Dyesol Limited
Dyesol – Scaling up for manufacture
Dyesol Limited / Key word(s): Miscellaneous/Miscellaneous Market Release – 29 April 2011
Commentary and Update – 3rd Quarter FY2011 We have been very busy during the quarter in preparation for our scale-up of the UK project with Tata Steel – planning, budgeting and resourcing. In concert, the Sustainable Business Envelope Centre (SBEC) was opened by the Welsh First Minister at the Shotton site where Dyesol-Tata energy efficient steel based building products technology was on display and the demonstration DSC on steel product from the Dyesol-Tata partnership was presented for the first time to the outside world. The potential for the technology is vast and both collaborators are working very closely to ensure that the entire vertical challenge – from raw materials through to end product – is first-class in every aspect. This level of commitment was highlighted by an announcement during the quarter that both companies were adding significant head-count to the PV Accelerator at Shotton. One of the least highlighted attributes of DSC technology was graphically on show in the wake of the Japanese tsunami. Of course, this had a devastating and saddening impact on the people and the infrastructure of Japan. However, it would be grossly irresponsible for the governments of the world to ignore some of the clear lessons to be learnt, so that the impact of such disasters can be significantly ameliorated in the future. In its current form, nuclear power (and in fact dependence solely on macro-grid power) is unsuited to certain geographically vulnerable regions and is disadvantaged relative to distributed power. Distributed generation for mass consumption is the principle that we at Dyesol are committed to achieve through DSC in the built, mobile and portable worlds. So, all key projects continue to make good progress. Importantly, as can be seen, the more advanced of these projects are beginning to surface for closer scrutiny as they attract political and commercial interest. Further, all projects have common attributes – global scale, established routes to market through quality partnership and support from well-funded, comprehensive research and development programmes. Financially, the quarter has also been pleasing. At the end of the December quarter we forecast further improvement in cash-burn – the unavoidable consequence of pioneering the commercialisation of a new technology. This was reduced by over $700,000 to a monthly rate of approximately $850,000 of largely operational expenditure which is consistent with targets set under the revised organisational structure. Importantly, this also provides immense knowledge and confidence in budget preparation for the next financial year, which is well underway. At the time of writing, the company's shares were available to trade in 3 different continents – Australia, Europe and now the United States. The Europeans, in particular, have embraced Dyesol since listing and its exciting commercial prospects and there is good reason to believe the US will follow suit through the newly introduced ADR programme as the vast prospects of the US glass project emerge through milestone success. Also, at the time of writing the company's shares are in trading halt pending an announcement in relation to a modest capital raising. The company expects to announce the details imminently, but most specifically it will be making the offer available to all eligible shareholders primarily through an institutional placement and a share purchase plan for retail shareholders on equal pricing terms. We consider this a great opportunity for investment in light of the advancing prospects of all major Dyesol commercialisation projects.
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Note to editors
The Company – DYESOL Limited More details about the company and the technology can be found at: http://www.dyesol.com End of Corporate News 29.04.2011 Dissemination of a Corporate News, transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
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