Saturday, July 05, 2008 5:09:33 AM
OfficerApple & All, 10 Points to Confirm BLDV Legitimacy
There are two different concepts of thought when it comes down to being a successful company that trades on the market; growing your company and growing your stock. Most CEOs are already in tune with the things that are required to grow their company for the business, product, or service they provide as a trading entity within the market.
However, most CEOs are not as wise to the many variables that are attached for knowing how to grow their stock; especially within the penny stock world. These two concepts of thought normally collide when maturing processes are in works to get the company to the next levels. These are the things that force shareholders to learn how to exercise patience as these learning curves are conquered. I think Quincey would have a few things to do different if he had to do things all over again.
When I had spoken to Quincey, I do not believe that Quincey even knew what IHub was. He spoke as if he could respectfully care less due to the lack of not knowing of what IHub was for. I do not think that Quincey was trying to manipulate me to pump BLDV. After all, I initiated the call to him; he did not initiate the call to me. Quincey had no idea that I was going to call him because heck, I didn’t have any idea that I was going to call him at such time. This is where it all started.
The situation dictated such from when a shareholder here within IHub posted that BLDV’s Articles of Incorporation were delinquent at the Nevada Secretary of State (SOS). I didn’t even notice it. I introduced myself and told him a little about myself. I told him how I was fond to know about BLDV’s interview with General Schwarzkopf since I was a military man and how that there was a group of military members that supports him because of such as shareholders.
So, as for wondering if BLDV is real or not… hmmmm… I humbly ask that you consider these ”10 Points to Confirm BLDV Legitimacy” below that made sense to me that helped me to better feel at peace with my BLDV investment. For anyone not agreeing with these points, I respectfully understand as these thoughts are derived from me doing my due diligence (DD).
Point 1 to Confirm BLDV Legitimacy
In reference to the post below, Windell Middleton is the Special Projects Officer at BELTRAIDE. Do you think that he was making things up to confuse me when he confirmed that BLDV was in current negotiations with the Belize Government? Well, I believe he was sincere with his answer. He confirmed that something positive was currently going on between BLDV and the Belize government, but he told me that he just did not know any details or if anything have been closed as of yet. He gave me a contact name and number of which I am still trying t contact to get more details.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=30334987
Point 2 to Confirm BLDV Legitimacy
In reference to the PR below, BLDV formed a strategic alliance with Texas A&M University of which Dr. Gerald Riskowski is the professor and department head of the Department of Biological and Agricultural Engineering at Texas A&M University who serves as a technical assistant partner for BLDV. A few people have spoken to him as all can simply make the phone call to Texas A&M themselves. If BLDV was not for real, I don’t think that Dr. Riskowski would risk the impeccable reputation that has been earned by Texas A&M University by dealing with BLDV. Dr. Riskowski is recognized for having one of the leading and largest biological and agricultural engineering departments in the country. Dr. Riskowski was not the only Professor/Doctor at Texas A&M that spoke very highly of Quincey and BLDV. Do you think all of the positive comments that the Texas A&M Professors/Doctors stated about BLDV were made up? If so, get the proof yourself by doing like I did to call Texas A&M.
http://biz.yahoo.com/iw/070702/0273049.html
Point 3 to Confirm BLDV Legitimacy
In reference to the PR below, BLDV made 3 offers to three biodiesel plants in the United States. Quincey stated that they anticipate reaching an agreement soon.
http://biz.yahoo.com/iw/080326/0379670.html
It has been ”unofficially” confirmed that BLDV has acquired a biodiesel plant in the US with the capacity to generate 40 million gallons of fuel per year. Let’s now talk about the BLDV valuation when the ”official” release of this confirmation of BLDV having production facilities for 40 million gallons per year (gpy) of biodiesel fuel is released considering the current price of biodiesel fuel is about $3.00 per gallon. Please, consider below:
40,000,000 gpy x $3.00 = $120,000,000 in Revenues
Net Income = Revenues – Net Expenses
I will use a basic and conservative 25% profit margin to consider for Net Income to include "all" Expenses for keeping this valuation simple to reflect Net Income as:
$120,000,000 x .25 = $30,000,000 in Net Income
This means that BLDV would earn as Net Income the amount of $30,000,000 and the remaining 75% (or $90,000,000) will be considered as Net Expenses. Personally, I doubt very seriously that BLDV will have $90 million in Net Expenses from generating $120 million Revenues from this facility since it is already operational and need not to be constructed. I think it’s safe to think that BLDV will begin producing/generating fuel immediately.
Currently, the Outstanding Shares (OS) of BLDV is expected to be somewhere in the area of 205,000,000 shares for a worse case scenario as I had explained in the BLDV IBox. Reverse merger details could cause the share structure to be reduced, but reverse merged ”upwards” to the benefit of shareholders into the higher price of the higher trading entity reverse merged into which in turn causes our reverse merger situation here with BLDV to be very different for the better. BLDV will not reverse merge ”downwards” as in the case of your typical reverse merger scenario which typically delivers a basic change in share structure that usually hurts its shareholders. This is not the case here with BLDV. For this, I will use the 205,000,000 shares as a worse case scenario OS for calculating an Earnings Per Share (EPS) amount to help us to derive the ”potential” price in which BLDV could justify trading at.
Net Income ÷ OS = EPS
$30,000,000 ÷ 205,000,000 shares = EPS
.146 = EPS
A vast majority of the biodiesel companies trade within the Basic Materials Sector within the Specialty Chemicals Industry. Currently, the stocks within the Specialty Chemical Industry trade at a P/E Ratio of 34.10 to reflect the growth rate of stocks within that Industry as reflected below:
http://biz.yahoo.com/p/113conameu.html
This means that if you were to consider applying the growth expectancy rate of 34.10 to BLDV as created from the stocks that trade within the same Industry as where BLDV would trade, you would derive the share price of BLDV to be somewhere fairly trading in the area as indicated below:
34.10 PE Ratio x .146 = $4.98 per share
To remain conservative, one could consider using a 17 P/E Ratio to suggest that BLDV would grow at half the expectancy of all the other stocks within its Industry to determine the ”potential” that BLDV should trade right now. This would still be very conservative and would reflect the price below for where BLDV should trade:
17 Conservative P/E Ratio x .146 = $2.48 per share
Point 4 to Confirm BLDV Legitimacy
In reference to the PR below and stated by the BEI CEO, Fred D. Bandini… "I am very impressed with the efforts Blue Diamond Ventures has made to develop this project for the benefit of the economy of Belize and the environment."
http://biz.yahoo.com/iw/070803/0286126.html
In reference to the PR below, BLDV has selected BEI Engineering to design and construct a biodiesel facility in Belize with an eventual capacity of 100 million gallons per year (GPY), using non-food crops. After signing a purchase agreement with the Government of Belize, Blue Diamond is planning renovations of 17 buildings, which form part of the Old Lynam College in the Stann Creek District of Belize. This will serve as the headquarters for the company's biofuels and research and development operation. Once renovated, the buildings at Lynam will offer accommodation for staff and visiting researchers. The company has a memorandum of agreement with the Texas Agricultural Experiment Station of the Texas A&M University System, whereby, the university will serve as its technical assistance partner in Belize.
http://biz.yahoo.com/iw/080326/0379670.html
From when I had previously spoken to BEI, everything PR-ed was true, but they are waiting for BLDV to get in contact with them for further instruction. I have since discovered that Quincey could consider taking an alternate route that would be much better than the utilization of BEI Engineering that would have the BLDV Belize plant operational in less than half the time. Quincey don’t even know I know this so I think I probably should not speak much on it since it’s not official. Just consider it speculative for now as we should just wait to see what’s going to be announced in the future on this matter. Either option would be fine.
Point 5 to Confirm BLDV Legitimacy
In reference to the PR below, Ambassador Philip Priestley, former British High Commissioner in Belize, joined the BLDV TEAM with bringing 35 years of experience in trade and investment promotion and bilateral relations.
Ambassador Philip Priestley stated… "I am delighted to join the Blue Diamond team," … "I look forward to working with the company on its projects in Belize and the wider Caribbean." … "These projects support the government's policy of attracting sustainable and environmentally-friendly development to Belize and will bring jobs and investment to the area."
http://findarticles.com/p/articles/mi_pwwi/is_200606/ai_n16487930
I recommend going to the link below to read how high and prestige a position Philip Priestley was in which should confirm that his involvement with BLDV is because of BLDV definitely being legit:
http://en.wikipedia.org/wiki/High_Commissioner
Philip Priestley was the head of the North America Department of the Foreign and Commonwealth Office from 1996-2000. He played a key role in advising FCO Ministers on relations with the U.S. and Canada during the last Clinton and the first Bush presidencies.
Philip Priestley secured major funding for projects and obtained debt relief for the country.
Point 6 to Confirm BLDV Legitimacy
In reference to the PR below, Robert Luiten was hired to create a Biofuels Trading Division for BLDV back on Aug 06:
http://ecostocks.wordpress.com/2006/08/03/former-ineos-executive-joins-blue-diamond-ventures-to-develop-biofuels-trading-division/
In reference to this PR below he completed this Biofuels Trading Division for BLDV shortly after in Oct 06:
http://findarticles.com/p/articles/mi_pwwi/is_200610/ai_n16778413
Now, there are three questions that I think we need to ask that will help us to understand the magnitude of this achievement…
1-Who is this Robert Luiten that BLDV had selected to create their Biofuels Trading Division?
2-Would such a very reputable man as Robert Luiten really do these things for BLDV and make such positive statements by putting his name to it?
3-What is a Biofuels Trading Division used for that would make BLDV have the need to have one?
Let me first answer… 1-Who is this Robert Luiten that BLDV had selected to create their Biofuels Trading Division?
http://ecostocks.wordpress.com/2006/08/03/former-ineos-executive-joins-blue-diamond-ventures-to-develop-biofuels-trading-division/
** Robert Luiten, a former chief operating officer and vice president of a division of one of the largest ethanol producing companies in Europe and the world’s third largest chemical company, with sales of about EUR 33 billion, has joined the company in a consulting capacity and will assist in developing the company’s biofuels trading division. (EUR 33,000,000,000 = $51,099,736,450 USD)
** Luiten, who was responsible for the daily operations of the $800 million division, recently led and concluded an acquisition of a $400 million materials plant for INEOS.
** Luiten was also credited with expanding the business by more than 30 percent, while reducing fixed cost (division wide) by 20 percent without downsizing.
** Luiten, who holds a bachelor’s degree in analytical chemistry and master’s degree in organic chemistry, also served as board member and president for the INEOS US Investment Holding Company.
Now let’s answer… 2-Would such a very reputable man as Robert Luiten really do these things for BLDV and make such positive statements by putting his name to it?
Yes, he did put his name to being affiliated with BLDV by the announcement that he was creating a Biofuels Division and by announcing that he had actually completed the creation of the Biofuels Division.
He also made very positive statements saying… ”I very much look forward to providing my expertise and serving as a biofuels trading partner with Blue Diamond Ventures, Inc., until the company begins its own production,” said Luiten, now CEO of Zenergy International, and formerly chief operating officer of INEOS Phenol, a division of INEOS Americas LLC.
Now let’s answer… 3-What is a Biofuels Trading Division used for that would make BLDV have the need to have one?
Since Robert Luiten was the guy who created the Biofuels Division for BLDV, it must be considered that he is somewhat experienced in this arena. From doing further research on Robert Luiten, he is very experienced. He is the CEO of Zynergy which utilizes his own Biofuels Trading Division.
http://www.zenergyintl.com/index.html
(From the Zenergy website)
...Zenergy has begun by connecting small bio-fuel producers to large ethanol and bio-diesel fuel distributors. Specifically, Zenergy plans to buy ethanol and bio-diesel from smaller producers who lack the volume, industry contacts and know-how to sell their fuel at competitive prices, and sell it to the world’s largest distributors, such as BP, Chevron, Citgo, Exxon, Shell and Sunoco.
I think now that the intentions is for BLDV to have a Biofuels Trading Division to mirror the operations of Zynergy since it must have been expected that BLDV was going to be dealing with the same customers that Zynergy has as mention in the paragraph above.
I really think that a man of Robert Luiten’s statue would not have ever had his name in any sentence with BLDV let alone any PR with BLDV unless BLDV had some things going on that were known and proven to be very legit. You don’t hire a guy who was… the vice president of a division of one of the largest ethanol producing companies in Europe… that was the world’s third largest chemical company… who was responsible for the daily operations of the $800 million… who concluded an acquisition of a $400 million, and who had sales of $51,099,736,450 USD unless you plan on using this guy for something important.
Any affiliation from a guy of this statue is very apparent that something of a huge magnitude just might be on the horizon. Again, a guy of this statue would not even look in the direction of BLDV unless BLDV was very legit in my opinion. I consider this as BLDV being in good company as the likes of being affiliated with Philip Priestley as I have explained above too.
Point 7 to Confirm BLDV Legitimacy
The number 1 reason why people buy a stock is because of potential. I think now one must compare the ”potential” of BLDV with some other well established companies as I had previously explained. With BLDV having a 40 million gallons per year US plant and a 100 million gallons per year plant in Belize, the combined total of 140 million gallons per year will make BLDV very attractive to many investors in my opinion once everything is said and done.
I think at this point, we just need a little more confirmation that either the biofuel plant in the US has actually been purchased or something to confirm that the construction of the biofuel plant in Belize is going to actually be a reality to support what some of us think. We have ”unofficial” confirmation of such, but ”official” confirmation is needed to get BLDV to the levels we think it deserves to trade. I think we are very close to getting that ”official” confirmation.
I say this because the stocks that trade within the same Sector and Industry in which BLDV would trade are trading at significantly higher prices than BLDV. Heck, some of those higher trading stocks don’t even have their plants constructed as they only have confirmation that their plants will be constructed at some time in the future.
Consider BLDV’s current Market Cap with considering a worse case scenario amount for the Outstanding Shares (OS) to be in the area indicated below…
205,000,000 OS x .01 per share = $2,050,000
Now let’s consider a quick & current compare & contrast rehash…
** VSE last closed at $4.21 per share with an annual biodiesel capacity that is much more less than what BLDV’s would be. The key with VSE is simply that they have at least started their construction of which is scheduled to be done by the end of 2008.
http://www.verasun.com/Fuel/biodiesel.cfm
VSE has a market cap of $664,480,000 (derived from the Yahoo link below) which is $664,480,000 ÷ $2,050,000 = 324.1 times greater than our current BLDV market cap. This means that BLDV is trading about 324 times lower than where it should trade in comparison to VSE. VSE trades on the NYSE while BLDV trades on the pink sheets… for now. This is one of the many reasons why I believe in the potential of BLDV and why I think BLDV is very much undervalued at these prices. If BLDV shows just a little more ”official” confirmation, it will prove that it has far more to offer than VSE especially since it is trading far less than VSE.
http://finance.yahoo.com/q/ks?s=VSE
According to this comparison, upon any official confirmation of their biofuel plants, BLDV would be worth or trade in the area of the price below…
.01 BLDV Current Price x 324.1 VSE Comparison Disparity = $3.24 per share
You can go pick a few more stocks that trade on the NYSE, NASDAQ, & AMEX within the same Industry to see how BLDV is hugely undervalued and mirror the comparison as I have done above with VSE with GU:NYSE at $11.35; BIOF:NASDAQ at $2.60; GPRE:NASDAQ a $5.94; PEIX:NASDAQ at $1.47; VRNM:NASDAQ at $1.59.
So those waiting on the sidelines, I understand. BLDV is a pink sheets stock in which the odds are not in the favor for many pink sheets stocks to actually do what they say they are going to do. This is the risk that we all decide to take. Because of the reasons above and further reasons below that you will read, I personally think that it is worth taking the risk that BLDV will do what they are telling us they will do. I think the key will be to look for any kind of announcement to first say that we have acquired the US plant and/or will begin construction on the Belize plant. If either or both of these things happen, look for BLDV to trade as the likes of those stocks I mentioned above.
Point 8 to Confirm BLDV Legitimacy
In reference to the posts below, I think BLDV is positioning itself to go to the NASDAQ in the very near future as I was told. It could happen in a variety of ways as I am hoping that it happens as like what happened with CKEC or SPEA as explained in the posts below. I think we will here something that is the final step or a major step in the process of BLDV in doing so. I recommend everyone to read the posts below to understand why this is confirmation from doing my DD:
http://investorshub.advfn.com/boards/read_msg.asp?message_id=28802367
http://investorshub.advfn.com/boards/read_msg.asp?message_id=29396121
http://investorshub.advfn.com/boards/read_msg.asp?message_id=28936220
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29980999
Point 9 to Confirm BLDV Legitimacy
In reference to the post below:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29566509
The existence of fossil fuels doesn’t and won’t bring the type of jobs and wealth to the people of Belize and the Belize government. This is why the operational affects from being a primary supplier of biofuel is what BLDV is all about these days. Below is an awesome report that was posted by Stocksgonewild to show how the US government is planning on utilizing the use of alternative fuels in a very large way:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29534825
Here’s what was so important about that report:
http://www.fapri.missouri.edu/outreach/publications/2008/FAPRI_MU_Report_01_08.pdf
The “Energy Independence and Security Act (EISA) of 2007” was approved by Congress and signed into law by the President in December 2007. The Act makes wide ranging changes in energy legislation, including the establishment of new mandates for the use of biofuels. Provisions of the Act will be incorporated in the next set of baseline projections prepared by the Food and Agricultural Policy Research Institute (FAPRI).
This report provides a snapshot of estimated impacts of selected provisions of EISA on biofuel and agricultural markets. The point of departure for the analysis is the set of baseline projections prepared in early 2007 that FAPRI has used to examine farm bill alternatives. The analysis focuses on just two provisions of the legislation:
1) changes in the renewable fuel standard that suggest 15 billion gallons of corn based ethanol should be utilized by 2015, and
2) a new mandate to use one billion gallons of biomass based diesel by 2012.
Now understand what’s located in the BLDR PRs and on their website:
http://biz.yahoo.com/iw/080326/0379670.html
Blue Diamond Ventures (PINKSHEETS: BLDV) is an agriculture and biofuels company with operations in Belize and the U.S. The company has selected BEI Engineering to design and construct a biodiesel facility in Belize with an eventual capacity of 100 million gallons per year (GPY), using non-food crops.
Also understand:
http://www.ethanolrfa.org/resource/standard/
On December 19, 2007, the Energy Independence and Security Act of 2007 (H.R. 6) was signed into law. This comprehensive energy legislation amends the Renewable Fuels Standard (RFS) signed into law in 2005, growing to 36 billion gallons in 2022.
According to a January 2008 study, the economic impact of a 36 billion gallon RFS is as follows:
• will add more than $1.7 trillion to the Gross Domestic Product between 2008 and 2022;
• generate an additional $436 billion of household income for all Americans during the same time period;
• support the creation of as many as 1.1 million new jobs in all sectors of the economy; and,
• generate $209 billion in new Federal tax receipts.
The above confirms for me that the government is getting involved more and more as much will be mandated for execution.
Point 10 to Confirm BLDV Legitimacy
In reference to the link below, I think all should listen to the BLDV interview from John Quincy Moaning and General Norman Schwarzkopf and others:
http://www.wbrtv1.com/media_stream/1912/blue-diamond-ventures.html
If BLDV did not have very real and legitimate intentions, General Schwarzkopf would not have ever had them on his show. From talking to the Media Section that’s responsible for scrutinizing the companies to be on his show, they assured me that BLDV was very real. With all due respect, please go to the info below and call Victoria who is with the company responsible for the media for General Norman Schwarzkopf's show:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=28945457
http://www.wbrtv1.com/
http://investorshub.advfn.com/boards/read_msg.asp?message_id=28842130
Multi Media Productions "USA" Inc.
999 Yamato Road Suite 210 l Boca Raton, Florida 33431
Phone: (561) 988-9449 l Fax: (561) 988-9304
Victoria will confirm for you that they go through certain due diligence processes to thoroughly scrutinize the legitimacy of any company being interviewed to include all of the people involved.
There were very prominent people in power and position with BLDV where I don't think they would have allowed their presence to have been there on the show unless everything was real and very legit. Having any Prime Minister and Department head of Texas A&M on your show providing support is huge for the legitimacy of any stock.
All of this while being interviewed on the show of a 4 Star General. This is huge as General Norman Schwarzkopf is a man of positive statue that should be a plus in the eyes for BLDV. With understanding a few principles of the military, I am willing to risk that General Norman Schwarzkopf would not have allowed BLDV to air their interview with him if BLDV was not for real.
The above are 10 important points to confirm the legitimacy of BLDV in my eyes from doing my due diligence (DD). I recommend all consider them, but please make your own decision to take the risk in BLDV from doing your own DD. In my heart I think BLDV will be life changing for many from these levels as it already has been for some people who bought from its original low levels of origin. I am staying tuned for more.
v/r
Sterling
Sterling's Trading & Investing Strategies:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29867262
There are two different concepts of thought when it comes down to being a successful company that trades on the market; growing your company and growing your stock. Most CEOs are already in tune with the things that are required to grow their company for the business, product, or service they provide as a trading entity within the market.
However, most CEOs are not as wise to the many variables that are attached for knowing how to grow their stock; especially within the penny stock world. These two concepts of thought normally collide when maturing processes are in works to get the company to the next levels. These are the things that force shareholders to learn how to exercise patience as these learning curves are conquered. I think Quincey would have a few things to do different if he had to do things all over again.
When I had spoken to Quincey, I do not believe that Quincey even knew what IHub was. He spoke as if he could respectfully care less due to the lack of not knowing of what IHub was for. I do not think that Quincey was trying to manipulate me to pump BLDV. After all, I initiated the call to him; he did not initiate the call to me. Quincey had no idea that I was going to call him because heck, I didn’t have any idea that I was going to call him at such time. This is where it all started.
The situation dictated such from when a shareholder here within IHub posted that BLDV’s Articles of Incorporation were delinquent at the Nevada Secretary of State (SOS). I didn’t even notice it. I introduced myself and told him a little about myself. I told him how I was fond to know about BLDV’s interview with General Schwarzkopf since I was a military man and how that there was a group of military members that supports him because of such as shareholders.
So, as for wondering if BLDV is real or not… hmmmm… I humbly ask that you consider these ”10 Points to Confirm BLDV Legitimacy” below that made sense to me that helped me to better feel at peace with my BLDV investment. For anyone not agreeing with these points, I respectfully understand as these thoughts are derived from me doing my due diligence (DD).
Point 1 to Confirm BLDV Legitimacy
In reference to the post below, Windell Middleton is the Special Projects Officer at BELTRAIDE. Do you think that he was making things up to confuse me when he confirmed that BLDV was in current negotiations with the Belize Government? Well, I believe he was sincere with his answer. He confirmed that something positive was currently going on between BLDV and the Belize government, but he told me that he just did not know any details or if anything have been closed as of yet. He gave me a contact name and number of which I am still trying t contact to get more details.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=30334987
Point 2 to Confirm BLDV Legitimacy
In reference to the PR below, BLDV formed a strategic alliance with Texas A&M University of which Dr. Gerald Riskowski is the professor and department head of the Department of Biological and Agricultural Engineering at Texas A&M University who serves as a technical assistant partner for BLDV. A few people have spoken to him as all can simply make the phone call to Texas A&M themselves. If BLDV was not for real, I don’t think that Dr. Riskowski would risk the impeccable reputation that has been earned by Texas A&M University by dealing with BLDV. Dr. Riskowski is recognized for having one of the leading and largest biological and agricultural engineering departments in the country. Dr. Riskowski was not the only Professor/Doctor at Texas A&M that spoke very highly of Quincey and BLDV. Do you think all of the positive comments that the Texas A&M Professors/Doctors stated about BLDV were made up? If so, get the proof yourself by doing like I did to call Texas A&M.
http://biz.yahoo.com/iw/070702/0273049.html
Point 3 to Confirm BLDV Legitimacy
In reference to the PR below, BLDV made 3 offers to three biodiesel plants in the United States. Quincey stated that they anticipate reaching an agreement soon.
http://biz.yahoo.com/iw/080326/0379670.html
It has been ”unofficially” confirmed that BLDV has acquired a biodiesel plant in the US with the capacity to generate 40 million gallons of fuel per year. Let’s now talk about the BLDV valuation when the ”official” release of this confirmation of BLDV having production facilities for 40 million gallons per year (gpy) of biodiesel fuel is released considering the current price of biodiesel fuel is about $3.00 per gallon. Please, consider below:
40,000,000 gpy x $3.00 = $120,000,000 in Revenues
Net Income = Revenues – Net Expenses
I will use a basic and conservative 25% profit margin to consider for Net Income to include "all" Expenses for keeping this valuation simple to reflect Net Income as:
$120,000,000 x .25 = $30,000,000 in Net Income
This means that BLDV would earn as Net Income the amount of $30,000,000 and the remaining 75% (or $90,000,000) will be considered as Net Expenses. Personally, I doubt very seriously that BLDV will have $90 million in Net Expenses from generating $120 million Revenues from this facility since it is already operational and need not to be constructed. I think it’s safe to think that BLDV will begin producing/generating fuel immediately.
Currently, the Outstanding Shares (OS) of BLDV is expected to be somewhere in the area of 205,000,000 shares for a worse case scenario as I had explained in the BLDV IBox. Reverse merger details could cause the share structure to be reduced, but reverse merged ”upwards” to the benefit of shareholders into the higher price of the higher trading entity reverse merged into which in turn causes our reverse merger situation here with BLDV to be very different for the better. BLDV will not reverse merge ”downwards” as in the case of your typical reverse merger scenario which typically delivers a basic change in share structure that usually hurts its shareholders. This is not the case here with BLDV. For this, I will use the 205,000,000 shares as a worse case scenario OS for calculating an Earnings Per Share (EPS) amount to help us to derive the ”potential” price in which BLDV could justify trading at.
Net Income ÷ OS = EPS
$30,000,000 ÷ 205,000,000 shares = EPS
.146 = EPS
A vast majority of the biodiesel companies trade within the Basic Materials Sector within the Specialty Chemicals Industry. Currently, the stocks within the Specialty Chemical Industry trade at a P/E Ratio of 34.10 to reflect the growth rate of stocks within that Industry as reflected below:
http://biz.yahoo.com/p/113conameu.html
This means that if you were to consider applying the growth expectancy rate of 34.10 to BLDV as created from the stocks that trade within the same Industry as where BLDV would trade, you would derive the share price of BLDV to be somewhere fairly trading in the area as indicated below:
34.10 PE Ratio x .146 = $4.98 per share
To remain conservative, one could consider using a 17 P/E Ratio to suggest that BLDV would grow at half the expectancy of all the other stocks within its Industry to determine the ”potential” that BLDV should trade right now. This would still be very conservative and would reflect the price below for where BLDV should trade:
17 Conservative P/E Ratio x .146 = $2.48 per share
Point 4 to Confirm BLDV Legitimacy
In reference to the PR below and stated by the BEI CEO, Fred D. Bandini… "I am very impressed with the efforts Blue Diamond Ventures has made to develop this project for the benefit of the economy of Belize and the environment."
http://biz.yahoo.com/iw/070803/0286126.html
In reference to the PR below, BLDV has selected BEI Engineering to design and construct a biodiesel facility in Belize with an eventual capacity of 100 million gallons per year (GPY), using non-food crops. After signing a purchase agreement with the Government of Belize, Blue Diamond is planning renovations of 17 buildings, which form part of the Old Lynam College in the Stann Creek District of Belize. This will serve as the headquarters for the company's biofuels and research and development operation. Once renovated, the buildings at Lynam will offer accommodation for staff and visiting researchers. The company has a memorandum of agreement with the Texas Agricultural Experiment Station of the Texas A&M University System, whereby, the university will serve as its technical assistance partner in Belize.
http://biz.yahoo.com/iw/080326/0379670.html
From when I had previously spoken to BEI, everything PR-ed was true, but they are waiting for BLDV to get in contact with them for further instruction. I have since discovered that Quincey could consider taking an alternate route that would be much better than the utilization of BEI Engineering that would have the BLDV Belize plant operational in less than half the time. Quincey don’t even know I know this so I think I probably should not speak much on it since it’s not official. Just consider it speculative for now as we should just wait to see what’s going to be announced in the future on this matter. Either option would be fine.
Point 5 to Confirm BLDV Legitimacy
In reference to the PR below, Ambassador Philip Priestley, former British High Commissioner in Belize, joined the BLDV TEAM with bringing 35 years of experience in trade and investment promotion and bilateral relations.
Ambassador Philip Priestley stated… "I am delighted to join the Blue Diamond team," … "I look forward to working with the company on its projects in Belize and the wider Caribbean." … "These projects support the government's policy of attracting sustainable and environmentally-friendly development to Belize and will bring jobs and investment to the area."
http://findarticles.com/p/articles/mi_pwwi/is_200606/ai_n16487930
I recommend going to the link below to read how high and prestige a position Philip Priestley was in which should confirm that his involvement with BLDV is because of BLDV definitely being legit:
http://en.wikipedia.org/wiki/High_Commissioner
Philip Priestley was the head of the North America Department of the Foreign and Commonwealth Office from 1996-2000. He played a key role in advising FCO Ministers on relations with the U.S. and Canada during the last Clinton and the first Bush presidencies.
Philip Priestley secured major funding for projects and obtained debt relief for the country.
Point 6 to Confirm BLDV Legitimacy
In reference to the PR below, Robert Luiten was hired to create a Biofuels Trading Division for BLDV back on Aug 06:
http://ecostocks.wordpress.com/2006/08/03/former-ineos-executive-joins-blue-diamond-ventures-to-develop-biofuels-trading-division/
In reference to this PR below he completed this Biofuels Trading Division for BLDV shortly after in Oct 06:
http://findarticles.com/p/articles/mi_pwwi/is_200610/ai_n16778413
Now, there are three questions that I think we need to ask that will help us to understand the magnitude of this achievement…
1-Who is this Robert Luiten that BLDV had selected to create their Biofuels Trading Division?
2-Would such a very reputable man as Robert Luiten really do these things for BLDV and make such positive statements by putting his name to it?
3-What is a Biofuels Trading Division used for that would make BLDV have the need to have one?
Let me first answer… 1-Who is this Robert Luiten that BLDV had selected to create their Biofuels Trading Division?
http://ecostocks.wordpress.com/2006/08/03/former-ineos-executive-joins-blue-diamond-ventures-to-develop-biofuels-trading-division/
** Robert Luiten, a former chief operating officer and vice president of a division of one of the largest ethanol producing companies in Europe and the world’s third largest chemical company, with sales of about EUR 33 billion, has joined the company in a consulting capacity and will assist in developing the company’s biofuels trading division. (EUR 33,000,000,000 = $51,099,736,450 USD)
** Luiten, who was responsible for the daily operations of the $800 million division, recently led and concluded an acquisition of a $400 million materials plant for INEOS.
** Luiten was also credited with expanding the business by more than 30 percent, while reducing fixed cost (division wide) by 20 percent without downsizing.
** Luiten, who holds a bachelor’s degree in analytical chemistry and master’s degree in organic chemistry, also served as board member and president for the INEOS US Investment Holding Company.
Now let’s answer… 2-Would such a very reputable man as Robert Luiten really do these things for BLDV and make such positive statements by putting his name to it?
Yes, he did put his name to being affiliated with BLDV by the announcement that he was creating a Biofuels Division and by announcing that he had actually completed the creation of the Biofuels Division.
He also made very positive statements saying… ”I very much look forward to providing my expertise and serving as a biofuels trading partner with Blue Diamond Ventures, Inc., until the company begins its own production,” said Luiten, now CEO of Zenergy International, and formerly chief operating officer of INEOS Phenol, a division of INEOS Americas LLC.
Now let’s answer… 3-What is a Biofuels Trading Division used for that would make BLDV have the need to have one?
Since Robert Luiten was the guy who created the Biofuels Division for BLDV, it must be considered that he is somewhat experienced in this arena. From doing further research on Robert Luiten, he is very experienced. He is the CEO of Zynergy which utilizes his own Biofuels Trading Division.
http://www.zenergyintl.com/index.html
(From the Zenergy website)
...Zenergy has begun by connecting small bio-fuel producers to large ethanol and bio-diesel fuel distributors. Specifically, Zenergy plans to buy ethanol and bio-diesel from smaller producers who lack the volume, industry contacts and know-how to sell their fuel at competitive prices, and sell it to the world’s largest distributors, such as BP, Chevron, Citgo, Exxon, Shell and Sunoco.
I think now that the intentions is for BLDV to have a Biofuels Trading Division to mirror the operations of Zynergy since it must have been expected that BLDV was going to be dealing with the same customers that Zynergy has as mention in the paragraph above.
I really think that a man of Robert Luiten’s statue would not have ever had his name in any sentence with BLDV let alone any PR with BLDV unless BLDV had some things going on that were known and proven to be very legit. You don’t hire a guy who was… the vice president of a division of one of the largest ethanol producing companies in Europe… that was the world’s third largest chemical company… who was responsible for the daily operations of the $800 million… who concluded an acquisition of a $400 million, and who had sales of $51,099,736,450 USD unless you plan on using this guy for something important.
Any affiliation from a guy of this statue is very apparent that something of a huge magnitude just might be on the horizon. Again, a guy of this statue would not even look in the direction of BLDV unless BLDV was very legit in my opinion. I consider this as BLDV being in good company as the likes of being affiliated with Philip Priestley as I have explained above too.
Point 7 to Confirm BLDV Legitimacy
The number 1 reason why people buy a stock is because of potential. I think now one must compare the ”potential” of BLDV with some other well established companies as I had previously explained. With BLDV having a 40 million gallons per year US plant and a 100 million gallons per year plant in Belize, the combined total of 140 million gallons per year will make BLDV very attractive to many investors in my opinion once everything is said and done.
I think at this point, we just need a little more confirmation that either the biofuel plant in the US has actually been purchased or something to confirm that the construction of the biofuel plant in Belize is going to actually be a reality to support what some of us think. We have ”unofficial” confirmation of such, but ”official” confirmation is needed to get BLDV to the levels we think it deserves to trade. I think we are very close to getting that ”official” confirmation.
I say this because the stocks that trade within the same Sector and Industry in which BLDV would trade are trading at significantly higher prices than BLDV. Heck, some of those higher trading stocks don’t even have their plants constructed as they only have confirmation that their plants will be constructed at some time in the future.
Consider BLDV’s current Market Cap with considering a worse case scenario amount for the Outstanding Shares (OS) to be in the area indicated below…
205,000,000 OS x .01 per share = $2,050,000
Now let’s consider a quick & current compare & contrast rehash…
** VSE last closed at $4.21 per share with an annual biodiesel capacity that is much more less than what BLDV’s would be. The key with VSE is simply that they have at least started their construction of which is scheduled to be done by the end of 2008.
http://www.verasun.com/Fuel/biodiesel.cfm
VSE has a market cap of $664,480,000 (derived from the Yahoo link below) which is $664,480,000 ÷ $2,050,000 = 324.1 times greater than our current BLDV market cap. This means that BLDV is trading about 324 times lower than where it should trade in comparison to VSE. VSE trades on the NYSE while BLDV trades on the pink sheets… for now. This is one of the many reasons why I believe in the potential of BLDV and why I think BLDV is very much undervalued at these prices. If BLDV shows just a little more ”official” confirmation, it will prove that it has far more to offer than VSE especially since it is trading far less than VSE.
http://finance.yahoo.com/q/ks?s=VSE
According to this comparison, upon any official confirmation of their biofuel plants, BLDV would be worth or trade in the area of the price below…
.01 BLDV Current Price x 324.1 VSE Comparison Disparity = $3.24 per share
You can go pick a few more stocks that trade on the NYSE, NASDAQ, & AMEX within the same Industry to see how BLDV is hugely undervalued and mirror the comparison as I have done above with VSE with GU:NYSE at $11.35; BIOF:NASDAQ at $2.60; GPRE:NASDAQ a $5.94; PEIX:NASDAQ at $1.47; VRNM:NASDAQ at $1.59.
So those waiting on the sidelines, I understand. BLDV is a pink sheets stock in which the odds are not in the favor for many pink sheets stocks to actually do what they say they are going to do. This is the risk that we all decide to take. Because of the reasons above and further reasons below that you will read, I personally think that it is worth taking the risk that BLDV will do what they are telling us they will do. I think the key will be to look for any kind of announcement to first say that we have acquired the US plant and/or will begin construction on the Belize plant. If either or both of these things happen, look for BLDV to trade as the likes of those stocks I mentioned above.
Point 8 to Confirm BLDV Legitimacy
In reference to the posts below, I think BLDV is positioning itself to go to the NASDAQ in the very near future as I was told. It could happen in a variety of ways as I am hoping that it happens as like what happened with CKEC or SPEA as explained in the posts below. I think we will here something that is the final step or a major step in the process of BLDV in doing so. I recommend everyone to read the posts below to understand why this is confirmation from doing my DD:
http://investorshub.advfn.com/boards/read_msg.asp?message_id=28802367
http://investorshub.advfn.com/boards/read_msg.asp?message_id=29396121
http://investorshub.advfn.com/boards/read_msg.asp?message_id=28936220
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29980999
Point 9 to Confirm BLDV Legitimacy
In reference to the post below:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29566509
The existence of fossil fuels doesn’t and won’t bring the type of jobs and wealth to the people of Belize and the Belize government. This is why the operational affects from being a primary supplier of biofuel is what BLDV is all about these days. Below is an awesome report that was posted by Stocksgonewild to show how the US government is planning on utilizing the use of alternative fuels in a very large way:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29534825
Here’s what was so important about that report:
http://www.fapri.missouri.edu/outreach/publications/2008/FAPRI_MU_Report_01_08.pdf
The “Energy Independence and Security Act (EISA) of 2007” was approved by Congress and signed into law by the President in December 2007. The Act makes wide ranging changes in energy legislation, including the establishment of new mandates for the use of biofuels. Provisions of the Act will be incorporated in the next set of baseline projections prepared by the Food and Agricultural Policy Research Institute (FAPRI).
This report provides a snapshot of estimated impacts of selected provisions of EISA on biofuel and agricultural markets. The point of departure for the analysis is the set of baseline projections prepared in early 2007 that FAPRI has used to examine farm bill alternatives. The analysis focuses on just two provisions of the legislation:
1) changes in the renewable fuel standard that suggest 15 billion gallons of corn based ethanol should be utilized by 2015, and
2) a new mandate to use one billion gallons of biomass based diesel by 2012.
Now understand what’s located in the BLDR PRs and on their website:
http://biz.yahoo.com/iw/080326/0379670.html
Blue Diamond Ventures (PINKSHEETS: BLDV) is an agriculture and biofuels company with operations in Belize and the U.S. The company has selected BEI Engineering to design and construct a biodiesel facility in Belize with an eventual capacity of 100 million gallons per year (GPY), using non-food crops.
Also understand:
http://www.ethanolrfa.org/resource/standard/
On December 19, 2007, the Energy Independence and Security Act of 2007 (H.R. 6) was signed into law. This comprehensive energy legislation amends the Renewable Fuels Standard (RFS) signed into law in 2005, growing to 36 billion gallons in 2022.
According to a January 2008 study, the economic impact of a 36 billion gallon RFS is as follows:
• will add more than $1.7 trillion to the Gross Domestic Product between 2008 and 2022;
• generate an additional $436 billion of household income for all Americans during the same time period;
• support the creation of as many as 1.1 million new jobs in all sectors of the economy; and,
• generate $209 billion in new Federal tax receipts.
The above confirms for me that the government is getting involved more and more as much will be mandated for execution.
Point 10 to Confirm BLDV Legitimacy
In reference to the link below, I think all should listen to the BLDV interview from John Quincy Moaning and General Norman Schwarzkopf and others:
http://www.wbrtv1.com/media_stream/1912/blue-diamond-ventures.html
If BLDV did not have very real and legitimate intentions, General Schwarzkopf would not have ever had them on his show. From talking to the Media Section that’s responsible for scrutinizing the companies to be on his show, they assured me that BLDV was very real. With all due respect, please go to the info below and call Victoria who is with the company responsible for the media for General Norman Schwarzkopf's show:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=28945457
http://www.wbrtv1.com/
http://investorshub.advfn.com/boards/read_msg.asp?message_id=28842130
Multi Media Productions "USA" Inc.
999 Yamato Road Suite 210 l Boca Raton, Florida 33431
Phone: (561) 988-9449 l Fax: (561) 988-9304
Victoria will confirm for you that they go through certain due diligence processes to thoroughly scrutinize the legitimacy of any company being interviewed to include all of the people involved.
There were very prominent people in power and position with BLDV where I don't think they would have allowed their presence to have been there on the show unless everything was real and very legit. Having any Prime Minister and Department head of Texas A&M on your show providing support is huge for the legitimacy of any stock.
All of this while being interviewed on the show of a 4 Star General. This is huge as General Norman Schwarzkopf is a man of positive statue that should be a plus in the eyes for BLDV. With understanding a few principles of the military, I am willing to risk that General Norman Schwarzkopf would not have allowed BLDV to air their interview with him if BLDV was not for real.
The above are 10 important points to confirm the legitimacy of BLDV in my eyes from doing my due diligence (DD). I recommend all consider them, but please make your own decision to take the risk in BLDV from doing your own DD. In my heart I think BLDV will be life changing for many from these levels as it already has been for some people who bought from its original low levels of origin. I am staying tuned for more.
v/r
Sterling
Sterling's Trading & Investing Strategies:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29867262
Sterling's Trading & Investing Strategies:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29867262
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