Sunday, November 7, 2010

techisbest elaborates further on his recent P2O factory tour & provides CEO's email comments

A few more comments ...

I did have to go past the guard house, shortly after crossing the railroad tracks that run behind the building on Iroquois Ave.

The last time I visited (a couple of weeks after the AGM) I had to meet John at a Wendy's. He is comfortable with giving out the address now that proper security is in place.,+niagara+falls,+NY&sll=42.897246,-78.778332&sspn=0.100856,0.222988&ie=UTF8&hq=&hnear=20+Iroquois+St,+Niagara+Falls,+Niagara,+New+York+14303&ll=43.079446,-79.015371&spn=0.001571,0.003484&t=f&z=19&ecpose=43.07931686,-79.015371,408.57,0,3.503,0

They are not yet begun to assemble the larger processors, but will as soon as the permit is granted.

John emailed me this about the two new processor drums:

Quote: 1) more surface area to transfer heat into the reactor.
2) screens to allow residue to accumulate higher between conveying it out.
3) number 1 is more important.

This is what John told me in an email when he invited me:

Quote:I’m traveling to feedstock sources a lot so I am in transit often now that the plant is on autopilot.

Feedstock is not going to be an issue. Nor will customers for the diesel and gasoline. Often they will be the same.

Here is what had been said in the original IsleChem PR (in addition to what is shown in the iBox:

Quote:The "near diesel" fuel is diesel with some extra light fuel fractions (gasoline range fuel). The extra gasoline can be separated at the Company's fuel blending site or our fuel can be sold to a refinery. The Company is working with Islechem to add an additional piece of hardware to the P2O processor to separate the extra light fuel (which is valuable) from the output fuel. The company has been able to shift the output fuel range from light hydrocarbon gasoline fuels to heavy oils.

The new condenser is the additional piece of hardware. The volatiles that exist after the first condensation are fed back to the second condenser. It's a simple solution. I saw gasoline poured out of the second condenser and diesel poured out of the first. You've seen the pictures.

15-20% of the 85-90% that is converted by the processor to fuel (8% off-gas, 1% residue) is gasoline. The remainder is diesel. The gasoline smells a lot like gasoline from the pump, but not exactly. Wait, let me check my signed jar (JB should have been a doctor). What do you know, still liquid and still smells similar to gasoline. And very clear.

JBII will not, initially, be selling its diesel for running in an engine. There are plenty of other industrial uses (think boilers and furnaces with fuel atomizers) for their diesel. And because JBII diesel has no sulphur, companies that use it will reduce their air emissions. And the same companies that need it for this use will have plastic waste. They will get JBII diesel for a discount to market prices.

Symbiotic relationships.

John did say I could have it tested and I would find it is "gasoline with some light ends." "Light ends" are typically butane or lighter. That's probably what I am smelling.

If someone wants to pay to have it tested I would be willing to talk. But I am happy without taking on that expense myself.

This is a new process that the DEC has not seen before. That is part of the issue - they don't know how to evaluate it.

I was told that the application for the permit was in right after the stack test, but that it was lost for a while because it was sent to the boss of the person doing the evaluation.

Once the permit is approved they will be able to expand immediately throughout western NY.

I was there with six other investors. Also while I was there a gentleman showed up who is going to be managing a fund the company is starting. A fund? Yes, a fund that will promote science and education.

Clearly John plans to have his company be around for a while.


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