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Gold/Mining/Energy : Arconenergy, Inc. (Long Term Investors and Fundamentals)
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To: Frank Fontaine who wrote (273)2/23/1998 9:04:00 PM
From: Ga Bard  Read Replies (2) of 1757
 
OK I just got more DD on the DF-144. I need to apologize to Gary Lutz for doubting his DD which I have confirmed..

One DF-144 machine should be on line 1 April and then another one every quarter or sooner. Also they will be selling the DF-144 for $1.05 a gallon with a conservative net of .28 per gallon for net of 26%.

350,000 gallons per day times $1.05 for gross revenue of $367,500.00 out of that they should net 25% $91,875.00.

Now lets say we get conservative on conservative so we cut the 26% down to say 10% net trying to be extremely pessimistic that would be approximately $35,500.00 per day time 365 equals $12,775,000 a year net profit IF only one machine is in operation. SO basically Gary if they do 20% then $24,000,000.00 net profit is within reason by all means. Now that means being extremely conservative that equates to $1M per month per machine in Net Profit at 10% net.

Now based on 10% and they have #1 machine on line April that would be $8M for 1998 the #2 machine for 5 months would be another $5M and the #3 machine on line for 2 months would be an additional $2M for a total net of $15M for 1998 or $30M by their conservative figure and time schedule .

Again I apologize because I was never told they would be selling the DF-144 for $1.05 per gallon mainly because I did not ask. Sorry for not knowing that but all I wanted to know is the profit. Error on my part.

Happy Trading

GaBard
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