We have digesters located across the US. It is a very tough business and fortunately we have our core wastewater business as the alternative energy buss is really tight in the US. Good for Americans as the US cost of energy is still very low. The cost to produce electricity via AD is about 10 cents per KW with free feedstock. We have to rely on "tip fees" and no cost feedstocks to make money. Even then without subsidies it would NEVER pencil. It is actually pretty easy math. Hawaii has about the same cost of electricity as Germany (30 cents per KW). Alternative energy producers CANNOT sell to the consumer so they must sell to the power companies who are going to pay much less than what they are selling to consumers. It will be impossible to buy an energy crop like GKG and sell it back to the power companies to make a profit. As I have said all along, the math does not work for GKG as a feedstock for AD. At least not yet. When energy goes alot higher or some other driver comes along then maybe. Remember Tibbar Energy on St Croix. The consumer pays 50 cents per Kw and Tibber was give a contract for mid 20 cent per KW. The math never worked as GKG was going to cost 100 dollars plus per ton to feed to the AD. They never got off the ground since they could not make the math work. They took some early money on Hope and Dreams, much like VSPC did when they took 54 Million from people. Tibbar had great press releases right up until they went bankrupt. It is not a hard business to determine if it will work or not. A simple spreadsheet and about an hour and it works or not. High CAPEX and high OPEX make the digester business very tough. Selling feedstock to a tough business will never work. We are currently paid 24 dollars per ton to take the materials as feedstocks. Most of the alternative energy plays sound awesome, but when an investor puts excel to work, they look like BLACK HOLES. Take a look at Blue Shere (BLSP). They are AD folks, and their stock chart looks just like VSPC. BAD for the investor.
