This refers to some of the previous posters comments without showing quotes...
I saw this yesterday and some of the comments made me laugh, it is a good announcement and people are still moaning about the company. Hopefully this is a snowball that start an avalanche of project announcements. This was mentioned in the SPP reminder announcement - which is probably why it was released now.
EMC is going to show a profit this half. So that's a good thing.
The contract price is up to 4 Million. I guess the price was 3 million but there could be variations that they are claiming (as contracts usually incur). So we can infer that the cut to CCE will be ~2Million if it's a collaboration with LLC or 4million if a sole EMC project. They are disclosing that there will be income/ profit forecasts for the projec. Would be interesting to see what the cost breakdown and profit is. Without seeing the project accounts we will never know, and just have to accept what they've disclosed.
With regard to income - I suspect there have been progress payments made for completing the project stages - ie site works, pv install, bess install, practical completion, handover etc. hence why the final payments till be in 2nd half of year (after handover).
The Solar component is complete and the remainder of equipment is being installed now - a good thing.
The guys who keep say they're out - just sell and move on. Take the loss on your tax if you're down. Be thankful you can still trade the stock and get something for it (while it might not be what you bought for). i have EVM and cant do anything with it. CCE is a long term prospect. Ceto6 is going to drive this company if it works and until then this company will stagnate (unless microgrid uptake takes off before then) . The microgrid business is primarily working for governments (or government linked companies) at the moment and these projects usually will be over 2 budget periods, 1 if you're lucky, so it could be treated as "blue chip"esque income. Hopefully the microgrid business generates income till Ceto6 and beyond. I hope that if Ceto 6 works at full scale and they can have two income streams.
If Ceto 6 takes off and gets good traction perhaps there would be potential to go back to just doing wave.
CCE keeps saying EMC is a 100% owned subsidiary so there is potential to sell that business if it doesn't pan out at as well as expected. A couple more months and we'll see a more comprehensive full year results.
Obviously better to have eggs in multiple baskets for now. Hopefully both income streams are successful.
Take the "win" today (yesterday)...
CCE Price at posting:
3.0¢ Sentiment: Buy Disclosure: Held
