What am I missing?
The Company has recently shipped approximately 2.5 Mt to a distributor for product application development, and is presently accumulating a further 10 Mt for shipment to another distributor in February.
Going forward, the key interim focus of operations will continue to be on quality, consistency, and steady shipments, based on existing infrastructure. This is intended to ensure a stable and scalable platform, reduce uncertainty and variability, provide a strong foundation for future capacity expansion, and reduce interim capital expenditure requirements, while at the same time enabling the Company to move forward with its strategic partner plans as the foundation for long-term growth.
GEA Process Engineering Inc. Retained for Engineering Scale-up Study
In support of its various key initiatives, the Company has commissioned a study to confirm the scalability of its technology. The study will be conducted by GEA Process Engineering Inc., who specializes in the design and development of process solutions for the dairy, brewery, food, pharmaceutical, and chemical industries. GEA is recognized as a world leader in its field and is one of the largest and most experienced protein engineering firms in the world. The intention of the study is to provide detailed and actionable third-party expert recommendations for the scale-up of the Saskatoon plant, together with associated capital costs and key operating economics, and is also being extended to include a similar analysis of a new Greenfield facility on a larger scale. Subject to requisite protection of sensitive items in respect of valuable and confidential intellectual property, the Company looks forward to sharing summary results of the study with its shareholders and other key constituents on completion of the various phases under the work program, the first of which is expected within approximately 60 days.
1. Small shipments being made to customers for "final" evaluation. Placement of larger orders after they conclude to incorporate this new protein source in their products. No need to significantly scale up production until the orders are confirmed? Rather make sure they can deliver the quantity and quality ordered. At least 12 interested parties evaluating the product or with plans to do so.
2. In approximately 60 days(EO March), GEA will likely confirm the process can deliver some quality and quantity, scalability , perhaps costs indicators for for expansion, and possible ROI metrics. The essentials for a JV /partner to make a decision. My guess is the 3rd party "White Paper" will be positive and a JV partner wiil be announced. I can well imagine that the Helm's of this world haven't already made their plans contingent upon the outcome of the "White Paper" study. They have cash to operate until late Fall if I remember correctly?
3. Then if I am correct, BXi will begin its progress from small to medium to a large corporation, in some form.
4. What am I missing?
Your thoughts appreciated....
smlmedlge