Navygulf, from what I can recall of reading about the Risjadson...

Navygulf, from what I can recall of reading about the Risjadson Group (owner of Power Knight) is that they have smallish jatropha plantations at present which they had used to test the viability of making biodiesel from jatropha oil. They were happy with their tests so are planning to expand their acreage and also to vertically integrate by producing biodiesel using NFL's plants.

If they take all the shares they can via this proposal then they will have 49.9% if no other shares are issued. At present Michael Coote's controlled interests will have the option of taking up shares at 13 cents as will the company that facilitated the arrangement between Power Knight & NFL, there's also the convertible bonds. On a fully diluted basis Power Knight would have a 36% interest.

In terms of profitability, remember that the original prospectus was based on a feedstock price of US$495/t, using the GEM BioFuels feedstock arrangement as a basis jatropha oil will cost the company at least US$690+inflation/t.