Update on the commissioning of Moema. They were hoping up to the last minute to be able to announce shipping of product at the CC so they must be very close. They still expect to be able to announce this in the next 8 weeks.
Commissioning is continuing at the Moema facility, production equipment fermentation through Encapso downstream is commissioned and operable as is fermentation including the 625,000 liter fermenters and in fact, we’ve successfully inoculated fermentation in the 625,000 liter fermenters multiple times. However, our facility has been experiencing, intermitting power and steam availability resulting from the start-up of a new cogent facility at the adjoining Moema sugar mill.
This intermittency was unexpected and while we don’t see reliable availability of power steam as a long-term issue. We’ve not yet been able to complete production of our first commercial product. It’s a big disappointment, not to be able to report from our first commercial product for Moema today. We were really hoping to do that right up to the wire. But as we’ve said many times, starting a large industrial facility can be an unpredictable process.
Most of the plant is operational,
Key upstream functions are online and we’re making good progress and completing work on oil recovery. Recovery capability through finished Encapso product is now operational and we’re commissioning the oil extraction units that lead to finished oils.
Completion of this final stage of oil recovery has taken longer than anticipated, but we’re targeting completion and operation of the full oil recovery processes this quarter. As these processes come fully online, we’ll be following the same path as you’ve seen follow at Clinton/Galva, in terms of our focus on establishing consistent operations.
Regarding their progress in scaling up Clinto/galva their first major facility, located in the U.S.,
One, we’ve already demonstrated the ability to produce multiple oils at scale, including high value oils and products. Two, we’re shipping in commercial quantity to growing number of customers, including repeat customers. This means, we’re making good progress in building trust and reliability. And three, our oils are being tested and used effectively in multiple end markets,
In the bigger picture as developments like Encapso should indicate, we’re focused on prioritizing an aggressively pursuing high margin, specialty product application. We believe that we have an enormous opportunity to disrupt many markets from industrial oils, the nutrition; it’s again, in personal care to our newest target industry oil field services.
1dms -long a very full position in SZYM