Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : Plastics to Oil - Pyrolysis and Secret Catalysts and Alterna -- Ignore unavailable to you. Want to Upgrade?

To: SteveF who wrote (3234)	11/21/2010 3:57:36 PM
From: SteveF	Read Replies (1) \| Respond to of 53574

This one's important. It summarizes the lies being told one year ago to entice as many investors as possible to buy JBII stock. You can't convince me that the people behind this call didn't know their claims were totally unrealistic: siliconinvestor.com rce9rys Member Profile rce9rys Member Level Share Monday, November 23, 2009 4:23:02 PM Re: None Post # of 77948 The post presentation q&a is great! This is some of it. has your company shown your facility to stock brokerage firms? What have been the reactions? John has been contacted and met with several different funds, however we can not legally discuss the results of these meetings until filed with the SEC. Im sorry if this was discussed during the presentation but is there a rough timeframe estimate when the P2O will be assembled and tested? Thanks P2O is being assembled and tested now. An independent state certified lab is doing all the third party validation to expedite the roll out. Has the P2O process been validated in the field? Yes it has been tested by a national lab used by refineries to test crude prior to acceptance. When do you expect the third party validation to occur? It is already before the scientists eyes. Is there also a mobile processor in process? If so, when wil it be available to begin traveling? Yes there is. There are two mobile options at this time. Does the company have an estimate for how long it will take to order, recieve, install a P2O site and get operational once the franchise application has been approved and completed? It is estimated at 60 to 90 days. Can you discuss the progress of the 25 P2O JVs being established? We can not discuss the PIPE in a public forum. Can you share your short/mid/long-term revenue goals for the tape-reading business and for Javaco? Breakdown of Revenue: We did not break the statements out for a number of reasons. It is very difficult to acquire 3 entities in one quarter much less consolidate all of the information into a Q. In addition, a MD&A has to be prepared based on the informat what is the single major growth strategy for Pak-it to grow to $50M? We plan to focus on national retailers and BSCs with our two-prong strategy: the Pakit dilution system coupled with a logistics delivery system. We're the only company that offers this solution, and major retailers like Home Depot are seeing the value. can you shed more light on the first big production P2O machine being assembled.. any test results, yet? Also, how are the 25 JVs coming along? P2O process is currently undergoing third party validation. We can not discuss the PIPE in an open forum. How fast do you expect to find buyers for the fuel? Or do you already have potential buyers lined up? Refineries will take as much as we can produce. This is not a barrier or challenge in any way. Our fuel is better than what they receive from the wells as it is "prerefined". Does the catalyst in P2O act to assist in the faster breakdown of the plastic into gasses or in the recombination of the gas products into oil? How do you account for the difference in recovery? i.e. why do we recover 99% and others 40%? Yes, the cataylist greatly expedites the cracking of the plastic. As well, it allows us to select on a tight curve what hydrocarbon we wish to produce. This is accomplished by changing the ratio of the chemicals in the catalyst. Most other methods much heat the plastic much higer and poor conversion takes place. The gases are condensed to fuel when passed through the condenser. can you comment on the authorised shares increase? The comon shares were increased on the advice of our securities lawyers. Theer was (and is) a concern that when P2O is running shortly that we would need to access capital quickly to launch a major rollout. The PIPE would use most of the remaining common shares at the time. As well, the preferred was not available and an increase would take almost a month. In any event, a portion of my shares are being returned to the treasury when preferred is issued. The shareholders WILL NOT see any dillution as a result of the 3 acquisitions and the financing from when I purchased the company with 63.7M shares outstanding. What determines the price you will get for the oil you produce? WTI (West Texas Intermediate) price less $3. The refinery picks up the fuel. John, How do you intend to maintain control of the company given the very large potential dilution of shares from 70M authorized to 150M? 150M are authorized, not issued. When the dust settles, the common share outstanding will be lower than now, I will have control through preferred stocmk (with piggy back rights for commn shareholders). There is no dillution of shares. Can the same Processor be used for both plastic and rubber tires? Is the catalyst the same? Can plastic and rubber tires be put in the processor in the same batch? I would not mix the two. Tires have cord, wire and carbon black powder. Our processor deals with this. We could mix the two but I don't see the value. Did you really say 100,000,000 barrels of oil by 2020? wink Yes. Consider that a P2O site will be producing a minimum of 20,000 liters per day (per two processors). Our continuous feedstock rate is dependent on not saturating the condensers. How long does a "batch" of plastic take to convert? How much plastic can be converted in a 24 day? Can the P2O be run 24/7? We plan to do a minimum of 20 tons per day per site. We are also developing a continous feed function that could enable 24/7 production. Yes it can. We have released very conservative numbers until we can prove it with third party validation. We can breakdown large volumes of plastic with our catalyst in less than an hour. In a contuinuous process, our feedrate is governed by the rate at which a condenser can handle. any idea of the timeframe to move to NASDAQ? Can this happen in 2010? We have to meet the NASDAQ requirements for number of shareholders, revenues, and share price. We are just waiting to satisfy the minimum share price. Are ther plans for smaller P2O for smaller communities? Small communities comsume a lot of plastic. We need several P2O sites in Niagara alone. There are some studies on the net relating to plastic consumption in a small community in the UK. I'll forward a link later. "What is the estimated cost to produce 1 barrel of fuel in terms of just the operational costs?" This is difficult to answer as we are being paid to accept the feedstock, generate axcess energy and sell the output. The cost is less than $10/barrel if we load up our business plan with costs. question ? Samples of fuels were created from various plastic feedstocks and were tested (ASTM D 5453) and confirmed a sulphur concentration less than 8.4 ppm (parts per million). Additionally the water and sediment tests (ASTM D 1796) confirm that its fuel contained less than 0.005% water and sediment. Density tests also placed the fuel in the gasoline range. Are you planning to do a reverse split in order to meet the minimum shareprice to apply for NASDAQ? No way. We'll get there on revenue and earnings. It's the only way to do it right. Can't the oil be sold directly to large users? Yes it can but we have a customer willing to pick it up all day long at aprox $74/barrel at todays price. What share price does Nasdaq require? How many OS will there be after the preffered issue? $5/share. The OS will be below 50M. Based on a P2O machine producing in excess of $2M/profit/year it is not difficult to achieve even if we trade at a conservative multiple. How is the feedstock put into the hopper? Conveyor system? A conveyor. It's a trade secret how the plastic enters the reactor. can he feedstock hopper be loading whiile the processor is converting? The. The processor is continuous or batch. We can load plastic into the system as long as the condensers are not overloaded. The system will feed plastic into the reactor. The feedstock enters in an oxygen free environment. Do you care to make any forward-looking statements regarding revenue projections for all combined entities for 1H2010? That will depend totally on P2O. It is our home run and the numbers are attractive. Negative cost in, 15% of weight converted to gas to run the system, paid for the oil output. It's a great growth model. You'll get numbers when P2O is validated. Much has been written about the large plastic patch and environmental hazard in the ocean! Do you envision JBI eventuallyattacking this problem which would result in positive global press? Well, we don't hire stock promoters so we have to look to work on projects that will bring attention to the company. In the end, the volume of our stock will depend on the number of people that know about it. Is it one hopper full per batch? No, the hopper will be topped up as the processor operates. to produce 100 million barrels/year would require JBI to only 591 processors running 365 days a year. This would translate into only 4 million tons of plastic. Isn't this a very conservative number? Waste plastic in the US is estimated to be 15 m tons/year In our estimates we assume that 20 tons of plastic will produce 110 barrels of oil. do you have to pre-shred the feestock? How big/small is the mouth of the processor? The mouth of the processor is 16 inches. What operating permits are necessary for the P2O i.e. air quality, combustibles, etc That depends on country, state and even down to the city level. We are focused on collecting and documenting as much data as possible for use in other areas. from John Bordynuik to All Participants: Thanks again all for conencting today and for your questions. We are obviously very excited about P2O and the large processor is our highest priority. We will inform everyone about its status when validation is complete. would love to "hear" from the team in the next conf call (i.e voice/video). Good luck with the next few weeks!!!! We will all be on the line next time. We just completed 3 acquisitons, a Q, large P2O, and manging the growth of the tape business and making PakIt in Canada. Everyone is working very hard. We will have a conference call with all when big P2O is done.