HUGE PROSPECT ON D1 OILS

D1 was originally established in 2002 to focus on the development of a portable refinery technology to produce biodiesel for the UK transport industry. During this period, it was concluded that the high cost of rape seed oil, the main feedstock for biodiesel production in Europe, renders its use commercially unattractive. As a result, D1 explored the economics, suitability and yields of a variety of specific energy crops. During 2003, jatropha curcas was identified as its feedstock of choice and the focus turned to securing output from jatropha plantations.

Jatropha was selected as D1's primary energy crop due to it's high productivity, durability and longevity. Jatropha trees can be grown on marginalised land and are durable to the elements. Furthermore, jatropha can grow in areas of minimal rainfall, although it grows better in areas of higher annual rainfall. Jatropha trees produce nuts, which contain oil, for an average of thirty years and generally have their first harvest within two years of planting. Biodiesel refined from jatropha oil complies with EN 14214, the current European standard for biodiesel. Biodiesel meeting EN 14121 specification is an approved blend when mixed with petroleum diesel.

D1 is now commercialising its D1 20 refinery able to produce eight million litres of biodiesel per annum and will utilise jatropha oil as its main feedstock. D1 believes it can maintain low production costs and produce consistent, high volume quality output through sourcing existing feedstock supplies, cultivating new yields of jatropha on existing plantations and setting up D1 20 refineries regionally. D1 is working with highly regarded agronomy and biotechnology research and development facilities in India and South East Asia and is participating in the establishment of nurseries in a variety of locations in the Asia Pacific region. These nurseries will test imported jatropha seeds against indigenous varieties to determine which will grow best under a region's climatic conditions. In addition, D1 has recently acquired the rights to a proprietary growing media which targets the specific nutritional requirements of jatropha.

The global market demand for biodiesel is growing. International energy and environmental policies have helped to create a demand for biodiesel which is estimated to reach at least 10.5 billion litres by 2010 in the European Union alone. Based on current capacity, feedstock availability and positioning in the market, the global production of biodiesel is expected to reach approximately
3 billion litres by 2010, less than one third of the projected demand in the European Union.

D1 Oils aims to become a global, sustainable, low cost producer of biodiesel and supplier of crude vegetable oil used in the production of biodiesel. To reach this objective, D1 will manage its operations regionally, securing plantation rights and establishing refinery operations in each region, thus controlling aspects of the supply chain from seed selection through to the sale of biodiesel to end customers.

To this end, D1 has established four regional operations:
UK (Teesside and London) South Africa (Johannesburg) Asia Pacific (Manila, the Philippines) and India (New Delhi).

Ending the week on the high after a 100p daily rise to 505 bid! That's 180 to 510 mid-mid in 13 trading days.

Massive - only crying so little stock held.

193% up overall so far.

How long can it continue before the sun melts its wings.

Pretty thin trading too - only punters, nothing heavy much going through. So are all the institutions sitting on their hands? Got to start realising some of their profits soon, but most should still be locked in till 29th October 2005 a year after float. I might want to be out of here on that day. What's the total free float would you reckon?

When are results due to be announced? Don't think they've said yet. Don't even know the year end.

SD

Dear brave ones.So,you have stayed on for the big ride and wish that you had invested more.I noted the initial surge and could'nt believe that there would be so much speculation in this at such an early stage of development...but DOO has proved to be excellent at their marketing strategy,they even convinced old Rolls to invest....for the pension fund?Or will airplanes run on biofuel in the splendid post Kyoto new world?So,I decided to look at the agricultural side of things and have had a read up about Jatropha Curcas,which they will probably end up using as it already has a history of being farmed for oil in the Cape Verde Islands and in Brazil.The Portuguese found an easy market for the oil to be used in soap-making and as fuel for lamps.The medicinal qualities of the plant have long been known as well as its TOXIC properties...many people die every year around the world from eating the seed s or husks.The milk burns,but can also be used to stop bleedin.The leaves,thorns hairs and seeds are all toxic.However,farming this is not dangerous as long as the workers are aware of the dangers.The method of collecting the nuts has traditionally been simple...you shake the bushes and they fall onto canvas spread underneath.Unlike other nuts,they do not have to be processed rapidly because they store for a long time without going "off".

Jatropha continued:It seems that the oil will be sold as a primary product unlike using rapeseed where the animal feed is often more important to growers than the bi-product,oil.But the advantages of growing a crop using sewage water on arid soils cannot be ignored.Presumably,this waste water would be free in Saudi or will DOO have to buy it?It all seems like a wonderful idea,not only is oil produced but sewage is re-cycled and the desert is kept encircled by a ring of GREEN.This production might even bring new jobs to the areas involved,especially if it is labour rather than machine intensive.Interestingly,the portuguese planted almond trees in their Jatropha plantations.They also used Jatropha to make corrals for pigs,who kept away from the thorns.If the plants take off they can produce a crop in as short a time as 10 months,but normally it is 2 years.In optimum conditions Jaropha Curcas can live upto 100 years.In tropical climates they crop twice,which is unlikely to happen.But why don't the Saudis make bio gas from their sewage as well?The family that Jatropha belongs to is EUPHORBIA.....take out the B and you can see the state you have been in and out of all week!!!!I see amazing possibilities with this buuuuut,they haven't planted in Saudi yet,and the shares are around 5 pounds.If this is'nt a bubble then what is it?It is investing in hope for a green future using a plant that the portuguese call Hell's Potato!!!!What does this say to me?Be careful,this price leap is so crazy that it coild go to 1000p or 1500p who knows.But you deserve every penny that you gain for having the guts to stay in there till you know the time is right to sell.Good Luck,wish I was there with you!!Ethel

Me again,sorry to be a bore but do you know who will be supplying DOO with the industrial oil crushers required for the job.Would like to invest in them Who supplies Biofuels?Only know of American Premix Technologies.Thanks,E.

Ethel

I have my canvas prepared and will be ready for the first tree shaking when I hope to catch many falling shares. But I do need to watch out for the thorns.

You're right, as I have suggested elsewhere above, there is no technical or fundamental analysis one can bring to bear in deciding how long to hold this share. The chart has no definition and, as you say, they haven't squeezed the first bean (although their plantations in Madagascar, where the vanilla farmers already use them as bean (sic) poles to support their vanilla vines, will harvest this October, I believe). Their cunning harnessing of free capital is also a good part of the story. They also have some special IP about how to enhance the cultivation of this crop.

The Saudi and RR JV's do lend credence to the future viability of the agri/technology. By the way the Saudi sewage water is treated to a basic level - it is well past methane bearing by the time it hits the roots.

My only guide as we end a crazy week is that the SP ended on a new high reached at the end of the day's trading which usually indicates further progress on the next trading day. Also on another thread, I think it's driver who says the EOW close is very important with stocks like this. So Monday 8.00am is taken care of - it's the rest of the year I have no clue about what to do with this one.

At least I can tell my grandchildren (hang on, hang on!) WHEN they ever materialise that I was there at the beginning, as they pop by to give me cash handouts to keep me in my impecunious old age.

My epitaph will probably read: "He should have sold at the top."

SD

Another good point is that Jatropha is pest and bird resistant because it's so toxic,which means no pesticides.One word of warning ,it is always dangerous to introduce new species into an environment.Here in the Algarve,where I live,the eucalyptus and mimosa trees which were introduced are seriously threatening the indigenous species and have drastically reduced the water table as well as causing the near extinction of various animal and plant species.Hopefully,this won't happen with DOO's projects.Concerning what time you should sell your shares,I think that is when Mr Knievel starts shorting!!!

I understand jatropha beans were chosen after research showed that they did not require much water and would not affect the water table or divert much needed irrigation from food crops.

No idea who's supplying the bean crushers.

Thanks. I shall ask that nice Mr K to drop me a line letting me know when he intends to start.

SD

up 47.5p this am...still looking cheap considering its potential to replace petroleum.

So, hlyeo98, cut and run or hold fast? I was tempted to sell out high with plan to buy in again lower down.

SP held up not bad on a down day for all stocks it seems and when one might expect a bit of profit taking after such a run. But some serious buyers out as well from time to time.

Safest route is to bank the 182% profits to date and be happy. I bet there will be lower prices to make it worth buying back in one day in the future, or higher ones when production more developed.

Your views requested!

SD

If I were in your position,I would take my profits because the rise has been enormous and you and hlyeo98 seem to have been almost alone on this thread,which makes me wonder who has really been participating in this.The share price is ridiculous considering what the company has yet to prove.Is it a tree shake..only you can guess!!It's a pity that you did'nt get more support on this thread,but at least you have made a good profit and proved that you have nerves of steel.There will be plenty of opportunity to follow this one in the future,now that the sp has proved volatile there will be lots of followers buying on news.United Arab Emirates next??IMHO of course.Do not want to influence you just give support.Ethel

Hi stockdog...the nerves has got me today. I sold and hope to get in at a lower price. What do you think? Please advise.

Don't feel bad hlyeo98 better to sell with this nice profit rather than watch the sp plummet,and you say to yourself afterwards,"why was I so greedy?",which happened to me last week.Saw half my profit wiped out in a few hours.Then sold.Damn.I was hanging on,but the price has to adjust after such a fast rise in so short a time.I don't know what will happen tomorow or in the next days,there may be time to sell,buy and sell but then the price has to adjust downwards UNLESS there are new contracts...then the sp might go crazy,who knows,it's pretty strange at the moment...we're all gambling.Ethel

Thanks, Ethel for consoling me. I will kick myself if this shoots upwards tomorrow. Good luck

Fear and greed are the drivers. Although, in all fairness, my stake is not big enough to motivate these emotions in purely financial terms. But I sure as hell want to have played my cards the best way just for the fun of doing it right.

I think I am coming to the conclusion that a general policy that the strong first run up to dizzying heights of any share should be sold at the first significant sign of hesitation is likely on balance to be the way to go. It'll be available to buy again at some level if it merits it. So I'm a day past that policy.

This would have worked for ASC at 88p last year, SEO at 17p a fortnight ago and DOO at 500+ today.

So tomorrow at 8am I shall be watching and waiting to see which way it goes.

SD

Probably a good policy Stockdog. I just worry a little about if it shoots up after i've sold and I never comes back down again. I would then miss out on such an opportunity.

tallsiii - then just be happy with what you got and put the money in another short term winner, or you will gnaw yourself to death from the inside.

they do say running your profits is the hardest bit of the game.

it's difficult to compromise the buy and hold for life on good fundamentals attitude with the innate trader in each of us who also wants to sell on the peaks and buy on the dips.

here we go again - watched and waited at a very nice 500 bid level this morning - transfer from home to office and what do I find - down 10% again and falling.

I am treating this as Human Phase I test, prior to applying to the regulator for a licence for my patented method of stare at the headlights - do nothing!

SD

Buyers coming in now at 470/5 bid.

Maybe we're starting to see a litle support at the 450 level where the chart paused on the way up.

Whadda wabbit!

SIT, boy.

SD

Yes it did the same thing yesterday. It just looks a bit like MM tree shaking to me.

I am in this one for the long term.

Tallsii

So am I it now seems - tallsiii!

SD

I might enter if it goes down under 400p