Exciting times ahead for NFL!!!!!!!!!!!!I work in the Oil and...

Exciting times ahead for NFL!!!!!!!!!!!!

I work in the Oil and Gas Industry. We secure a customer with a contract for a number of years at a particular profit margin per tonne.

As you know NFL have secured an Asian Customer, I dare say an Indonesian or Malaysian customer, and it will be locked in with a contract at a certain profit margin per tonne.

From what I have read this margin can be anything from $50 to $150 per tonne. Say for example this contract has been secured at an average profit margin of $100 per tonne and the customers volume is 20,000 tonne per month. This will mean $2 Million dollars per month profit margin.

You may not know the Indonesian and Malaysian Govt have Mandated a certain Percentage of Biodiesel(3 to 5%) to be used in all fuel supplies.

Here is a quote from Palm Oil HQ dated 3/12/08

“....From the aspect of use by government agencies, we hope to be using Biofuel by January. If we are able to finalise all matters, maybe even earlier but this depends on the preparation, especially on the logistics aspect to ensure adequate supply,” he said.

Initially, government vehicles are to start using biodiesel in February next year.

Chin said commercial vehicles would start using biodiesel in the second half of next year."

and this Quote on the 5/12/08-

"The more important factor is biodiesel output using palm oil as a feedstock, Fry said.

“If we see more palm methyl ester (biofuel), palm oil would go back above Brent crude, the discount will narrow. That is my positive assumption.”

Fry earlier said that global biodiesel output is likely to climb 27 per cent to 14 million tonnes in the 2008/09 oil year as producers capitalise on weak raw material prices and absorb excess inventories.

Alternative energy fuels would be the only source of additional demand growth for vegetable oils as demand from the food sector is expected to be flat, thanks to the credit crisis, he said." - Reuters


Also this from Saturdays Telegraph dated 6/12/08

"The NSW Govt last tuesday announced they will mandate 2 percent Bio-diesel for all diesel sold."

As you can see exciting times ahead for NFL, it should be a very profitable year for them.From this latest information IMHO I think NFL will need to be up and running with Bio-fuel production by January 2009.