Yes an engineer but lets call it a TECH Engineer. Compressed air technology is its main business, develops industrial air compressors and Gas seals and whats more it provides them for the OIL and GAS industry.
Very close to commercialisation now with its compressors and seals and todays deal ( see below ) should bring that very close.

Charges upfront payments, continuing royalties and development contracts so revenues are not lumpy.

It as a market cap circa off the top of my head 20 million(hope my calculator is now working) and as circa of 5 million cash on the books, very nice.

Some very big names as customers.

Heres todays announcement...........

Corac Group Plc
26 May 2004


For Immediate Release 26 May 2004


Corac Group plc ('Corac')

Joint Industry Programme for Downhole Gas Compression

Corac, the intellectual property and licensing company specialising in
compressor technology, is pleased to announce the signature today of a Joint
Industry Programme ('JIP') for the development of its unique, patented downhole
gas compression technology.

Following the recent successful completion of a Shell funded feasibility study
which evaluated both the technical and economic viability of the technology,
considerable industry interest has been generated, culminating in the addition
of a further four major international oil and gas operators to the project.

The participants of the JIP comprise ConocoPhillips, ENI, Husky Energy,
Repsol-YPF as well as Shell, all of whom have gas assets worldwide which they
believe could benefit from this game changing technology. As well as covering
the development costs for the next phase, the participants will also make
substantial resource available to ensure the final product specification meets
the requirements of the industry.

Corac's downhole gas compression concept involves the coupling together of a
number of axial compressor modules in a single compression train for
installation in the well bore in close proximity to a gas reservoir. In this
location, a modest uplift in pressure results in a very significant increase in
gas production compared with conventional methods using surface compression,
thereby accelerating gas production and cash flow from a producing asset.
Potential production rate enhancement of up to 40% has been demonstrated through
the application of downhole gas compression during a number of gas field case
studies carried out over recent months.

Placing the compressor downhole could also have the effect of being able to
lower the reservoir abandonment pressure which in turn would materially increase
the ultimate recovery from a gas field, thereby further enhancing the economic
benefit from the installation of this novel application of existing technology.

Phase 1 of the JIP is scheduled for completion by the end of 2004, with further
engineering and development work leading to the manufacture and testing of a
prototype downhole in a producing gas well within the following two years.

Commenting on the JIP, Professor Gerry Musgrave, Chairman, said:

'The support from such eminent oil and gas companies vindicates Corac's
development to date of the downhole gas compression project and gives the Group
another product line to bring to the market using its core technologies. It is
the start of a major business development opportunity which is expected to have
significant international ramifications throughout the upstream natural gas
industry.'ENDS.

Although loss making at the moment it shouldnt be very long before this one turns the corner.

Outlook

The Company has a loyal, talented workforce dedicated to the innovation and
exploitation of the technology. Successful trials have demonstrated the
commercial performance in Corac's industrial air compressor and its seals. The
Board is striving to deliver the right manufacturing and sales licences which
will yield the best returns in the long term.

We are confident that a number of deals, which have been subject to recent
intensive negotiation, will be successfully concluded in the near term.

Short to medium term investment, and anyone interested should DYOR and please remember you are responsible for the timing of your buying and selling actions.

cheers GF.

Nice increase today, any idea's why?
2517

good post copied from advfn, banshee

Banshee - 31 May'08 - 12:34 - 5780 of 5799


The DGC order and trial financing (about 4 million in total) has been approved by the ENI board in Italy I believe, with the paperwork for the DGC order routed via ENI's Norwegian subsidiary purely for financial reasons, Norway being big on Tax Incentives in this area given the size of their North Sea involvement.

There is no element of engineering approval involved its's an order pure and simple, the trial is going to be run in Italy. And there is no delay to any part of the project because work is proceeding on all fronts regardless of the arrival of the paperwork, including construction of the trial unit and preparation of the well, indeed the start date of the trial has been brough forward from that originally planned.

They are expecting to be able to issue an RNS in the next week or two, as I said, but if there is any hold up a general "all is well & on track for trials this year" type statement (which they should have done by now anyway IMO) is on the cards.

Remember at the time of the RNS they will also re-confirm the test date for later this year, it is also a million pounds or so in the kitty for Corac. The delayed Repsol order (another million or so) should follow not to long after, also the first new JIP member a MAJOR oil services co (New members have to pay a million pounds to join, most or all of which also goes to CRA I believe). This could come as early as June, but July or even August is more likely I imagine

Once the first new JIP members comes, others should be faster, not least because the new contract, on which detailed negotiations have been going on for some time with all parties lawyers, will serve as a template. Whilst a successful trial will no doubt generate massive additional interest, they expect to sign up several new members in the course of this year regardless. (Signing up to the JIP gives you full access to the trial data as well as priority on ordering of kit)

"We have smaller gas companies on the phone literally every day willing to pay the trial costs if we supply the unit free" is a direct quote, at the moment they prefer (probably sensibly) to get full payment and test with the JIP members with whom they have been working closely for years. Though they did confirm they would very likely be doing leasing deals for a % of gas recovered with these smaller companies in the future as has been discussed here in the past.

It's also worth bearing in mind that gas fields decline much faster than oil fields do, once they pass their peak, so companies literally cannot wait to install this kit (this is why the small producers are on the phone "every day" and will be a major factor in the rapid takeup of this technology).

If anyone has any concerns I strongly suggest you either email or phone the company.

glad i bought back in at 55 a few weeks ago .... wasn't such a bad idea of taking my earlier profit at 73 either - lol!

fair play, cynic!

Without knowing the exact reason for the recent rise, I wouldn't be surprised to see the sp drift again, so maybe you can do the same again, cynic.
Once the test date comes & goes this cycle may not repeat itself, imo.

On airport internet wont let me copy and paste a graph, but i gather good volume today, im not so sure it will drift down so far now, although maybe wishful thinking, but this could very easily take off from here if there is to be some rns soon backing up Banshee's statement. Lets face it everyone will want these when they are blowing the gas out of the ground...

Up around 15% atm and not a whisper here.
2517

If you believe in graphs, this could well be heading for the upper trendline, which would indicate 120p - although of course that is depending on some very positive news first!

Has certainly pushed through 25/50 and 200dma's without pause...

1st order from ENI and shares up around 16%.
2517

Gerry Musgrave, Executive Chairman said:
"I am delighted to report our first order for our DGC unit. This is important technology enabling stranded gas reserves to be brought into supply at a time of escalating energy costs and depleting gas reserves. The development of the DGC, which deploys a unique method of lifting gas from wells, comes at a crucial time for the global energy market."

looks like break-out time for CRA?
should be couple hundred mill market cap by now anyway, imo.

moving ahead very strongly now, looks like >80p is break-out.

With the financial advantages that DGC offers gas companies, could be 5 or 10 within a year or two, imo.

almost inclined to top up, but fear that would be greedy and merely tempt fate

i also note that volume is nothing exciting and that average is only 250k a day.
not even any notably large trades either

Either the MM's are short of stock or they are playing games again with perhaps a large seller waiting in the wings?

cap is only about 80m and suspect much/most stock tightly held (easy to check, but can't be bothered for now) ..... i very much doubt there is a seller about, as rthat would alreday have been reflected to some extent.

however, whether or not there is more to the recent (and sustained) excitement than PI sheep jumping in is equally unclear, for there has been no announcement from the company.

Monday's announcement is all that was needed to trigger a re-rating, this was the 'official endorsement' that was required.

Given DGC is a unique to CRA technology capable of achieving very significant increases in gas recovery at very modest cost to the gas companies, then the market cap is but a mere trifle, even making allowances that full live deployment has not yet happened.

The pr on Monday also hinted at more partners to join the project, interest from large multi-nationals is very strong + further large names coming on board should further boost both the credinbility and the share price.

Current market cap still looks way to low to me, for whats on offer.
200m, or around 2.50, would be reasonable for the stage we are at. I expect the shares to move towards that level during the rest of the year, providing the excellent progress is maintained, imo.

even i cannot really disagree with that, though i am undecided on my course of action.

wow, that be a first, eh cynic!
anyway, very good timing on your trade.
Can I tempt you with VIY at all?!
I have a strong feeling that these are set for a very good run, imo.
Bargain basement prices will not presist for too long.