BioExx Specialty Proteins Ltd BIXZF

RE: RE: Job Page for BXI

[brnt999]

"Can't wait for the news that they produced a first batch of protein isolates later this month (as per the TSX Venture presentation). "

I dont think things are as straightforward as that.

For one, management was not specific during the conferance call. At least after I listened to the conferance call  I didnt walk away knowing with certainty when the protein plant would be operational. Chris Carl said he didnt think they would be far off their original schedule (middle of April) but that he was in town holding meetings with the contractors to nail things down.

I think that is bullsh^t. You have a conferance call with shareholders and you schedule timeline meetings the day after the conferance call? We deserve a straight answer and he could have scheduled meetings the day before the conferance call. Seems like an on-the-level decent thing to do. I dont know if the plant will be operational tomorrow or the end of the month or the middle of next month. Can someone give me a straight answer? I dont know why he couldnt have phoned the construction project manager and asked him when they would be done. A 2 minute phone conversation is all thats needed.The market doesnt like vagueness or uncertainty and as we go forward past the middle of the month the share price is going to take a hit.

Management also said during the conferance call that it may take 1 to 3 months to dial in the plant. The plant will be dialed in when the protein meets specs. If the protein doesnt meet specs they cant sell it.( Or maybe they can sell it as fish food. That would have been a good question to ask.)

Personally I am a little nervous. I work in construction and I know from experience the last few details to finish off projects often take longer than expected. So if we find ourselves in the middle of May and the plant is not operational the share price is really going to take a hit.

I am also nervous in that the company needs to start making money. If the plant starts up at the end of April, and it takes  3 months to dial it in that will take us to the end of July. Even if they have customers ready to take product, my experience is they would ship it in August, send an invoice at the end of the month, and the customer has 30 days to pay. That brings us to the end of September before they start receiving revenue. I think its reasonable to expect it will take them a couple of months after that to be profitable- which brings us to November.

The company is going to be burning through a lot of cash while all of this is going on.

They said in the conferance call that the money from the government for the Minot plant will be dependant on the government agencies feeling confortable that the company is solid and profitable. I dont think BXI is going to get this money until the end of the year which will be too late for Spring construction.  They said there are alternative sources of financing they could use. This of course means more shares and more dilution.

All in all I think there is still a lot of risk in this stock. Maybe I am wrong. Maybe they will turn the plant on this month and be shipping proteins in a couple of weeks. I sure hope so.