DynaMotive Files Q3 2000 Report
16 November 2000
DynaMotive Technologies Files 3rd Quarter 2000 Report and Comments on Highlights for the Quarter
VANCOUVER, Nov. 15 /PRNewswire/ - DynaMotive Technologies Corporation
(OTCBB: DYMTF) has filed its financial results for the third quarter of 2000.
President & CEO Andrew Kingston outlined highlights during the quarter.
"During the third quarter of 2000, DynaMotive continued to make
significant progress towards commercialization of the Company's BioOil
production technology," said Mr. Kingston. "We are on track with construction
of our new 10 tonne per day BioOil plant, have had very positive results from
programs to validate new biomass feedstocks, have begun new engine testing
programs and are establishing new operating subsidiaries to effectively
capitalize on potential markets for our technologies."
The third quarter performance reflects the Company's increased
activities. Revenues decreased on a quarter-to-quarter basis to $179,215
compared with $376,165 in 1999. Use of cash in operating activities on a
quarter-to-quarter basis increased in line with the Company's projections to
$599,687 from $464,776 during third quarter of 1999. The loss for the third
quarter of 2000 increased to $753,903 compared with $553,087 for the same
period in 1999 as the Company procured equipment required for construction of
the new 10 tonne per day BioOil plant.
The total assets of the Company as at September 30, 2000 increased to
$4,971,999 from $2,312,435 as at December 31, 1999, while cash and term
deposits for these dates increased to $2,128,402 compared with $223,769 and
liabilities increased to $1,017,561 from $892,850. The increases in total
assets and cash and term deposits resulted primarily from a round of financing
concluded in the first quarter of 2000.
Highlights from the 3rd Quarter 2000:
BioOil Plant Construction Update: During third quarter 2000, work
continued on the new 10 tpd BioOil demonstration plant to be located at BC
Research Inc. in Vancouver, BC. Construction is expected to completed by the
end of this year, followed by commissioning.
BioOil Feedstocks: BioOil from Bark: DynaMotive recently completed
production runs converting 100% softwood bark derived from spruce, pine and
fir into fuel quality BioOil. From a commercial perspective, demonstrating the
capability to produce a fuel quality BioOil from both bark and bark/white wood
blends is a significant milestone, opening up the entire wood residue market
to the Company's BioOil production technology. Bagasse 2nd Stage Test Program:
A second stage bagasse testing program is now underway following successful
production of BioOil from sugar cane waste bagasse earlier in the year.
BioOil Testing Programs: Testing of DynaMotive's BioOil has begun at the
Solar Turbines test facility in San Diego, California. Solar is a wholly owned
subsidiary of Caterpillar Inc. Orenda Aerospace: Testing continues on wood-
based and most recently, bagasse-based BioOil that DynaMotive has shipped to
Orenda. R&D: Testing on new BioOil injection systems continues at the CAMNET
Energy Technology Centre laboratories in Ottawa as part of a CDN $250,000
research grant from the Canadian government's NRCan department.
Canadian Operating Subsidiary Established: DynaMotive recently
announced the establishment of DynaMotive Canada Inc. to develop, build and
operate BioOil production facilities in Canada and to market BioOil as a
greenhouse gas neutral fuel in domestic and international markets. The newly
formed Canadian subsidiary has an experienced board and management team, with
a proven track record in technology development, energy, environment and
management. The Board of Directors is chaired by Ken McCready (former
President & CEO of TransAlta Corporation) and includes Dr. Jim Miller
(Chairman and former President & CEO of Inex Pharmaceuticals Inc.) and Andrew
Kingston (President and CEO of DynaMotive Technologies). Jonathan Rhone has
been appointed Chief Operating Officer.
DynaPower, Inc. Established: The DynaPower metal cleaning division has
been established as an independent operating subsidiary named DynaPower, Inc.
with a mandate to increase sales and expand applications and market reach for
the technology. DynaMotive will continue to hold the rights to the patented
DynaPower(R) and DynaSonics(R) technologies and will license these
technologies to DynaPower, Inc. Sales: During third quarter, DynaPower sold a
cleaning system to Sural S.p.A., Italy and completed delivery of wire cleaning
systems to three previously announced customers. New Patents: Patents were
filed in the USA and Canada for a new application of its DynaSonics(R)
cleaning technology that the Company believes has significant commercial
potential for ultrasonic cleaning of diamond or tungsten carbide wire drawing
dies. Following successful pilot scale demonstration of the cleaning speed and
effectiveness of the new system, significant interest has been received from
major die makers in the U.S. In-plant trials are expected to begin shortly.
Conferences & Trade Fairs. The Company showcased its BioOil technology at
the Renewable Energy 2000 conference and trade fair held in Brighton, UK July
1-4.