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/

could be - ehtanol players may feel more confident in GTL now and heavily ditching RVA over the last few weeks, the more astute though would have started the tumble at their dizzy heights of 270 and perhaps be converting to GTL now that the S.P's got some life.
- shares mag didnt post there green portfolio last week!! RVA must be showing a hell of a loss!

Well somewhat surprised I really thought we would see a 30p increase today. As it is it leaves me just below break even but feeling more confident for the week ahead.

My personal portfolio has a break even on GTL at 2.049 - Ok there - but there's always one - and for me that's DOO, my break even is 2.66!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! Screwethed!

I have the highest break even here at 300p will see that in the coming months or even days may be.

100,000 T trade at 2.05p after 5pm may explain some of the price hold.

Todays Telegraph 9/01/2007

GTL Resources rose 10 to 215p Traders said a large overhang of 400000 shares had been placed at 200p a share The bulls also reckon its US ethanol plant in Illinois could also be in full production in the next few weeks.

thanks Driver,
Nice reassuring post...
onwards and upwards!

With the large overhang out of the way there will be nothing holding it back when we get some good news.

hopefully the media coverage continues to grow,.

..

Potts
Explain a bit slower, do you mean post a link.

yeah sorry post a link

Potts
Click the forth symbol above the post box from the left and post your link in there.

UBS AG Notification of Interest

http://moneyam.uk-wire.com/cgi-bin/articles/200701101014462753P.html

Thanks

though i continue to hold, i do have very real concerns that the spiralling price of maize futures will have very deleterious effects on GTL's profitability

cynic
The price of corn has been coming down over the last few weeks not going up.

Tuesday, January 9th, 2007

Fund selling trips-up Corn rally: Corn futures took it on the chin this afternoon, as a commodity wide sell-off tied to speculative liquidation weighed on the market.

http://etvfutures.com/futures/Text/ShowStory.jsp?id=10613

And I believe that GTL have already hedged their corn prices with the Farmers collective for the next few years. (Or something along those lines).

Anyone brave enough to hazard a guess at what level the share price will be on 31 Jan 07.

I'm going to go for an optimistic 2.80.