"Rising energy costs and concerns about energy security and climate change were driving interest in brown coal beyond power generation"
For the Govt's to create a "Pilbara" they MUST have an economic drying solution - they have stated there are "new" techs that have motivated the "Pilbara".
Logic says they would trial/fund at least 2 different drying techs. For a start - Exergen are only after 1B tonnes of a possible 13B. Obviously there IS another significant DRYING player(s) besides Exergen motivating the Govt's Pilbara.
ECT Mike:
"Assembling a consortium of companies, each with a lignite value-adding technology, to successfully tender for large coal allocations within the Latrobe Valley."
Sounds like exactly what the Govts want to see - value adding across the board with minimal Govt burden. What does "large coal allocations" mean? Why has Mike been meeting with POSCO? Maybe the Govts wont have to pay for any infrastructure either?
Maybe Coldry will provide a "one stop shop" for the Pilbara?
"The government has stated that it wants the economic potential of the Victorian brown coal resource to be liberated in a sustainable manner and it will support companies which bring technologies that add value to this otherwise low value resource. Technologies such as coal gasification and the production of synthetic diesel, chars, tar and chemicals from brown coal will be encouraged as they add the greatest value to the resource. Generally, these secondary or tertiary process technologies cannot efficiently or economically process high-moisture raw brown coal directly and ECT sees enormous potential in providing Coldry as a feedstock to these industries."
Interestingly - no mension of BCE export. Sure that will be a focus...but in recent ann's its clear ECT are honing in on what I reckon is the clear Coldry value adding advantage - volatiles retainment.
Ignite Energy
"Victoria alone has 25% of the world’s brown coal. These reserves have a greater oil potential than all of the Middle East put together, Dr Humphreys said".
Imagine if Coldry is the key ingredient to unlocking a Victorian "Middle East"...and the ESI m/cap is...?
Research brown coal "volatiles" (I've posted some info recently) that make the above possible...seems Coldry stands alone - distilled water bi-product means ALL the valuable volatiles remain in the pellet....beat that!
In my research - Exergen make a couple of obscure comments about their ability for coal to oil, etc. Sure they can "do it" - just like Coldry could DICE "do it" - but the competitive advantage is obviously WHAT coys advertise/focus on.
IMO - ECT are advertising their "volatile" competitive advantage "Gateway technology" that enables Mr Fergusons "beyond power generation" comments that imo are the lynchpin for the Pilbara.
As we see - alot is riding on the initial Monash $6m trigger to potentially unleash the above...
tick tock...
ESI Price at posting:
1.4¢ Sentiment: Buy Disclosure: Held
