Q2 2021 Comstock Mining Inc Earnings Call
Of that Spencer, who is here with me will direct all question zooming in on Us and I'll happily answer that.
If youre not using zoom you can follow up with us after the call directly or via our website with any additional questions.
Okay.
In just 6 short months, we've seen of dramatically from our balance sheet, where our net assets of more than doubled from the $33 million to now over $70 million, while eliminating all of our debt. We have made strategic secured investments and MCU <unk> and LTE Biosciences, all of which are <unk>.
<unk> ramping up production plans with the MCU and the Philippines. This year <unk> in Q2 of next year L. P. Bio in Q3 of the next year.
We have also advanced secured loans to clean slate of innovation of breakthrough extraction technology company specializing in cellulosic products, including Biofuels and also working directly for us on of lithium extraction solution atlantica.
All of these investments are secured.
High yielding and with the unique IP that we of commercializing into extraordinarily high revenue growth models and throughput generators for US. We have also invested in of materials science based quantum technology for our mining batteries and carbon capture lines of businesses that I'll expand on a little bit more.
More than just a few minutes.
As I mentioned.
Our assets increased by almost $40 million driven by 4 factors first an increase of $18 million and our investments driven by Jen, Matt about $12 million and lineker of $6 million.
<unk>, an increase of about $5.5 million in the secured notes receivables, including an almost $2 million increase in the senior secured note that we have with total goal. That's due this upcoming March and another $1 million increase from the secured loan as I just mentioned the plain sight innovations as a side note the tone on the payroll.
Cash interest of nearly $70000 a month and they are current on all of their payments.
Third we have an almost $8 million increase and what's shown on the balance sheet of the derivative asset that's tied to the share that we've contributed to <unk> and Jen Matt. This is economic and that we retain any and all of the appreciation in the value of those shares above our commitments and we expect those amounts that will be will be.
The monetize the excuse me over the next 2 quarters to benefit Comstock fourth and lastly, we had an increase of about $6 million just simply in the net extinguishment of all of our debt and the increase in our cash overall $40 million increase in our balance sheet.
We believe each of these new investments has near term valuation potential of literally over $1 billion with most of them representing.
Potential for multiples of that amount.
Shares outstanding today totaled $54.1 million, including all of the shares.
Issued to renewable process solutions, Rps, Jen, Matt LP Biosciences, and <unk>. So those are complete and total for all of those recently completed acquisitions.
Again, these transactions have been structured safely with asset secured and the tremendous accretive value of an upside from incredibly large end markets, which I'll go over a little bit more in a minute just to wrap up on the corporate side as you saw our cash of over 5 million of June 30, with $25 million of non current non.
Core asset sales waiting to be closed.
That includes our industrial and commercial non mining lands totaling over $13 million all under contract. We expect both the closing the near future and we have had a remarkable increase in interest in the silver Springs opportunity fund actually an almost unbelievable increase and interest with.
The increasing number of very large strategic investors fully engaged.
With the interest of investing at the of fund has a fully leased its manufacturing capacity is fully operating the silver Springs Regional airport.
We get inquiries from new companies wanting to come in northern Nevada, and Silver Springs on an almost weekly basis in fact, the have a call right. After this 1.
And especially large companies looking to do that.
The Fund's recent issuances capital raises if you will are being valued at $1.80 of share that plus the 335000 dollar of investment that we have on our balance sheet at over $12 million today, So even though the $40 million increase in our assets, we have almost $11 million to $12 million unrecorded asset in terms of sort of.
The value relating to our silver Springs investment.
If you put the value comps against that.
<unk> be looking at closer to 3 to $6 of share, which would put that investment closer to $2000.40 million non.
The $12 million and certainly not the 300000, that's recorded on our balance sheet. We also hold well over 9 million shares of <unk>.
Total stock.
We also have $6.7 million of secured notes receivable from total that's doing less than 7 months of the totals those tone of securities that we're monetizing its about $8 million.
So.
Yeah.
So for us $25 million of.
Of.
Non dilutive monetize cash flow coming into the business.
Over the next 12 months.
Before I close on the corporate update I just have a couple of additional items last week, we learned that a very longstanding I would say frivolous lawsuit against US was not only definitively 1 and concluded that the judge awarded us and the county over a quarter of a $1 billion of legal fee reimbursement.
Substantially all of which would go to US. This positively concludes the zoning discussions associated with our Dayton resource area of course, we haven't been sitting on our hands in the meantime, our updated resource modeling on the day and is well underway. We will publish a series of interpretations of the developments on the <unk>.
Data as it becomes available well before publishing the full technical report the technical report will be end of the new <unk> hundred standards. It will be published this year and we know there's tremendous value.
In the day and resource properties and that the technical report is really the most important next step for unlocking that value and validating that value for the market.
We also understand the total growth is prioritized the completion of their technical reports for the storey county properties, all of which we either own or hold stakes in in 1 form or another. They also appear to have made process changes that we deem productive towards accelerating the publication of their technical report the completion of their financial audits and ultimately.
Upgrading the stock listing from the activities. We see this all seems to be moving forward at a much much more diligent pace.
Regarding MCU, we're fully set up in the Philippines with our mine camp our employees, our management and our operations.
We have fully running tests of the operations and even expanding the equipment with 2 new Grizzlies for proper separating and sizing of the sand and gravel materials that we're selling to our customers.
We have ship sand and gravel to our first 2 customers. We did however have a permit oversight in the Philippines that we have now corrected reapply for can expect to get approval within the next week or 2 so we can restart processing and selling the standing gravels again remediated in the Mercury extracting the gold.
Just as a step back.
Have and continue to have all of the permitting that we needed from the department of environmental and natural resources in the Philippines.
But apparently we required to have this additional permit solely for the purposes of of the Mercury containment relating to the sand and gravel process.
And caused us frankly of very disappointing delay.
Yes.
During the past 5 weeks, though the team has expanded the equipment. We built the 2 new Grizzlies, we've tested them everything is ready.
Fully operating are capable to go we've expanded and finished off our mercury storage facilities. So we're very much looking forward to just resume the operations there everything's in place.
Our operating expenses are variable.
Very low.
Unbelievably low so we love the potential of this business and we very much look forward to the process of getting up and running out of full scale. There is no. Other negatives that we are aware of in terms of how that system operates in what we're looking forward to.
Okay.
On a much bigger know our transformational efforts have quick and during the first half of this year, we are expecting a literal green shift in our operating businesses. Our team is solely focused on the activities that enable rapid and I'm going to say exponential revenue gains gains in these huge end markets that we're addressing.
We believe that just our existing platform today as I. Just recently mentioned is already worth many multiples of our half of $1 billion target.
Just based on the comparative valuations.
It would exceed billions.
Just for similar lines of businesses that are publicly out there and capitalize in the market.
I'm going to provide a quick overview on the 3 politico Rps and <unk> Biosciences, We recently filed as we previously disclosed for the main clinical permit application for a state of the art lithium ion battery recycling facility that now reflects.
100000 ton per annum production profile for just the first plant in this business.
This is literally of 5 ex increase from what we had originally provided guidance on and I'm happy to explain that now or in the Q&A.
I think those new processes will commence upon the approval of that permit that we filed which is anticipated before the end of this year and we anticipate the completion and startup.
Arrival of equipment coming in November December January February commissioning in.
March April startup in that second quarter, almost all of our equipment has already been ordered and we are moving very very fast here once complete as I mentioned the facility expected to scale up to its initial nameplate now exceeding 100000 tons per year of lithium ion batteries over a period.
Of the first 3 years with annualized revenues exceeding half of $1 billion per year. During the third full year of operation. What's remarkable here is that the sales only represent blast black mass production and black mats sales those sales will be enhanced with downstream.
The mineral and cathode production tremendously again to be clear of this guidance because of the expanded footprint of the plant is the only for black mass <unk> capacity breakthroughs are a direct result of our recent acquisition of the engineering procurement and construction company renewable process solutions our Rps.
And its founder Mr Railroad by BLE Raul of who is our complex chief process engineer Company Y has designed and built 21 advanced renewable fuels production facilities just in the last 15 years and Rps has provided these engineering commissioning services for other renewed.
The metals and renewable fuel industries.
Tremendous amount of capability this year of tremendous machine that we've added to the network.
Don't believe anyone can have a true appreciation of Rps has impact has been already to our system.
It brings us of extraordinary competitive advantage just for clinical.
But right now Rps is also bidding on LP biosciences, or a portion of LPL Biosciences engineering work as well with indications that they could potentially see that project millions of capex on a faster cycle time and enhancing the overall value of both our and our partners' investment we believe <unk> will be.
The largest industrial hemp processor and producer of extract the oil in the United States and <unk>. The platform is designed to quadruple the capacity after its initial startup in the third quarter of 2022. The LP Bayou facility alone is expected to scale up to its nameplate capacity of <unk> 200000 pounds.
<unk> per day.
Of industrial hemp over its first 3 years, which will generate annualized revenues of over $400 million in the full 3 years of operation.
And this is just based on the small oil fraction of the industrial have been industry. The rest of the biomass that comes out of that process is comprised of cellulose with many non core product that we are evaluating in our de carbonization effort, including electrification applications that we believe are hiding in plain sight.
So just to be clear when it go has.
An incredible revenue ramp up just with black box not minerals dot cathodes.
L. P. Bio has incredible ramp up on just 1 oil extraction from the industrial hand, not the other co products that we would look ultimately add to the amount of system.
Speaking of plain site. We also have been working closely this year with Tsi plain sight innovations on a number of new technologies, including of novel process for immediately extracting lithium from black mass quickly and efficiently.
More to come soon on that.
But I just want to acknowledge today no 1 is able to do that.
We believe we're going to be able to do that very soon we're also working with existing processes for the efficient extraction of carbon from woody biomass with potential applications for producing anodes in batteries.
As we started looking at becoming of cathode producer.
And the battery market we.
Explored these possibilities and were shocked.
At what Tsi can actually do by taking waste wood.
<unk> wood biomass.
Where the government's reporting over 1 billion tons of the year is being generated laid waste in the United States alone.
The BSI can converted efficiently.
And the ethanol into biogas lean into biodiesel and many other products.
Right now they are helping us accelerate the lithium extraction.
From the black mass for Linacre, which will be another breakthrough we believe that this global clean energy transaction.
Transition Im sorry, this massive green shift if you will plus an escalating population growth.
This converging into a perfect storm of global demand demand of which it's hard to exaggerate and the strategic materials without.
Without any meaningful corresponding capacity to meet even a fraction of this the match. So we're now building that capacity to meet these rapidly growing demand in each 1 of these businesses.
This is literally positioning us for exponential growth and we're deploying these plants in our system for that capacity now physical capacity in Nevada physical capacity in Iowa.
And over the next 3 years towards over $1 billion of revenue.
But regardless of those plants, we're going to need more speed and we strongly believe that speed has arrived in the form of the quantum computing advantage. We've invested in the emerging cloud computing technology to accelerate the innovation of breakthroughs for new materials for use in these applications meaning.
Students, meaning specifically batteries mining the carbonization.
We're partners with leap with leaders in the industry the top professionals the top companies in the industry as we position ourselves to continue the leadership in these materials sciences, So just to wrap up.
The past almost $1 billion in revenue from just Linacre Mana.
Mono slash L P bio and MCU without any new additions we plan on increasing this with tsi likely this quarter certainly this year, finishing the retrofits of 2 existing facilities in 2022.
We are retrofitting to.
The state of the art.
The existing facilities here and now.
With growth in revenue in 2022, and we're going to exceed our near term half of $1 billion market value well ahead of schedule in fact.
We're extremely focused on only those items within the Timeframes that we published our.
Our money's, where our mouth is.
As we have directly with the performance objectives with the goal of delivering this first half of $1 billion, which we are now obviously reassessing as each of these new growth businesses can achieve multiples of that amount.
As we move to the exponential ESG based growth track.
We've already seen an incredible recognition just in our shareholder base.
With all of the year with all of you, but notably also Blackrock Vanguard and fidelity showing up in our top shareholders.
This is just the beginning of our targeting effort.
But regardless our comp of structure sort of the shareholders aren't rewarded in the either way, it's 100% performance base, so with that I'm going to ask zone now of Zac.
Zoom host to stop here and piece of facilitate our.
Our questions.
Okay. Thank you Corrado, our first question and I know you spoke about this.
During the presentation.
Regarding the MCU.
And.
So I would like to know how many units are operating and what the the P&L.
The Hawaii.
And what is the plan to scale the MCU business, yes. Thank you very much. So we have we have 2 units in existence..1 is on the Comstock, which is our pilot unit operating 25 times of day.
Currently operating 25 tons of data the capacity to operate of 25 tons per day, and then the first commercial units, which landed in the Philippines, which can do of 150 tons per day. So the intention first and foremost is to have the MCU unit fully operating in the Philippines.
Operating at or near the 150 ton capacity I'm, sorry of 150 ton per hour capacity, okay, and the selling all of the sand and gravel that comes from that system cash positively of.
The number 1 objective number 2 to extract any and all of the Mercury, that's resident and those of materials and to protect the gold from the Mercury in those materials.
I mentioned on our last call that we started.
At the very very low end of the river.
The safest place to start it's where we have the easiest and best access to the sand and gravel materials. It's also the area that has the least amount of mercury to combination. So while we were down for the last 5 weeks, but we've been extending our scoping of sampling.
Our plans for the rest of the river to identify where the higher mercury angle contents are.
And to expand out of our Mercury containment unit and to expand our actuals.
Actual system, we've put 2 new business out of there. So that we can sort of percent of gravels to different sizes as our customers are specifically asking us.
The.
The outlook for that as a revenue and.
A smaller level of profitability just from sand and gravel. We believe that's an incredible the risks of the model and then to start growing that revenue based on the Mercury angle contents that were identified at a relatively low grade of gold in those mercury's the potential of very high in terms of the amount of cash.
That we can generate monthly, but it is going to be a 2 step process with the sand and gravel ups announced that is back up and running announced that its generated cash and then expand up the river to the higher points of of contamination now once we've done that second piece, we're very very keen were very very key.
<unk> to talk about landing of second system, adding a third system, but it's going to be methodical. The Philippines is are essentially first commercial site, we're going to be cautious.
<unk> had multiple conversations with our joint venture partner, there, we could not be more aligned.
And we're fully committed to get that up and running.
Beyond that.
I can't exaggerate the.
The number of projects and the inquiries that are out there from historic <unk> non small scale mining sites with Mercury, It's a combination.
Conversations.
Are abundant.
But we have to walk before we can run.
I'm disappointed in this mercury hiccup.
Deeply disappointed in the Mercury hiccup, we're making operational changes.
With our joint venture partner there to address the circumstance of it doesn't happen again.
But the financially in the Grand scheme of things at the very very minor setback in the slope of the mining operation.
We're very excited about moving it forward.
Okay. Thank you Corrado.
The next we have a quick statement.
The shareholder says that our company is an open book to shareholders. Thank you and the staff for all of the due to make the world of better place.
And that is followed up by this question from another shareholder.
What are the specific milestones that trigger payments for the quantum computing investment.
Were they not lifted due to an NDA with another company the.
Thank you for that so.
Yes.
Sure.
Quantum computing investment because the.
Designed to achieve.
Is to create a capability to generate new materials.
So so we're developing programs to create a capability to develop new materials.
The <unk>.
First priority.
That we've established the new materials for batteries. So we can see an immediate indirect implication of linacre.
With that outcome quite.
Quite frankly, we will see an immediate and direct impact on all of the E&P industry with that outcome the.
Of the EV industry, the incredibly challenged today because of the scarcity of the materials available for the existing configuration of the batteries. So that's our first objectives are.
From our second.
<unk> will be to commercialize the.
Those materials.
And then the third and fourth objective is to have an application for the mining industry.
<unk> quantum sensing and for our carbon capture and reduction of industries, which include LP Biosciences and Tsi. So as we start to be able to connect the dots better for our shareholders.
The investment in quantum has a direct and strategic implication and immediately direct and strategic implication to everything that we're doing.
We our NDA.
We are in a stealth mode.
And we do have strategic partners.
They are leading leaders in the industry and we couldnt be more.
Hello.
Excited about the people that were working with and we will be able to say more about that in the future.
Our next question is do you have any customers lined up for limit co or the health of that business.
Yes, So let me start with letting it go the.
Effort for when it go has been fast and furious with the engineering design and so we could not be happier.
With the breakthrough that we had and it was an engineering the design breakthrough.
Simply to get much more out of an existing of.
Crushing and separating system, but then doing it in a way where we could fit multiples of those systems in our <unk> facility footprint.
Secondly, we are now working on the extraction of downstream extraction in parallel with Green line, who has who is working in finalizing their downstream extraction for cathodes. So we're going to have a solution that gets us the peer tackles, the solution that takes us through pure minerals.
And even our other partner Aqua metals is working out of hydro metallurgical solution hydro metallurgical solution to get the minerals. So we're very excited about the downstream, but the important takeaway message for our investors is because of this capacity breakthrough.
And believe me I would be very unhappy if all of it.
Lasalle WAC mass.
But with half of 1 billion of revenue and in the same 9 figures of profit.
We've de risked the SEC.
Is it going to happen.
Everything from here as gravy, what are we done responding of the question. We are now in the multiple discussions with who most people would perceive as some of the largest customers in the industry.
For supplying their materials.
It's remarkable.
Interestingly because of the nature of this industry. Some of those same people are talking about supplier feedstock. So we're talking about the true closed loop.
The strategic players in the industry of the largest magnitude.
Focusing on securing the rest of the feedstocks.
For the incredibly large first facility.
Okay. Thanks Corrado.
Our next question is the press release on Gen that stated that Comstock was going to purchase of 5% for the $50 million. In addition to the 45% that Comstock already own.
As the market value of Gen that $1 billion so base.
Basically what happened.
Is that we identified.
An opportunity with the startup company.
And.
I cannot.
Exaggerated the competency of it.
The professional.
I cannot exaggerate the network of people that's the.
The key special and working with our quite frankly, we engaged.
Pat.
That person that team and we were involved dramatically.
And in developing what we believe is just the superior plan.
With the superior strategic partner.
And in doing that we earn ourselves a tremendous amount of founders equity.
Okay, the tremendous amount of founders equity it was earn with flat.
Bringing in maybe a little bit of tiers, not the highest tiers of day.
And so.
Then we looked at what would be required.
The generate new materials, what would be required to.
Commercialize of the materials, what would be required to.
The commercialized additional lines of business and we committed.
To up to $50 million, but only the first 15 price is committed through the first objective over the next 2 years. So I personally think every business that we're going into is going to be worth multiple billions and I'm basing that on the impact of the cash flow that we see.
The possible.
What's the valuation today, there's a lot of work to do okay. There's a lot of work to do.
And youre going to be hearing about it over the next weeks months.
And hopefully 2 years.
The tremendous success, so we're going to have to hold the valuations back before we actually get something achieved here, we don't have any change yet.
On the account for kind of contrary with lineker of where.
Where we invested at a $17 million valuation.
We see.
The competitors in 2 instances, having valuations of greater than $1 billion, and we don't see either 1 of those competitors, having a facility like ours with the capacity that we've announced with the equipment that we have now ordered right with black mask that we're making in our lab.
<unk>.
Number 1 we see a private company valued at $3.7 billion.
Similarly, not having announced the capacity that we've announced and the facility that we have so yeah.
Yeah, I think the rest of the billions coming in each line of business.
Of the quantum of 1 has the most farthest out work to do by far the lithium 1 has.
The most immediate wrapping up.
<unk> is just as immediate as when it go.
But she is a little bit more disparate.
When it goes is going to ramp up 1 planned to half of $1 billion of revenue without their downstream products MCU is going to be populated in many many sites around the world cleaning up the ecosystems and generating.
Worker remediation of goal so.
The common denominator here everyone of these businesses.
Markets that are just enormous of.
That half of no capacity existing today.
<unk> delivered to them that we're meeting those needs of the capacity, we're putting in place.
Okay and the next question is how do you assess where you stand with your competition.
With Linda co and your health business. So I, just I, just sort of mentioned that in terms of Wynn Macau.
Won't really elaborate I think we're at frankly.
I don't I'd only not only don't think not only doing all of that okay.
But with RPX and our portfolio.
No I appreciate that we're engineering solution and we're manufacturing our own equipment.
I mean, we've got more capability than any of them.
In terms of half.
The industry is massive.
And the only thing holding it back is it doesn't have processing capacity.
We've literally had conversations in the last 3 or 4 weeks with Fox.
Of course that we've not 5000 acres planned for this growth, but if your capacity is going to come on line, we'll go to 40000.
So some of the industry is there the demand is there.
The processing.
I've been there at scale or reliable.
In addition to that we're going to be the first large scale will be the largest full stop.
The first large scale that can remediate ph D. All of the material.
No 1 can do that at scale today now we can.
Okay.
Rps is involved in those discussions as well in terms of the engineered solutions that we have.
So I can kind of paint a little bit broader picture of what the system is starting to evolve into.
Okay.
And the less we have a statement. Thanks for all of your hard work I can answer the first question of the <unk>.
First question is how do I get a half of we get asked that question quite a bit and those will be available on our website.
In our store or online store that we have so we are currently working on that let me interject that youre going to buy of comps by cash by quickly.
The name of changing kind of the classic.
Currently the collective either alright.
For sure Okay and then.
The question is that.
Do we have a goal for the number of outstanding shares.
We don't have a goal price, but we but.
We have a view.
That with the Tsi acquisition.
As we are currently finalizing yet.
That we would be.
The 62 million shares.
So we believe.
In hindsight and the my Im talking about hindsight I'm talking about you all looking back.
The 2021 Sungard from in January.
When when the docs have been connected when we've published in the.
Intuitional quality financial models that combined linlithgow.
<unk> Biosciences.
Tsi.
And MCU.
When you look back on to those.
Models onto those guidance rates.
People are going to be scratching their heads as to how we so efficiently we're able to consolidate these businesses.
It wasn't long, but we do feel fortunate.
If you ask me my preference I would of love for this to have happened over a 2.2 and a half year period.
Didn't have that luxury gave the opportunities we're being scrapped we're being diligent sometimes things just converge the way they do and you have to be ready to capitalize on them. So we understand.
Standard that the sequence of what's happened the magnitude of what's happened is not crystal clear, we understand that in September October theres going to be tremendous clarity.
Here's the model here's what the combined consolidated company looks like.
And I can tell you that.
The nature of.
Of the financial institutions.
If we're talking about.
<unk> fidelity vanguard, etcetera, etcetera or the.
If we're talking about the bulge bracket brain volume.
Bracket banks that have now reached out and making overtures to us we're on the different playing field at the different game and at the different level.
So I want to apologize.
For the.
The speed at which the pack the hit the all the sequence of which it had the hitting you all I would of sequenced the very different if I had a choice.
But when it's done and the dots are connected.
Not going to be confusing, it's going to be very exciting. It already is very exciting and we've never worked harder to this end.
Okay.
Okay.
Are you able to provide an update on supply agreement to batch clinical of capacity and walk through the phase 1 to 3 roadmap to capo.
Also can you compare and contrast 2.
The competition, yes.
So I think that let me go phase 1 of the phase III cathodes and prepare so phase 1 crushing and separating of epic capacity. So over 100000 tons. All of the engineering is done all the permits have been submitted all of the equipment's been ordered and it's coming.
Phase 2.
I really think the score phases phase 2.
Is to come up with an immediate attraction of lithium from the WAC mass.
That's not being done out of 1 of the big Big contemplated.
By our competition, we have a patented process embedded in the tsi that we're looking to apply to the solution.
<unk> has 2 immediate effects 1 of the ability to sell with the carbonite extract faster.
Faster than anybody's predicting and secondly to make the downstream process.
For whoever whoever.
It comes up with the certainly green line to get the cathodes much much simpler.
We've already effected simplification.
For the cathode production process. So we don't know anybody that has the capacity designs to big Black math that we do we don't anybody thats, even contemplating the tracking with them like we are we don't anybody that's planning to make 90, 999% share capital light Green line has committed to us that can do.
The fourth phase is that there are multiple exercise of won by us in Rps and 1 by 1 of our partners to take the Aflac mass songs lithium.
And.
And extrapolate it to nickel cobalt manganese and graphite.
And so there.
There is many people trying to do that for us it's the cherry on top of everything else.
So it is not necessarily of Nevada disadvantage, we're going to be doing that because we want to be a broad supplier of the of materials to the whole market.
So that the 4 phases.
And the.
The competition that was the first part of the question of that slipped my mind, yes.
Yes.
Oh.
Sure.
Were you able to provide an update on supply agreement for the coke capacity, yet so the supply is out there.
It's significant.
And I think I heard you mentioned early in the call that we're engaged with multiple very very large companies in need of the battery materials and Theyre also talking first about the closed loop chain and then we're talking to many others.
Full target risk full target spread across the United States of 2.
The stock supplier. So we don't have an update on agreements, but as soon as we have agreements we'll start updating you and that's what we're spending most of our time on now.
Purposely not spending time on it before we finalized the breakthroughs in the.
On the other design, but now that those permits are submitted right, where we're going and hydro.
Per share 1 of our competition is not even submitted the permit yet which are the other 1 submitted their permit and have made some changes in the pension in terms of the facility. So again I think we're more focused of moving faster.
As you are working with the Lake you are there of carbon capture opportunities associated with ethanol plants.
And the ability to control of 45 Q tax credits.
So.
Look the carbon to Decarbonize the nation is going to emerge as an overwhelming theme of what we're doing we're throughput based.
For those who appreciate that throughput is the rate at.
Of which we generate units of the call, which means the rate that we generate cash per hour per day.
The rates that we generate.
Natural impact, which is the reduction of carbon emissions right and the rate that we make social impact that we'll call. It triple points every measure off with banks now.
If you look at the most offensive.
Emitters of carbon dioxide into the atmosphere ethanol, we of the list and so of partnering with Lake view is of tremendous opportunity for us to.
To look at additional opportunities.
We're already looking at and we already have novel solutions not to be discussed on this call. That's for sure of going forward, we couldnt be more.
We couldnt be better positioned.
To a reduced those kinds of admissions and maybe excitingly capture those emissions per productive use so that's coming that's coming in the future.
If we're in the Cellulosic fuels that will omit carbon dioxide and we will be able to capture and put those to productive use. So these docs, which were connecting the very high level of hours, we're going to start to getting connected in a much more detailed level and it's going to be.
Pleasantly surprising to people what is kind of come out of this.
Okay.
With political capable of processing 100000 tons of waste batteries per year.
Where will the feedstock come from.
So again as I said, there is long term of universal waste handlers there is.
An abundance of electronic devices and abundance of batteries many of which today are going to landfills for regulatory purposes. There is in the <unk>.
London.
Just on the abundant.
A rapidly increasing amount of disease.
From cars a lot of them are in the test mode.
Some of them like Tesla are obviously in the operating mode.
And really there theyre going to non productive use of today.
Pretty much the entire industry is repositioning to bring those and we're working on that will advise when we have those agreements in place, but but given the scale up of 100000 tons of over 3 years theres not going to be any scenarios, where there is scarcity for us the batteries to feed the alligator, we're going to be feeding ex CIS.
Hmm.
Those batteries and the ramping of increasingly amount over time.
So I have to say more to come on that.
As we move forward.
Okay.
Our next question.
Will the company the.
The purchasing and the stock.
At the current price points, we've had some indicators by some of our directors.
1 of the blackout period lift can we buy some stock.
We expect we expect to see some of that for sure.
The.
These acquisitions are also bringing in <unk>.
Some incredible management competencies I mean, the team like I have.
Haven't seen it.
To the person man and woman.
They are agreeing to sell their businesses.
<unk> stock and agreeing to locking that stuck out over 5 year period could not get of more.
Stronger Testament.
To how much they believe and what they're bringing to the table and what we can do together and I think bottom line on this.
From the end of the year, our insider holdings will be.
Much much larger than everyone anyone is anticipating.
Between the combination of both of those things. So we're scanning we're in the game.
All in all committed all restricted if we don't perform we.
Don't get rewarded.
Okay shareholder would like to.
The more clarity there.
Wanted to confirm that we have $25 million in assets for sale.
$13 million or under contract.
Is that correct $25 million per sale.
$13 million under sales contract for land.
The $6.7 under senior secured contracts or payment by.
By March that's the tone of logo receivable there is the possibility that some or all of that note will be paid early based on the developments that we're seeing but certainly not later than the end of March.
So those are the 2 biggest components pushing 20 of the $25 million.
Okay and of shareholder would like an update on tunnel goal. So total of <unk> had some changes okay. I use the term process change earlier, but frankly, they've added an incredible new director to their board, who I've had the number of conversations with very very.
The strong professional very level head of professional of I've talked to all of their top stakeholders.
Dave.
Celebrated the process for finishing their technical report.
Nearly complete in draft form.
We've seen it.
They are accelerating to a final conclusion, the audited financial statements.
The prerequisite further uplifting and they are moving forward with uplifting. So we expect to see some additional drilling we are at or not over the next few weeks get started we expect to see.
Meaningful changes in the in the.
And the rate at which their business plan moves forward and we're very supportive of it I think it's going to be successful.
They've got some great partners.
Meaning stakeholders meeting shareholders.
And theyre talking to some very good ones. So I think it is going to keep moving forward everyone was disappointed by some of the initial delays of the drop in their share price, but it looks like theyre getting their plants back on track and we're happy to see that.
Congratulations on your transformational Green shift what is your relationship with Green Chip Corporation.
So we have.
We have spoken.
The 2.
The green shift principles.
We love the people, we absolutely love the people.
We have.
Really focused on this place like innovation component, if you will of that from.
Lack of better term network and.
The main principle of.
Of the company, we put in the highest regard.
And the collaboration with with the principal.
And with the.
Senior executives of clean set of innovation.
As far as I'm concerned is 1 of the final piece of that is puzzle.
Incredibly powerful business model.
We will hold in reserve more conversation until that sort of closed quite honestly, just because I don't want of doing so.
Okay crowd of that wraps up all of our questions. Thank.
Thank you all I know, there's a lot of change I know that there is.
Our feeling of urgency for us to deliver right. The the revenues from these businesses. We're here to say we're committed to MCU.
We're committed to an even faster ramp up with linacre, we're committed toy or fast ramp up with LP biosciences of Mana.
And what we are and we're committed frankly to closing the deal with Tsi and presenting.
Most likely.
The biggest business model the biggest line of businesses of everything that we've talked about so far.
And by the end of September having consolidated.
Institutional quality of model of all of those businesses.
And engaging.
Our targeting new shareholders.
Of that are very interested in.
And the population of those is.
Huge price sorry.
I think we've expanded our footprint, but we've also expanded the areas and people of interest.
Investing in with the company and we believe that we.
We will fundamentally be the last the driver to seeing the share price move.
Just the $12 because of our intermediate objective, but well beyond so.
We're working hard on it we're focused on it and if anyone was unable to put a question. Please feel free to reach out to the <unk> at your convenience. Thank you and we look forward to the next call.