone up on days like that!! Biggest land bank they ever had, slightly disappointing year ends. Adds up to bid speculation to me or someone building a stake. DYOR and WTF do I know!!
Alan

ITR is doing well-I missed that one. Like you I should exit from some holdings but 40% would go to Gordon so I'm really torn! I haven't the nerve to spreadbet but hate paying tax!! I'm very interested in MPF-CDE-and CHNS.L now all doing well and I should release some funds to buy in-can't take anymore from the housekeeping!!

Hi everybody.

Iam new to this BB, but have been following the BB for 18 months, and seen the highs and lows in SEO. I have a reasonable holding SEO (over I million shares) and have had for that length of time. The latest news regarding Wal-Mart wanting to fast track certain aspects of SEO's technology, together with the announcement offering licences for a minimum production per annum of 20,000 tonnes of Starpol is excellent news, and in the past would have seen the sp rocket to over 30p. It may still happen, but I think this will only occur when we start seeing some earnings coming through, and that means contracts being signed up.

With regard to the value of each licence, I would suggest the following. From the Merrill Lynch analyst's note recently, Starpol 2000 sandwiched with TPS (Thermo-plastic starch) - which is price comparable with APET - is priced at 1.45/Kg. Therefore the cost to a third party of buying 20,000 tonnes of the material would be 1.45x1,000x20,000=29million or 20million (assuming 1.45=$1). Assuming that the JV between SEO and SPhere receives 10% of that cost as payment in relation to providing the licence, then SEO's sales per licence for 20,000 tonnes of material would be 1 million (this figure would be higher if the licencee produces more material on the ratio of 20,000 to 1) - at this stage I am not sure if that is net of providing the Starpol material, and therefore not sure of the profit derived from these sales. I believe that SEO are looking to provide 17 licences, and therfore suspect that SEO may have a minimum requirment to provide 340,000 tonnes of material almost immediately. Now that bodes very well for the future. I am in for the long haul, and I now look forward to seeing things to start happening soon.

Welcome rmhyams. thanks for that work.
Where do you get the 17 licenses from?
Would love to know.
Alan

From the Merrill Lynch note.

found this:

groundbreaking technologies (you want the best biodegradable plastic its here now)

partners (perseco) have a secure supply of material (no supply and demand issues)

to offer continuous supply in turn to their customers (again no supply and demand issues further up the chain)

no shortage of interest in this venture (biting our hands off actually)

to accelerate the availability of our materials in the U.S (perseco and walmart want it asap)

vertical integration (starpol is produced in existing plastics factories alongside petro plastics using existing equipment making it very fast-track)

preference will be given to those companies able to move to agreement and bring product to market in the soonest time frame (starpol can be up and running in existing factories in weeks)

the following quotes are from the spf forum last year

"The additional ingredients allow the material to be processed more easily than 100% PLA without the need for equipment modification"

"Can be easily thermoformed on standard equipment with only minor adjustments to temperature" ---------------------------------------------
If starpol can be formed on existing machines, I think contracts will be signed in days not months.
jim

Very helpful posts jimward and rmhyams. That figure of 1m per licensee seems sensible; but I would assume separate from material supply. 17m would go through to the bottom line and we are back to being worth around 15p on the share price.

I think we need to remember that SEO are running a business at a critical stage of development; it can't be a priority to issue RNSs all the time; their website you would have thought was a higher priority. Maybe they sould emply someone to do it but then that person needs recruitment effort and induction. I would be happy for them to get on with their research, commissioning, selling etc. Sensible to let the Merrill Lynch's of this world handle that side of the business. Of course this news came out with a press release because they are trying to tie down potential customers; that should be their priority.

I agree with Alan that these two announcements, WalMart and Starpol licences, are tremendously significant. I have been surprised in several cases how slow the market is to react to positive news (e.g. AZM, successful completion of obesity trials in US, triggering an almost certain mega-licensing deal but several weeks before the sp starts motoring). I am ratcheting up my holding now and I wouldn't advise followers to wait; once the trading channel is broken, the movement could be fast.

Eric

His back again batton down the hatches.

Driver

Who is back again? You've lost me!

The oily one

Thanks to:

Biscuit,
Alan,
Eric,
gary,
rmhyams
and others

for really interesting and thought provoking posts.

The more I read them the potential seems to be getting bigger and much more exciting.

At risk of attracting unwanted criticism, it seems that if the picture painted by you guys of SEO's future potential comes to fruition it will mirror the future that PM1 used to talk about being possible - well in five or so years or more.

I'd try to help you guys out with the maths, but my electronic abacus does not have enough zeros. Can't use my fingers as I have half of one missing so that does not help much either.

I am looking forward to EVO's update on future income/profits when they take into account the effect of the news story released in the US on Friday and when firm deals are signed with WalMart and others.

The future is bright .... but not plastic or oil.

The (not so) oily one

Agree, Oily.
It gets harder now to post and not sound like Paul!!!
I am still trying to disprove my own maths here cos every time I look at it I cannot believe the potential upside and the apparant speed with which it may be delivered.
I have criticised SEO in the past, when i thought they had it all wrong, but blow me, this looks like the real deal.
Hope they don't make me eat my words.
Alan

as good as it all seems, i can't help getting a feeling of deja vu. anyone remember this time last year ?

Bosley

Deja vu yes, but this time last year, we never had so many ducks in a row to shoot at. All I remember is the ASDA possibility which everyone immediately converted into a virtual done deal with WalMart.

Now we have Starpol 2000 and 3000 which I believe is better, WalMart actually saying they are going fasttrack Starpol and looking at Greenseal, the possibility of deals coming from fastfood companies, the tie up with Perseco who have great influence with global companies. Need I go on?

The (not so) oily one

i do agree with you oily, but these ducks have done nothing for the sp apart from maybe hold it up above 14p. i still think greenseal needs to show that it is a success before we can move on.

Just to explain if you blinked you would have missed it, earlier we had some one posting very nasty pictures of sewage on all the threads. Well done M AM for taking it all off and a very fast ban.