It just seemed like you didn't know anything about the company and projects yet were flaming them. Note emotion is hard to portray in emails, posts etc.
Ceto 5 was implemented in 2014 and they did a 12mth trial - you now that right. I don't think it was successful in terms of power output due to pipe friction losses - you could possibly work out what was delivered to the turbines by using arbitrary numbers for input and pipe dia etc.. I think that ceto5 GI trial was beneficial to them as a device was installed and survived the 4 seasons - they would have a vast amount of actual data to correlate and compare vs their modelling. Essentially validating their R&D and pushing into ceto6 as that has always been the big boy with regard to commercialisation. I suspect that CETO6 was impacted greatly by the Government money and Albany wave farm decision - governments take about 18mths to 2 yrs to go from an idea to construction. So this would account for a substantial delay.
CETO has not made money - you are right. but it has been in R&D mode and will continue to do so until they get a project to install - GIMG or possibly Albany will likely by first income producers, Mauritius or Cornwall may follow suit. If Mauritius eventuated that would be a true project free of grants etc. The hiccough with EMC obviously was a distraction but something was needed to sate a few shareholders while the ceto6 decisions were made. If Ceto6 is successful in 19/20 then I am sure orders will follow quickly thereafter. If it isn't successful then I suspect they are done - like just about every other wave generator company.
CCE has not made profit from anything I can see with regards to Ceto or the EMC side of things (surely the upcoming end of year will show some revenue stream). Not sure how gold royalties are treat and costs associated with them.
Am I happy with the current predicament - no not particularly. I think the acquisition of EMC was a mistake and we are now seeing the fallout of what appears to be a very bad decision - I think the blame lies with John Davidson on that one. Surely the due diligence from accountant side of things would have shown "discrepancies" and there would have been a "no go" decision. I suspect that the valuation was based on future work that obviously didn't eventuate - possibly the SA battery that Musk won. I'm sure that there will be some sort of ASIC investigation - surely one of the guys on this forum would have lodged a complaint with ASIC or ASX in regard to the dealings with EMC based thread content. If there was some sort of misrepresentation that wasn't discovered during due dilligence could it be considered fraud - if it was then how is that treat - could CCE sue John Davidson or others to recoup loss or recover shares granted?
Am I happy with how the company is being run - Hard to say, I don't work there and only see snippets of information that they release and in some situations you wonder what they are doing and some other times they seem to go okay. We have had 4 years some of that with a large distraction of EMC - I suspect that the ceto 6 progress has been impacted by government change and agendas. I think that there should be more publication of the progress of work, in some cases seeing a pictures of something being built keeps holders onside. We often get a lot more info on projects by people driving by and people using nearmap to see progress which happens in other companies too. I think that the information is limited at times and if queries are sent to CCE they sometimes will respond and sometimes they won't. I think they are having a rough patch at the moment and suspect that EMC blindsided them. I hope that we get some more dialogue on what happened with valuation or perhaps an investigation will be undertaken to work out what happened if the CCE don't disclose in the end of year commentary.
Am I happy with the SP. Yes and no. My dollar cost average is about 5.6cents so currently I have a loss (not where I wanted to be right now). I am in it for the long haul and have always been here for CETO6 - hopefully this EMC debacle doesn't screw the company before the CETO6 is realised. I do suspect that SP will recover. If I had spare cash now I would be buying lots of shares to bring average down further. I think they are a good price and the potential for price increase is good if the CETO 6 works. If ceto6 can be implemented between the sea based wind turbines then those farms can significantly increase capacity and that would surely be attractive to the owners as they could utilise existing anchors. if ceto6 isn't reached then were in trouble. CWE (CCE) has always revolved around wave...
Am I happy they bleed millions - not really. but do i think the management are under achievers - no. I think prior to the EMC purchase they were running a R&D company with dreams of commercialisation and they managed to get a potential product in the water ceto5 that ran for a year without issues. They haven't capitulated like so many others - If the government keep providing grants and loans etc then surely there are analysts and accountants - people smart than i am - that are confident in the management. Instituions have been confident on them too. Recent SPP wasn't as good as in the past, so maybe institutions are as concerned as the HC guys (which is a small cross section of the holder register). I think that EMC deal was questionable at the time and I think that EMC has caused significant damage and it is easy to say management are stupid etc. We don't really know any of the details of what went down and I would be surprised if we didn't see some sort of investigation. Guess when we know more we can comment further.
I do hope that EMC hasn't hobbled CWE to the point they cant get CETO6 in the water. I hope that new buyers will see that there is a good potential for CETO and will tolerate a small potential drop in the next 12mths (lull) till CETO6 starts to appear on docks and foundations are installed etc. if Ceto 6 parallels ceto5 with SP then i'm sure there will be a few happy holders (especially if they bought now or were lucky to get in at 1.6c).
As I sort of answered yes to SP, I expect no words.... hehe
CCE Price at posting:
2.2¢ Sentiment: Buy Disclosure: Held
