Seems the global food shortage and energy shortage is far more important to the way in which we look to utilise our land resources than this company gives credit. There is no doubting oil mallees will have a role in the cropping patchwork across the southern cropping zones, but planting solely for carbon sinks relies on subsidies (read donations coming from mining companies looking for PR benefits). The most exciting market for oil mallee trees lies in the biomass to liquid fuels market but you need to be able to cut the mallees down.
Its not rocket science, in a carbon constrained world you simply can't afford to produce carbon and not send it to market unless that produced carbon is the organic infrastructure necessary for further food or fuel feedstock production.
Share price reflects the lack of excitement with this model.
Sandalwood industry here in WA continues to outgrow the mallee industry with a fraction of the resources thrown at it by the government and publicly listed companies. Not surprising when you consider the tree produces valuable oilseed. Who'd of thought? You can actually create carbon sinks that also generate essential commodities?
COZ Price at posting:
0.0¢ Sentiment: LT Sell Disclosure: Not Held
