RedChip Visibility, a division of RedChip Companies, announced that it has released a research update for H2Diesel Holding’s third quarter. H2Diesel, a developmental stage company, was formed early in 2006 and uses a revolutionary new technology to manufacture biofuel from renewable vegetable oil and animal fats. RedChip Visibility continues to reaffirm its “speculative buy” rating of H2Diesel and believes that the stock will appreciate in value as the company moves closer to product commercialization.
In the RedChip report, research analyst Neha Bhargava, MBA set a 12 month target price for HTWO at $11.00 and wrote that; “HTWO is heading towards commercializing its proprietary technology of making renewable biofuel by involving itself in various programs and test agreements. Two test programs at Dynegy’s Oakland Power Plant have already been successfully completed, lending credibility to HTWO’s technology.”
“Management believes a recent test burn agreement with Mirant Energy will add to its commercialization efforts. If the testing is successful, the two companies intend to negotiate a mutually agreeable purchase agreement for HTWO’s biofuel technology. During Q3 2007, the Company started its first biofuel production plant at the Twin Rivers’ facility in Cincinnati, Ohio, another step in its commercialization efforts,” he continued.
H2Diesel’s biofuels can be used for several applications including:
1. As a heating fuel to replace #2, #4 or #6 fuel oil in residences or institutions
2. As a power generation fuel to replace #2 or #6 fuel oil in existing power boilers
3. As a power generation fuel to replace #2 oil and kerosene in combustion turbines
4. As a motor fuel
The company has also been featured at Forbes.com because of its future potential. The three minute long interview with H2 Diesel President and CEO David Gillespie is available on demand at Forbes, or by following this link. The superiority of H2Diesels biofuel products is undeniable and if successfully marketed could make the company the leader in the industry.
Let us hear your thoughts below: