I bought another parcel this morning @ 1.315. I regard the news...

I bought another parcel this morning @ 1.315. I regard the news of Novacq as very important, perhaps a company-maker.

RIC enters an alliance with the CSIRO to research Novacq applications beyond prawns and crustaceans. Both clearly think it beneficial in growth rates and feeds conversion for fin-fish and land animals. No doubt they have fed it to a few cows and chooks with useful results. If proven, the value of RIC stockfeed to farmers just went up. A lot.

RIC has extended its SE Asia licence to an exclusive global licence ex Vietnam and China for Novacq.

CEO Tim Hart said in last night's announcement:

“Whilst we have limited technical data to support our enthusiasm, we have secured the opportunity to extend the application of NovacqTM beyond prawns and other crustaceans. We believe there is a reasonable likelihood that NovacqTM can have a positive application in other species, not only in the most likely application for fin fish, but also potentially for land-based animals. Improvement in growth and survival rates at a fraction of what we are seeing in prawns, could similarly revolutionise the poultry industry for example, where very small improvements in Feed Conversion Ratios lead to significant commercial returns due to the sheer volume of birds being processed on a daily basis.”

In RIC's ASX announcement of 16 January, Hart said:

“While we are very excited by the recent acceleration of activity, the continuing improvements being made, and by the data we are compiling from all facets of the project, the extent of the shareholder value we can extract from this unique, once in a lifetime opportunity, is still beyond any meaningful quantification at the present time. That said, we are confident that the project will deliver positive returns for a properly managed capital outlay and we are therefore proceeding with the value realisation strategy as expeditiously as possible and within the confines of our stage gate applied R&D approval process.”

Ash here.

These statements are cautious and genuinely excited. RIC has a blue sky opportunity here of unknown magnitude.

I initially bought in on the potential of RE realisation in Geelong, which is delayed but continues. I think this Novacq opportunity towers over that.

Read the announcements, watch the video.

GLTAH

Ash