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Beyond Meat, Nikola, Newlox: meat replacement, hydrogen, and green gold

Mario Hose Mario Hose, Apaton
0 Comments| September 30, 2020

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The quest for a better world coupled with economic success motivates investors around the globe to participate in innovation and business ideas. These are often subjects that promote health and protect the environment. Those who think big and plan ahead receive the relevant attention. But everyone has started small at one time or another, so success stories also serve as inspiration for young and small companies with good ideas.

Green gold with environmental protection

Newlox Gold (CSE: LUX) is focused on the processing of historical tailings from the mining industry. The company uses its assets to search for gold in the ground from previous mining operations before selling it on the market. This type of gold extraction protects the environment and cleans existing tailings.

This has the advantage that the demand for the precious metal can be met by additional supply. Environmentally friendly gold is not declared on the market as such, but the operational success of Newlox makes the world a little better. This is one reason why the business model is attracting interest from investors and the first projects in Latin America can be implemented.

Global production will decrease

The current gold price level has brought Newlox into the focus of investors and the trading volume has increased significantly in recent months. Interest in the company can be expected to continue to rise in the future as conventional mining is increasingly struggling with shrinking reserves.

Barrick Gold (TSX: ABX)expects gold production to peak in 2020 at around 118 million ounces and then fall to around 65 million ounces annual production in 2029. Alternative procurement options such as Newlox will therefore become increasingly important. The company's shares are traded in Germany and Canada and its market value is currently around CAD 10 million.

Vegetable-based meat products

Beyond Meat (NASDAQ: BYND) has massively changed the food market. The use of meat in food produces a much higher emission of the greenhouse gas CO2 than the vegetable replacement. The special feature of Beyond Meat is that the company offers high quality and has been able to cleverly stage this with marketing activities.

Burgers, sausages, and meatballs made from vegetable ingredients can offer consumers a pleasure without hesitation. The idea is well received on the stock market and the value of the company is now almost EUR 8 billion.

Hydrogen in logistics

The US company Nikola (NASDAQ: NKLA) wants to change the logistics sector with hydrogen as an energy carrier. Trucks in particular need large quantities of fuel for their transport routes. Against this background, Nikola wants to conquer the market in this segment with vehicles and infrastructure components. With initial euphoria, the company ventured to go public.

In the meantime, Nikola's value has fallen significantly by over 70% from its peak. But its market capitalization still amounts to around EUR 6.2 billion. The value of the company has been questioned considerably in the course of short-seller attacks. It remains exciting to see when the mood turns again.

CONFLICT OF INTEREST & RISK NOTE

We would like to point out that Apaton Finance GmbH, the owner of news.financial, as well as partners, authors or employees of Apaton Finance GmbH may hold long or short positions in the aforementioned companies and that there may therefore be a conflict of interest. Apaton Finance GmbH may have a paid contractual relationship with the company, which is reported on in the context of the Apaton Finance GmbH Internet offer as well as in the social media, on partner sites or in e-mail messages. Further details can be found in our ´Conflict of Interest & Risk Disclosure´.


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