From Ron:
Green Oasis just announced that they meet the requirements for Section
29 Energy Tax Credits. This will require a HUGE revaluation of the
company potential. Basically it makes each US run processor a TAX FREE
operation. This will increase company profits considerably, as well
created further demand from interested parties. I don't know if there are
similiar Energy Tax Credits in other countries, but if there are, I'm sure
they will consider this in any valuation. Personally, I think Bill should
charge more for each one, but I will not get into the business of second
guessing him as he knows what the market will bear..... :0)
I advise everyone to reconsider their strategy on this stock. The
only major hurdle we have to jump is getting the processor back on line and
demonstrable. I'm hoping that the company will be providing a status
report soon in an upcoming release.
BTW, all valuations of pretax profitability are approximations based on
current rack price of diesel. They DON'T include sales of #3 fuel oil
which the last time I checked was around .65/gal on the futures market and
likely to rise higher this winter..
GO GRNO!!!!!
Regards,
Ron
CHARLESTON, S.C. Sept. 23 /PRNewswire/ -- Green Oasis Environmental, Inc.
(Nasdaq: GRNO) today announced that its patent pending process for
converting waste oil into marketable fuels meet the qualifications for
producing a liquid synthetic fuel pursuant to Section 29(c)(1)(c) of the
Internal Revenue Code and is entitled to the credits available under Section
29(a). These tax credits, which amount to approximately 13.7 cents per
gallon or $5.76 per Barrel of Oil Equivalent, based on 1994 inflation
adjusted prices, were enacted to encourage energy conservation and aid
development of domestic energy production and can be transferable through
the sale of ownership interest. With the assistance of counsel, the company
has already begun to implement the process of gaining a Private Letter
Ruling from the IRS.
William D. Carraway, president, stated, "We consider the acceptance of our
EnviroEconomics(TM) process under the Section 29 Tax Credit qualifications
to be a watershed event in the history of our company. In addressing the
impact, our Model 400 system, which generates $857,700 in pretax profits
with $.60/gallon diesel prices, would qualify for in excess of $565,000 of
tax credits as well. These marketable credits will not only affect our
strategic focus while accelerating our growth rate, but will also impact the
company's corporate finance strategy."
Green Oasis Environmental, Inc.'s patent pending process produces synthetic
fuel oils from waste motor oil in a closed cycle, one-step process. The
company manufactures its own equipment for its own processing facility as
well as markets it to others.
Bid/ask is now 2 3/8 X 2 3/4. I like it!!!
Charles |
