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Gold/Mining/Energy : Arcon Energy (MIDL Presently) The Ultimate Sleeper

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To: MKTBUZZ who wrote (2333)6/2/1998 7:01:00 PM
From: Dave Bissett  Read Replies (1) of 4142
 
Still catching up with today's posts, but this statement...<<He said the first plant was going to be a 100,000 gpd facility but is now being made into a 350,000 gpd facility>> is a mind blower if true and changes the financial picture considerably. Arcon's previous info. projected $20mil pretax profit on a plant producing approx. 125,000gpd. They also projected gross revenue for the 125,000gpd plant to be $150mil, suggesting a pretax profit margin of approx. 13%. I don't know the cost of a plant but it seems to me producing 350,000gpd from one plant would up the profit margin significantly, AND they ain't upping production for nothing....I'd say they're expecting to sell more from that plant, wouldn't you? Still reading and reworking figures.

DB
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