Hi Matty,
I think your observation is quite right there, however, there are more, because I am not able to obtain more news.
This is consistent with what the current management has set out.
1. Sale of MABR and Nirobox to China, South East Asia;
2. Sale of Nirobox to the Middle East;
3. Development of WaaS, BOOT in USA and Caribbean using our smart product solutions and
4. Complete Ivory Coast project on time, on schedule.
I try to dig into news outside what the company tell us, as a form to corroborate the information. I got burnt from too many start ups with management promising a lot and are able to explain themselves away when they failed to deliver. For the moment, I am comfortable with FLC as there are external news to verify the businesses and the company's existence.
Richard and his team are highly focused on the higher margin business, this is where MABR with its 30-40% margin; Nirobox and Niroflex at about 25% margin. In addition, the BOOT (WaaS) yield a good 40% margin. That way, we will be profitable with operating expenses staying at the 20% target. The Custom Engineering with 15% margin will just not make the cut.
While Oxymem is trying to make some waves in Europe with their hollow straw MABR, it can be seen that we have not been active in Europe at all, all for a simple reason, China is willing to adopt newer technology to solve its environment issues in double quick time. In the early 2000s, there were reports that the desertification is about 6 km west of Beijing; also, air quality in Beijing and Shanghai was "days without seeing the sun"; when I was traveling in the rural areas in China in the mid 2000s, toilets were a ditch with 2 planks, we were reminded to bring an umbrella for privacy, and smoking while doing our number 2 would help to cover the smell. Within 10 to 15 years, it is now clear sky in Shanghai and Beijing, not heard much about desertification near Beijing, and the toilet revolution results as seen in the news I posted.
So it is through China that we are able to install more than 300 units where Oxymem and Zeelung had less than 10% of our units installed. This is where I hope the biggest swing in our valuation can come about is when we are able to install more than 500 units worldwide, and achieve a mass acceptance and adoption of MABR.
There are news from Egypt recently on our desalination projects there; South America is currently getting nominated for a desalination award for the 12,000m3/d project at the Arcelor Mittal Brazil plant; and also we will be in Taiwan for a water expo in October 12-14, Shanghai expo in December...
What I am eagerly waiting is the WaaS, BOOT from USA and Caribbean that Richards had been mentioning "weeks and months away" and Tom's very soon.
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