GRNO ALERT!! and SUMMARY
Howdy Gang!!
This will be the fist of a two part summary of how I became involved in GRNO and why I believe that it will return significant gains to those who invest in the company during the oncoming weeks. I would like to reiterate that I am not reimbursed by the company in any way, and am merely a dedicated shareholder who shares their vision and hopes.
Green Oasis Environmental (GRNO:BB), headed and nurtured by Bill Carraway, CEO during the past 5 years, has developed a one step process for refining waste oil into #2 Diesel and #3 Fuel Oil, at a ratio of 70% and 20% respectively. It uses a process of Thermal Cracking (heating), operating within closely monitored operational parameters to achieve this. It operation is 100% free of harmful emissions. The process currently meet "ALL" EPA and OSHA standards and has been proven through previous pre-commercial testing and verification. I would suggest that all interested parties take the opportunity to peruse the Green Oasis website at greenoasis.com and closely study the technical data and supporting information. I also HIGHLY recommend that you don't delay in contacting GRNO's Investor Relations representative, Spencer Maus at MicroCap Consulting and Communications, 847-266-2055 (E-mail: BFiore4054@aol.com) and obtain investor information and official perspectives. Of course, I will be happy to answer as many questions as I can that I don't cover in this summary. E-mail me at reecerd@erols.com.
The heart of the GRNO process is in its EnviroEconimics processor. (See website for pictures) Each unit has a capacity of between 200-600 gal/hr depending on requirements. Projected incomes from operation of these units can be found at greenoasis.com ) Remember that these figures do not include income generated from sales of #3 fuel oil and are based on obsolete rack prices for both Diesel and Fuel oil. Profits will vary dependent on the market value of end products. The quoted prices on the site are SUBSTANTIALLY LESS than current market prices for product.
GRNO current business strategy is centered on initally manufacturing processors for both foreign and domestic markets. Each processor retails for between $1.1 to 1.8 million netting GRNO an estimated 55% profit margin on manufacturing costs. Preliminary marketing surveys provided to me by Bill Carraway, reveal the GRNO has a minimum backlog of $25 million. From what I have seen the market will be considerably more extensive.
Additionally, GRNO will seek to acquire established regional waste oil collection companies and installing its processors at these locations. Turning these currently low profit businesses into high profit fuel producers will provide GRNO with extensive reoccuring income of approx $800,000-1million a year for each operational processor.
The most amazing aspect of this part of GRNO strategy is that through these processing operations, it will likely qualify for approx $500,000 a year in Section 29 Energy Tax Credits for EACH operational processor. This basically turns its operations into TAX FREE money machines. The company will have the ability of selling its tax credits or applying them against profits earned from its manufacturing operations. Each operational unit should add $.20/sh in annual pretax earnings based on 5,193,000 shares outstanding. If this isn't enough to catch your attention, then I don't know what is.... :0)
Green Oasis is about 6-8 weeks from reassembling its demonstration processor in Charleston, SC. This will be the major turning point for the company. The current est. $25 million backlog in orders is dependent on the demonstration of a operational unit. Once it is operational, contracts should begin being finalized. Again, the company's stated initial strategy will be to manufacture units for sales. They expect that they will be able to manufacture 9-12 units a year based on a 5 day 40 hr shift. Bill has told me that there is nothing to preclude the company running additional shifts in order to meet demand. Manufacture is fairly straight-forward, and GRNO has chosen parts suppliers with an international precence. They are also discussions under way for possible liscensing the manufacture of additional units in various overseas markets.
So where will the immediate earnings come from?? The company has admittedly suffered a cash crunch during the past several years. It has invested over $5 million in developing its process. Bill Carraway has apparently supported the company through personal assets to maintain corporate operations over the summer. However, the company possesses the one complete unit that is currently being reassembled, as well as two additional units that are approx 40% complete. The plan originally was to sell the complete unit in a limited partnership offering of 30 partnership "units" of $50,000 each ($1.5 million) that would provide additional income for completing the remaining two units. (BTW, all of these units have already been amortized through R&D charges, they are 100% paid for) It would operate as a demonstrator and provide additional income from company owned units of the partnership. I don't actually know what percentage of the demonstrator will be sold. Actually, I hope that the majority will be left unsold and other means of obtaining financing will occur. Selling this unit would deprive GRNO of the annual income it would generate over its lifetime, approx $20 million.
However, I suspect that many things are beginning to happen that are very positive in nature. The normal openess of Spencer and Bill has begun to be replaced with evasive statements regarding business strategy and potential investors with deep pockets. They are particulary evasive regarding references to NYSE firms. Being as familiar with Spencer, Bill, and Bo O'Brien as I am, I can only take this to mean that SOMETHING IS UP!!! I don't know quite what it is, but acting ALOT like the "cat who ate the canary". And they always seem to be quite positive and encouraging without being very specific. This is why I am issuing an ALERT!! on GRNO. I think that we have some interesting things in the wings.
With the article last week in Wall St. Corporate Reporter, and an article coming out this week in a respected waste industry magazine that reportedly is quite positive, I believe we will begin to see renewed interest in this company. Those who are currently positioned in this stock, KEEP THE FAITH. For those who have just discovered the company, DO YOUR RESEARCH QUICKLY and follow your instincts.
$2/share is a STEAL for this company. Bo O'Brien steered many of us toward some nice profits with MSU Corp (MUCP). I believe that he is positioning us for a reoccurence of what happened to MSU last spring when it jumped from $2 to $11.75 within the course of five months. (MSU, in fact, is ONLY NOW revealing its final product design for their Netbox) GRNO is only 6-8 weeks to having its already TESTED and PROVEN unit reassembled. You tell me if you think it is a buy at these levels. Position and have patience..... :0)
I look forward to your questions and comments. Remember to contact Spencer at 847-266-2055 or BFiore4054@aol.com
Regards,
Ron
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