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).

thanx....if it was around 10.40 the trades from 422 to 122 i think it is add up to 2500 at 191........most showing as sells..... ;0)

saw that, but must have mis-added ..... yes; almost certainly my purchase for at the time, the notional spread was 189/195 or similar, but picked up some that were on offer .... the advantage of a good broker

Taken from iii...
http://deadpresident.blogspot.com/index.html
http://marketwatchline.blogspot.com/2006/11/market-watch-corptate-corner.

Looks like yesterdays rns has cleared up production figures. They must expect to be producing 100000 tonnes by early next year and 320000 tonnes by the end of the year....

hefty increase -
good article in shares mag today but the price seems to want to languish at 190

imo, the longer it stays around this level, the stronger the support, and i supsect that once it starts to move upwards, it will do so rapidly ...... an element of wishful thinking in there, i accept, but equally not without its logic

Found this on iii...

D1 Oils goes for growth
Rodney Hobson, 08/11/06 10:47

The biodiesel producer and refiner has been busy planting in Asia and is planning to step up its refining capacity in the UK. The news is timely in the wake of the Stern report on global warming.
By the end of the third quarter on 30 September, D1 Oils managed, or had rights to, 114,313 hectares of jatropha, which produces non-edible oil. This is an increase of 67.5% since the half year end, with most of the new planting in China and Indonesia, and is ahead of internal targets.

Even in the last two weeks of September, when there were no plantings during a holiday period in South East Asia, the planted land still increased by 4.5% as India took up the slack.

D1 manages 5,155 hectares in Southern Africa. Otherwise it has contracts to take oil from joint venture partners and individual farmers.

Jatropha is a small tree that originated in the Caribbean but which is already an important source of non-edible oil in India, where some trains run on it. Its oil will eventually replace the vegetable oils that D1 is buying in for processing.

D1 won its first major UK contract last month to sell 24,000 tonnes of biodiesel, three quarters of the output from its Middlesborough refinery, to independent distributor Petroplus. This output comes mainly from processing soya oil from South America and first deliveries to Petroplus were made on 26 October.

Jatropha will become available in significant quantities from 2008 onwards at considerably lower prices than existing vegetable oil supplies.

The group has 32,000 tonnes of refining capacity operating in Middlesbrough, which it intends to expand to 320,000 tonnes by the end of 2007 and to 420,000 tonnes during 2008.

Part of the expansion will be at a new refining and distribution site on Merseyside.

D1 Oils shares have had an exciting ride since the company floated at 150p on AIM late in 2004, which reflects the exciting prospects but also the risks of investing in a company that ran up losses of 5.1m in the first half of this year.

They soared to 480p in March last year, doubling within days, but are back below 200p, edging up 0.75p to 188.75p by mid-morning.

While D1 has spotted a great commercial opportunity in a market that will grow as mineral oil prices remain high and consumers become more conscious of environmental issues, it is also vulnerable to bigger companies muscling in later. That would, though, make D1 a very attractive takeover target some way down the road.

http://www.hemscott.com/news/comment-archive/item.do?id=15503

bottom picking can seriously damage your ealth .

i already hold these at about 195, and perfectly happy to continue to do so ...... as my posts show, i think this company will do the biz, unlike BFC which i fear may be for the knacker's yard

Just read the Q3 update again and the outlook does seem exceedingly positive with the suggestion of lots of intermittent news releases that could potentially hike the S.P. up and over 3 IMO. (E.g.the planned purchase of a new refining facility, expected to be announced before the end of this year, new offtake agreements, the continuing increase in plantations of Jathropa etc etc)
I think at this price DOO are a very attractive punt.

thoroughly agree, even though someone accused me of looking like a ramper of these shares ... lol!

its hard not to - even mentioning their prospects is basically propoganda to non shareholders.

Looks like someones reading this thread - a good response in the S.P. to our discussion cynic lol.

should have bought this morning .... however, for myself, that would have been a bit greedy as i have my notional full quota already

More green deals in pipeline
GREEN fuels company D1 Oils said it had further deals in the pipeline to sell its Teesside-manufactured biodiesel.

The Middlesbrough-based company signed its biggest contract to date earlier this year to supply biodiesel to Petroplus' Teesside division.

And in an update to the Stock Exchange yesterday, D1 said it expected to be announcing more deals soon.

continued...
The company expects to expand UK production capacity to 320,000 tonnes by the end of next year, and 420,000 tonnes by the end of 2008.

It is currently making 32,000 tonnes a year at its Middlesbrough refineries. This will keep increasing, along with work at D1's second refining site in Merseyside.

D1 is currently manufacturing the biodiesel from soya oil, but has planted hundreds of thousands of hectares of the oil-producing jatropha plant around the world.

This is due to be harvested within the next two years, when all D1's fuel will come from the low-cost source. The other advantage of jatropha is it can grow on land considered too poor-quality for food crops.

Link: http://www.thisisthenortheast.co.uk/business/news/display.var.1011212.0.more_green_deals_in_pipeline.php

wonder how much of the increase in output (ie the estimate of tenfold increase in production by end of next year) is included in current share price...?
i bought my virgin purchase of these this morning @183p...

great sp to get in at. you cant not make money ha

Hmm... I was hoping that the bid speculation wasnt holding the SP, but it looks that way -

So cheap, if only I had the money to invest,.

Think it will start to go up soon....all broker notes say the sp should be near 3...that was without the bid spec...and they are still in talks ...just not takeover ones...which i personally think is better for the company.....heres to hoping D1 have a nice Xmas pressie for their investors up their sleeves...;0)