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
Read your post after making mine.
The 25 April 2006 statement (see it on PM1s research site) refers to 4m for each 20,000 ton licence. Presumably that relates to each production unit and further royalties become payable if this capacity is exceeded, as well as the sales royalty.

(I do have trouble editing - LOL)

Gonna look it up Tony, but I am certain each license was referred to as between 20,000 and 75,000 tonnes.
Back when I find it!!
Alan

Found something like it. Can't remember where I got the 75000 tonne bit but this definitely states that the 20000 tonnes is a minimum.

ORLANDO, Fla.--(BUSINESS WIRE)--March 3, 2006--In response to burgeoning U.S. demand for biodegradable materials in the quick service restaurant and mass-retailer packaging industries, Stanelco PLC (LSE:SEO - News) has confirmed the company will be offering a limited number of manufacturing licenses to U.S. companies to keep up with biodegradable packaging growth. The licenses, described as micro-manufacturing licenses, will be for the manufacture of a minimum of 20,000 tons of biodegradable resin utilizing Stanelco's STARPOL(TM) range of biodegradables.
Volume manufacturers of materials used in the U.S. quick service restaurant, supermarket and consumer mass-retailing industries are expected to be the earliest licensees for Stanelco's micro-manufacturing partnerships.

Alan.
"A limited number" it said.
Bugger - I might not become super super super rich!

Am I being naive or cud it be that contracts will be signed upon FDA's Starpol 3000 approval (which according to SEO is "imminent")?

C'mon Tony, thought you were an accountant.
The only number that is unlimited is infinity!!!
A googleplex of googleplexes is limited!!
Take your point though. Still very positive when you read that the expectation was for those who supply fast food chains and supermarkets would be the most likely!!
Alan

I still think thees a fairly long way to go yet.
I will be more relaxed with a deal has actually been done.
I take it from RMHYAMS reply , no-one knows whose supplying the packaging for MEALS for sainsburys?
I think i'll stick my next out and say 20p by xmas.
LOL

The annual results staes:

"The intention is to offer a number of manufacturing licences in the US to
produce its range of materials through a micro manufacturing program for supply
to the supermarket and quick service restaurant industry. These licences will
enable converters to ensure a guaranteed supply of biodegradeable material in
order to satisfy the demands of these industries. Each licence will be for a
minimum of 20,000 tonnes and will be operated as joint ventures. This program
will ensure the availability of product in order that the market will be able to
have a rapid uptake of biodegradable materials. Recent negotiations with
manufacturers that are particularly concerned with the future of petroleum based
plastics have shown great interest in vertically integrating resin production in
or beside their plants."

The calculations of the MMP contribution was based on 20,000 tonne pa capacity. Also, there was mention of a 1.5m "Technology Transfer" fee payable upfront....

Glad its your neck and not mine!!!
A tad optimistic, I'd venture, but I do have a rather nice divi going to my broker next week and I have placed a limited buy order on SEO with that, despite everything I said about waiting. I can always change it if I decide to before then, but I am confidant that we are seeing something of a rebirth, but without the silly hype that spoiled it last time.
Alan

With Sainsbury's telling everyone they are starting to pack in bio materials, this will push ASDA into moving faster to do the same, instead of draging there feet as they have done for the last year.
Think we should hear something very soon now, thank you Sainsbury's.

I believe Sainsbury's currently use Innovia Films to supply their biodegradable packaging for their organic produce.

http://www.j-sainsbury.com/index.asp?pageid=249&section=responsibility&subsection=environment&question=6

Telegraph text"....Sainsburys...the makings of an enviromental revolution by extending the use of compostable packaging ,made from maize ,sugar cane or starch,from 15 product lines to 500."Maybe there's hope for us yet with them but who cares ,the move toward biodegradeable packaging is well under way and hopefully a big slice of the action will come to SEO.Quietly confident.

The only thing stopping the signatures on the imminent contracts is FDA approval of Starpol 3000. I thought this was expected some time ago. What's the delay. Anyone got FDA contacts?!

halfamil

My background research says that the FDA approval for Starpol 3000 is considered a formality and is now a maximum of 12 weeks away - possibly only eight.

I don't think that FDA approval is in any way delaying laying ink on contracts.

The oily one

Garyble

From Business Wire, 25 April 2006. On PM1s site and
http://www.advfn.com/p.php?pid=nmona&cb=1157727492&article=15155372&symbol=LSE%3ASEO

"Each MMF will contribute approximately GBP 4 million per annum per 20,000 ton
licence plus a small percentage of end product sale price."


Alan.

Found the 75,000 tonnes you mentioned. Annual report, bottom of page 5 and the RNS http://production.investis.com/seo/regnews/rnsitem?id=1141110164nRNSb0201Z

"I would like to give some indication of our potential market, especially in the US. We are evaluating one tray, for one customer that has a current usage of 1.5 billion units per annum. Each tray weighs approx 50 grams and therefore consumes around 75,000 tonnes of (non-environmentally friendly) plastic a year. It would require between 500 and 600 tray lidders to seal just these trays. We are able to offer a complete solution through the supply chain. "

To supply this "one tray" there would have to be 4 x 20,000ton Royalty Licences at 4m each. Plus 500-600 GS Licences at (?) 30k.
Without the sales Royalty, that totals a minumum of 31,000,000pa.
PE 20 = Share Price of 66p

And that is for only one tray?
Numbers are such fun.
Nice thought for the weekend though :-))

Twenty bagger?????
Behave, Tony. You'll have all the antis crying RAMP.
6.6p is more like it. ;-)
Alan

tony.......... Please for my sanity can we keep the figures out of this equation.
You may be relaxed, but ~I'm trying desperately to keep my feet on the ground.
Have waited over 3 years.

The potential is eye watering.
early retirement material.
happy to hold...........
COME ON PLEEEASE show me the money.
LOL

Oilywag- remember one of SEO directors saying about 3/4 weeks ago that starpol 3000 approval was imminent so as a result your 8-12 weeks from now prediction is pessimistic- but then again we're dealing with SEO here....

No Alan - I got my point in the right place (for once!)

500 GS @ 30,000 = 15,000,000
4 X 20,000ton Royalties = 16,000,000
TOTAL 31,000,000 per single tray

P/E 20 = 620,000,000.
Shares Issued (as Interims) 944,000,000.
Resulting SP 66p

Maybe, just maybe.

I know you did, Tony and I have every confidence in our resident mathmatician.
I was merely pointing out that while many have a grip of the downside (100%, no argument there), very few have any idea of the upside if a big bad yank wants to play ball with SEO.
These unenlightened souls will jump on a 66p mention and spend a fortnight trying to ridicule you. especially if they shorted at 3.66p!!
So just for now, I'll settle for 6.6p, and sit and watch it go from there.
alan