I do not understand what the 24 million is representing so I am going to be conservative and I mean really conservative just on this division alone. I believe the following is pretty accurate but I will make some variables to hopefully make it extremely conservative.
350,000 GPD x 1 plant x $.28 price = $98,000.00 Per Day Per Plant
Allow for 70% for expenses = $68,600.00 for a Net of $29,400 PDPP
$29,4000 x 365 = $10,731,000.00 Annual Net Per Year Per Plant
Now if product starts in April as projected then allow for a 75% (8 months) = $8,048,250.00 Per Plant for 1997
$8,048,250.00 x 4 = $32,193,000.00 Net for 1997
Note: This is if Arcon does nothing else to make money, revenues or profits. No Bob West production, No Dundee Oil Production, No New Plants, No Nothing.
I could be wrong with the math but I have tried to make this conservative as possible with only a 30% profit margin. Also I am told by the company they will be building the more plants and they do not intend to sell one plant only the Octane Enhancer from the plants.
See what I mean about the DF-144 which is why I am excited about this stock. Not trying to hype but do your own math based on your own business knowledge. If you want to take even half of that for cost then it would be $16M profit for a 15% net or $4M net per year per plant just on the DF-144.
Happy Trading
GaBard |
