Dynamotive Completes August BioOil Deliveries to US Client. Files 2nd Quarter 2009 Results
Dynamotive Energy Systems Corporation (OTCBB: DYMTF), a leader in biomass-to-biofuel technology, announced that it has completed BioOil® deliveries planned for the month of August to a US based client.
The deliveries were part of an order for a minimum of 18 shipments of BioOil® to be delivered over a period of six months. The value of the contract over the six month period is estimated at $260,000.
The plant operated dry biomass input capacities of 100 metric tons per day (> 75% of nominal capacity) and peak feed rates of 116.8 metric tons per day (90 % of nominal capacity) for a number of days.
Dynamotive’s West Lorne plant is capable of processing up to 130 tonnes per day of biomass and is located within a wood flooring manufacturing facility in Ontario, Canada.
Other News:
Dynamotive further announced that it had filed its 2nd Quarter financials with the British Columbia Securities Commission and US SEC on August 20, 2009. The financial statements can be accessed through SEDAR and are also available on this website.
During the 2nd Quarter the Company in pursuit of the development of a sustainable and commercially viable business model continued to implement its strategy to reduce costs, promote sales of product and licensing of its technology, product R&D, asset utilization and development of strategic alliances to service market opportunities. Further details can be found in the Management Discussion and Analysis section of the financial statements.
1. Cost Reduction: The rationalization of our operations resulted in overhead reduction of close to 50 % on a year to year basis. Q2 2009 Loss $1,536,811 vs. Q2 2008 $2,908,763. Work is ongoing with further operational and structural changes planned that are expected to further reduce overheads and operational costs.
2. Product Sales: Completion of test program with US Client and gaining of order estimated at $260,000 for continued deliveries as previously announced, BioOil® shipment for test purposes to prospective clients and BioChar shipment for testing in agricultural applications. For the first six months of 2009 BioOil® shipments to clients resulted in sales of $79,326.
3. Technology Licensing: The Company continues to prioritize third party development and is limiting its own development efforts. In line with this strategy, the Company continued to support its partners and agents in Australia, Europe, US and Latin America. In the second quarter the Company hosted visits at its West Lorne and Guelph plants as well as its research facility by parties from US and Europe who conducted due diligence visits.
4. Product Research and Development: At its Waterloo research facilities, the Company continued its development work on the production of Mobile Fuels from BioOil® and BioOil® fuel oil blends. The Company shipped samples to independent parties in the energy sector with whom it is cooperating in the analytical phase of the program and has received valuable data that supports internal analysis and objectives.
5. Strategic Alliances: The Company continued to work with its engineering partners in support of licensing of its technology and in project implementation. It continues its work with parties involved in the energy and technology sectors to advance its market reach and its R&D program.
6. Asset Utilization: The Company is focusing its efforts in making its asset base productive looking closely at its utilization and potential within Dynamotive or through sale. The Company has $36,062,929 in assets. These assets are ready and capable of operating “on demand”. Market conditions have limited their utilization, but we have the opportunity to continue to enhance their operation in 2009 and in doing so unlock the Capital invested to meet our total liabilities which stood at $11,343,170 as at June 30th 2009.
Attached Files