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Microcap & Penny Stocks : Rentech(RTK) - gas-to-liquids and cleaner fuel -- Ignore unavailable to you. Want to Upgrade?

To: TokyoMex who wrote (6086)	7/12/1998 9:11:00 AM
From: Howard Williams	Read Replies (2) \| Respond to of 14347

RNTK in today's Denver Post.... In a Bloomberg/Denver Post section on Colorado's top 100 companies, an Eric Reiner article about boost in share price being key to total returns includes a photo of Dennis Yakobson and the following text regarding Denver's #1 total return company in 1997: >>>...none of the companies that were among the top 10 total return leaders paid a dividend. Investors in those stocks profited only from increased share price. That's not necessarily a bad thing. For example, if you'd bought shares of Denver's Rentech Inc. at the beginning of 1997, you would have paid pennies for a stock that at year-end traded for well over a buck, yielding a total return (capital appreciation only) of 950 percent. According to Rentech officials, the company is one of only two U.S. firms that give investors a direct investment opportunity in the gas-to-liquids industry. "We have a process that converts carbon-bearing materials into liquid hydrocarbons," said Rentech Chairman and CEO Dennis Yakobson. "The technology was developed by the Germans in the 1920s, and during World War II, the Germans were using a cobalt catalyst and taking coal, gasifying it, and then converting it into liquid hydrocarbons." Today, liquid hydrocarbons are used to make a clean-burning diesel fuel which some are hailing as the fuel of the future. "All of a sudden, there's a tremendous amount of renewed interest in this technology," Yaskobson said. "Shell, Exxon, Texaco and others are starting to pursue this technology." In fact, Rentech is in negotiations with Texaco "to set up a business relationship which would exploit Rentech technology on a worldwide basis," according to Yakobson. Rentech stock began moving higher when the negotiations were publicly announced in April of last year. Rentech reported a loss for 1997, and isn't expected to be profitable this fiscal year. However, the company has begun to realize gross profits from operations, officials say, and gross revenues of approximately $2 million are expected for the fiscal year. (If realized, that would represent a 25 percent improvement over last year.)<<< My interpretation is that Yakobson wouldn't have said these things again, at this time, if he wasn't pretty darn sure of the outcome.... H.W.