Wednesday, December 12, 2012

Market Mantra
The speculative scrip,  Vikash Metal and Power Ltd hits another buyer freeze in the opening trade. Please understand this is a speculative buy and  hence take precautions. 
Now buy Southern Online Bio Technologies Ltd at Rs.2.36--2.42......T--Rs.10, L---Rs.1.90--1.70. 
The Company has two Biodiesel Units:
(i) One is at Samsthan Narayanpur Village & Mandal, Nalgonda District with 30,000 Liters per day capacity
(ii) The other unit is at APIIC-SEZ, Atchutapuram, Rambilli Mandal, Visakhapatnam with 2,50,000 Liters per day capacity.
The Company has been supplying biodiesel to various well reputed customers like Kirloskar Oil Engines, Panama Petro Chem, Ipsa Texchem, Sovino foods Pvt Ltd, Real Bakers Pvt Ltd, Anand foods Pvt Ltd, Parle group, Evergreen Energy Inc., Witmans Industries, Biking Foods Pvt Ltd and other traders etc

Having experience in setting up two Biodiesel units, now the company has got an order from Indian Railways Organization for Alternate Fuels (IROAF), Ministry of Railways to set up/ construct, maintenance and operation of 30 tons per day capacity biodiesel unit at
Tondiarpet, Chennai. The Company has started implementing the Biodiesel project for IROAF. The progress of execution of the project is satisfactory and is expected to be completed in FY14. Now the Indian Railways has started using the oil (blended with diesel fuel in various ratios) from the Jatropha plant to power its diesel engines which was great success. Currently the diesel locomotives that run from Thankavur to Nagore section and Tiruchirapalli to Lalgudi, Dindigul and Karur sections are using Biodiesel  (petro blend of jatropah oil). Now since the Indian Railways have started to look  up, after the exit of Mr.Mukul Roy and TMC, this could have direct bearing on the finances of the company.