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/

I've been in since August '03 at a price of 10.74p. But averaged down since then for a zero return price of 2.5p. I'm intending to stay on board for a long time. Might take a few more over the next few days. Also in ERX (for a laugh!).

good loyalty Starfrog - I assume its the, previously, constant share issues that have driven the price down this low as each investors holding has been diluted?

Someone bought a million shares this morning, thats nice to see.
Cynic are you in doo?

indeed .... tempted by greed to buy a few more even

GDP - One of the original reasons I got into GTL wasn't the Rochelle ethanol project (to me, that's a new venture) it was actualy the methanol plant they were proposing in Australia. But as we all are now aware, that went a bit t*ts up. But there was also another reason (that doesn't seem to be mentioned much these days) and that was that they were touting their experiences in an advisory capacity to assist other companies to develop methanol and ethanol plants. I recall that they were doing some business in the Gulf (Oman, I think) where they were advising on the construction of a huge (m)ethanol production plant. Again, this doesn't get mentioned much so I'm not sure if that's on the backburner or what.

Anyway, as I said, I'm happy to hold long term. Supplement my pension in my old age.

Topped up today on the dip I am now fully loaded with plenty of ethanol in the tank.

Hi Smiler,

Yes, I am in both GTL and ERX and I am looking to continue topping up these. Might need to sell GOO to fund this though, but GOO is looking GOOd these days. Lots going on with these 3 at the moment:)

agree looking good all round : )

ready to do a few miles then driver !! or a few rounds with PH ! : )

smiler
PH in Drag.

If PH was on site "You didn't put the chains on correctly and sort out that header!"

What is this 10 million trade @ 2.29p timed at 16:41. Is this yesterdays price?
What type of trade is 'L'?
Any comments / thoughts

Mr Turbot
L Late Trade - when a trade is reported to the Stock Exchange some time after it has been executed it is known as a Late Trade.

Late trade from yesterday

topped up for a gamble twinned with ERX.
Sold my CHP for this as GOO going wild.
hope i dont live to regret. that should be my portfolio set for 4 months as it will be a bit tricky trying to trade and fight a war at the same time.
depending upon technology and how the war is going see you guys in 4 months if not sooner.
Alex

so get your priorites right ...... the war will carry on without your guidance

robert
If youre really of to war good luck, you will be able to buy yourself out when you return.

robert - yes good fortune if that is so I am sure we will look forward to your next posts.

Interesting comment in the F.T. 4th Nov concerning the price of 'Corn'.
"Corn prices have risen 25% in the past month & 60% this year".
Corn futures are currently trading at $3.4475 a bushel.
One of GTL's main problems may be locking in corn deliveries at a realistic price to protect profit margins.

i dont know a lot about this, but the price of ethanol might go up as well.

HARRYCAT
I have said this before the price of corn has a limit they are not going to cut of the hand that feeds it. (The price could be going up because of demand from ethanol plants)