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Re: Skribe post# 17684

Wednesday, 07/27/2011 1:06:53 AM

Wednesday, July 27, 2011 1:06:53 AM

Post# of 52852
Crude Corn Oil 7.7 lbs. Per Gallon
Tuesday market price 61.5 cents per lb.
$4.74 per gallon for licensee
.95 cents per gallon < 20% royalty for GreenShift.
1.9 billion gallons ethanol licensed, coming online within the year.
1 billion gallons licensed operational.
At 4.4% method 1 fully optimized extraction and at full production output 1 billion gallons can yield 44 million gallons Corn Oil.
GreenShifts 20% royalty is based on the amount the licensees generate from the sales of the oil.
44 million gallons C Oil is 100% max production.
If all 44 million gallons are sold, thats 100 % sales.
That's 100% max production and sales.
The market price for Crude Corn Oil fluctuates as does the sales price for the licensees.
Using today's Crude Corn Oil market price of 61.5 cents per lb.
7.7 lbs. per gallon, that's $4.74 per gallon for the licensee.
20% of $4.74 for GreenShifts royalty is .95 cents.
.95 cents per gallon for GreenShift!
At 100% production and sales 44 million gallons is $4.74 x 44 mill = $208,560,000 for licensees.
11 million gallons per quarter is $52,140,000 per quarter for licensees.
Now 20% goes to GreenShift, that's $41,713,000 per year and $10,428,000 per quarter!
That's formulated at 100% maximum production and sales using today's crude corn oil market price of 61.5 cents per lb. The amount the licensees of 1 billion gallons ethanol produce and sell fluctuates and so does the price they receive for the corn oil sales.
The formula is 100% production and sales from 1 billion gallons licensed and online.
Now 100% is max, my 1st qtr estimate is the achieved 25% of the max.
Qtr 2 should be stronger than qtr 1 with the full 1 billion ramping up with optimized systems and pushing for higher production and sales levels. This info will be shown in the qtr 2 report.
If we see output and sales at 75% of the max, the 20% could be around $7.5 million.