Information wise, this has not been a bad week. The CEA/ Air Liquide project has been investigated and reviewed along with how and why the KDS will be used. Syngas and liquid fuels production is planned to be fully operational and producing millions of gallons of biodiesel by 2017. Assuming the KDS operates as both sides of the most recent sale expect, this could very well prove to be a lucrative relationship for FASC. Keep in mind CEA is a very big partner financially and is a governmental agency.
Recently I alluded to anew revenue stream that is in the works. Since I haven't been able to find anything in the public domain I decided to call one of the participants and see what details could be found out. Although FASC has been told by legal counsel to not discuss any future events, the potential partner has no such restrictions and freely discussed the project. There are 3 potential partners. This is my emphasis on potential simply because in my mind nothing happens until it happens. However, it was stated outright the project is slated to begin operations in April. This is 6 months later than I had originally thought this would take place, but better later than not at all.
So what is this about? The partners are joining up to process zeolite in BC. They already have customers lining up for processed materials. From a FASC perspective the initial project phase will include 1 KDS and could easily expand from there as the marketing channels are extended. Until the partners nail down the percentages of ownership, I am using 25% for FASC. Based on the details that I have so far, that percentage could add $250k to FASC's bottom line this fiscal year and ramp up to $1-1.3 million in FY 2016 (7/1/2015-6/31/2016).
This is the type of additional revenue stream the company needs to fill in the gaps between machine sales.
I will post more tomorrow on this.
