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BeardOfWallSt

08/05/12 12:04 AM

#36 RE: sddmkerr #35

Yes sir I am ready!

From the latest PR
"MacKay said that GESI should be able to announce within the next 2 to 3 weeks the complete names of the funding source, exact percentages and final details of the first draws."

This week could be the week these are announced.

With an OS of 173M and a 50M asset being given to the company along with an equity deal off of what could possibly be a 125M project, lets play some numbers to see what things would look like for shareholders.

So, 125M minus 50M = 75M

$75M into the OS of 173M is $0.433 per share

Now lets throw in some revenue/profit speculation.

Say they're selling it at $0.11 per kWh and at 20 tons per day of railroad ties would put it around $12M per year, as per the math on one of TaylerK's old posts.

Say worst case scenario of the equity deal is 50/50 profit sharing, thus giving GESI $6M in profit each year from one small facility.

$75M + $6M = $81M

$81M into the OS of 173 = $0.468

This is without factoring in price to earnings ratio, and again, this is just off of a base model facility without expansion processing 20 tons per day of railroad ties.

Conservative figures look good. If GESI got better terms than 50/50 on the equity deals, that number goes up.

Again, this is also without price to earnings (PE) ratios factored in, which would make that figure even higher, and this is also off of just 1 year of business.

BTW, it should about $0.433 PPS without any revenue based on assets alone.

These are conservative figures based off the OS. You could do the same math based off the float and get an even higher conservative figure upwards of $0.70+ PPS.



Thoughts? Opinions?