The main activity of Biofuels is the large scale production and exploitation of biodiesel and glycerine following the construction and commissioning of the initial plant.

Biodiesel is produced from vegetable oils and, as an environmentally friendly product, can make a significant contribution towards reducing green house gases and meeting Kyoto targets.



RNS's from BFC can be viewed at:

http://www.uk-wire.com/cgi-bin/index?search_type=3&words=bfc&go.x=17&go.y=8

http://www.biofuelscorp.com/

yeah - does sound rather alarming particularly as they mention the "future viability"......i don't like this.......perhaps the final testing stage has shown them that things need fixing (that is if they actually were testing - or simply buying time with that announcement).......either way, they are not delivering to us what we want ! and it doesn't seem as though this banking issue has anything to do with further plants being constructed......

is the management really that bad in regards to running a project ????

I'm beginning to think they are .

Curious that statement last week made no reference to company's problems, but writing on the wall at time of EGM in Sept (several posts at the time). Could be a long weekend negotiating for those involved, seems too far advanced for it to just fail, but little comfort likely for ordinary shareholders.

yeah....but at least the current sp isn't up near 3, so the base should be closer, if it does fall from the 140's......could still slump dramatically though.

(this leads to me to wonder what the Evil one knows about many of these stocks- cos he may have called this one right as well......although no doubt he has buddies in all the right places too, on top of his supposed forensic accounting acumen)

Hi Jimmy,been out since 9.00, only just seen the anouncement, so am in a state of shock. I always had my niggling doubts about the way the management have handled everything, but still thought shareholders would be the ones to make money from this plant (someone is going to for sure unless its been suspended because commissioning has shown the plant doesn't work), what a mess they've made. This has to be very bad news indeed: I think we are unlikely to get very much, if any, of our money back. I'm feeling quite sick at the moment as I am up to my neck in this share.

I'm what you might call slightly overexposed myself Frampton ,so i'm seriously pissed . I'm not sure that it does'nt work ,i would more think another delay ,thus swallowing up more money ,at least that's the concensus on the other bb's , however you may be right , nothing would surprise me at the moment..

I'm just catching up on the posts over the road - over 400 since I last looked. I doubt the plant wouldn't work either - if it eventually gets finished. What I mean is once the plant is up and running it will be making someone alot of money, unfortunately it doesn't look like it's going to be us. I think it more likely you are right - there is another delay and the money has run out. I'm mentally trying to write this investment off - painful though that is - if we receive anything back, I see it as a bonus. This has been a very tough lesson in investing...

For what its worth ( first time I have viewed this BB)
According to the BFC Final Prospectus Part 10 section 12.7.1.2 The Barclays working Cap Banking facility is base rate plus 2%, But this increases to 5% as from 31st Oct 2005 unless amounts outstanding have been reduced or cancelled to 7m or less. Default interest accrues at these rates plus an additional 2 per cent per annum. ..

According to the "Risks" statement in prospectus...
" If the company is unable to service its loan or is otherwise default under its banking financing arranged ( such default including that the expendtiture required to complete the plant exceeds the amounts agreed with Barclays under the revised credit agreement by greater than 5% or the construction, ramp up or completion of the plant is not proceeding on the timetable agreed with Barclays under the revised credit agreement) Barclays as Mortgagee will be entitled to ask for additional security or take possession of the plant to sell it to recover its loan." "In such circumstances investors could lose all their investment."

Furthermore it appears BFC may breach terms of some of their supply agreements ( unable to supply on time)??

For investors it appear rather bleak particularly if there are further problems with the plant? For what little it may be worth, Hopefully the above may help some understand the possible implications, sorry its not very positive..

** Toscafield, the investment vehicle belonging to former banking analyst Martin Hughes, is said to be considering putting forward a significant amount of money to take a bigger interest in Biofuels Corporation (BFC.L: Quote, Profile, Research). Dealers said Mr Hughes may be working with Mehmet Dalman, the former head of global equities at Commerzbank who last year set up a hedge fund Wealth Management Group.

http://today.reuters.com/investing/financeArticle.aspx?type=mergersNews&storyID=2005-11-18T083010Z_01_L17555433_RTRIDST_0_FINANCIAL-CHATTER.XML

Some hope maybe..

Frampton ,if your around just a thought, ,,,, Is the plant ready to start producing soon ??,we are assuming there is a problem , if Toscafield are willing to pump money in maybe the plant works and the huge debt is the issue ,,it's still bad ,but ALL may not yet be lost ...

Ive updated the pic at the top. Im no expert in this kinda thing but it dont look finished to me.

Oil price has been quite stable during last few month. The fall was in $ not in other currencies. IMO
BTW, it's good to keep Americans happy

Hi Jimmy, I've been out most of the day again, trying not to think about this share, it's out of our hands now. It would be nice if you were right, but if they are about to start producing why can't the bank tide them over for a bit longer? If Toscafield put up a large amount of money they will presumably want a large proportion of the company not leaving much for existing shareholders.
I unfortunately also hold LGB, I had written them off, but I'm more hopeful of getting something back from them than BFC at the moment.
Sorry for being all doom and gloom but I feel there is little hope here, although I'm still hoping I am wrong.

Your not being all doom and gloom Frampton , , i'm just looking for a positive ,which as you say may not happen , i hope they make an announcement sooner , rather than later ,just so we know , although i won't hold my breath as they were never very good at that either . Lets see what next week brings.

This is a bit of a pig, didnt see this coming...

Simon, if only we had.
Jimmy, although knowing something sooner rather than later would put us out of our misery I think for it to have any sort of positive outcome for us, it might take a while to negotiate. (By positive, I mean that we get some of our investment back, there is no way that this can open anything other than much lower, if it ever comes back from suspension at all)
As you say, lets see what happens next week

MRS Stock talk : Biofuel shares to be avoided
18-Nov-2005
Biofuels' suspension came as "something of a shock," says Ambrian
Partners. "We await the reasons why the company has suddenly found itself without cash having raised a further 30.6m only a few months ago."
Highlights the "disastrous" hedging arrangement which was put in place by the previous management team. "At this point, maybe questions need to be asked about the role of the bankers who set up the hedging arrangements for the company in the first place."
All in all, reckons this is a sorry mess and even if the company finds the funds to continue, "the shares are probably best avoided until the bio-diesel industry in the UK has proved itself." Has sell rating.

Great advice, unfortunately we have no chance of selling and might never have!

Frampton have a look over on the other side ,people are starting to take action ,i don't know if it's going to do any good but i thought you may like to know . Cheers Jimmy.

Thanks Jimmy, I have just had a look over there. Alot of fighting talk going on, sounds good. If alot of retail investors join in, we must have some clout, for the amount of shares held between us.