However, LWP have communicated to the market that they are happy to go ahead with Pune tomorrow assuming 12 months product was per-purchased. As the price of oil stabilises this becomes more of a reality, but we're talking about the HSP which in my book, is still a way off.
From the conversations I've had with certian interested parties, this is how I see the LWP story playing out over the next few months:
1. Hallmark, who's government (India) has decreed that fly-ash must be recycled, decides to re-tool Pune for the LSP, and in addition to this automate for 24/7 production. Either Hallmark or other Indian companies will bring on additional plants over the next 12 months for conversion to manufacturing the LSP, and LWP will be pre-paid (revenue) 12 months in advance for all of this.
2. A large Australian company that is the leader in the LNG field announces that they will re-tool some existing plants to be used for the manfacturing of LWP's LSP, and like India they will pre-pay LWP for this, but it will be an ongoing agreement for the next 5 years as the Australian gas exports increase.
3. A particular American company acquires the blanket rights to produce LWP's LSP in the US, to supplement their falling revenues and bring value to their company again. LWP will of course receive royalties for this and be a revenue stream to years to come.
4. The SA government through their government owned oil company will also acquire the rights to manufacture LWPs LSP. Same deal as America.
So in short: JVs in India and Australia, and licensing deals in US and SA.
LWP Price at posting:
0.5¢ Sentiment: Buy Disclosure: Held
