BioLargo Inc. (BLGO:OTCQB) has a handful of catalysts on the horizon, which its president and chief executive officer (CEO) Dennis Calvert discussed in a recent interview with Chris Temple, publisher/editor of The National Investor. The California-based company invents, develops, and commercializes innovative platform technologies in disparate sectors, including energy, healthcare, water contamination, and industrial odors, which solve challenging problems.
"BioLargo is one of my favorite story stocks," said Temple, who has recommended the company for more than a year. "With several moving parts, several very intriguing businesses, it has pretty much put together a portfolio itself of a number of businesses and opportunities that over time we hope it will monetize."
The Catalysts: Many Shots on Goal
1) Battery production. This month, BioLargo plans to start manufacturing its proprietary sodium-sulfur, long-duration energy storage battery at its recently completely small-scale facility in Tennessee, at which 30 million (30M)-plus cells can be produced in a year, Calvert said.
These are not batteries for use in electric vehicles but, rather, batteries for energy storage, he noted. As such, two sizes will be made: one about air conditioning unit size and the other, trailer size. These batteries are safe and do not have runaway fire risk, do not seep energy over time, and do not contain in-demand metals such as rare earths, cobalt, nickel, and lithium, explained Calvert. He said he expects to receive battery orders ahead of manufacturing.
Calvert pointed out that the potential opportunity with its battery is material.
"You could do 20 of those little projects [production at a small facility], and you've got US$100 million ($100M) a year flowing through this business," he said. "And, of course, it's technology that others are going to want."
2) Partnership deal. Now, with 510(k) clearance from the U.S. Food and Drug Administration for its Wound Irrigation Solution product, BioLargo's subsidiary, Clyra Medical, is seeking a partner to commercialize it, said Calvert. Clyra is currently in talks with potential global partners.
"We think we've got a good shot to head into success in Q1/24," he added.
3) New products launch. BioLargo owns the technology platform behind the successful Pooph pet odor eliminators, Calvert said, which could be applied in many other industries, such as sports, automotive, industrial, general household, and nursing homes. The company has many other new products in its portfolio.
"I can't let the cat out of the bag yet, but they're coming like any minute," said Calvert.
4) Revenue from the first project. Calvert expects the company to start receiving revenue in Q3/24 from its first PFAS remediation project, which is estimated at US$0.5M. The work involves installing BioLargo's Aqueous Electrostatic Concentrator (AEC) at a water treatment facility in Stockholm, N.J., and, with it, removing the harmful per- and polyfluoroalkyl substances from the water.
Calvert highlighted how the AEC technology produces significantly less waste than the currently used carbon system, three to five pounds versus 88,000 pounds per year, for example, and thus is much less costly.
"We're getting a swell of interest now in the technology because we have value propositions that others simply can't match well," added Calvert.
The opportunity in PFAS remediation goes beyond water, Calvert said, as these contaminants are ubiquitous in food, landfills, cosmetics, pharmaceuticals, oil, and gas, to name some areas.
Streetwise Ownership Overview*"You guys have got a tiger by a tail, and that tiger is just a world-class business opportunity," Temple said. "This is huge."
Ownership and Share Structure
As for BioLargo, insiders own 14.36% of it, according to Reuters. The Top 4 insider holders are Chief Science Officer Kenneth Code with 8.67%, Calvert with 3.41%, Director Jack Strommen with 1.49% and Officer/Director Joseph Provenzano with 0.61%.
The company has one institutional investor, First American Trust, which owns about 0.04%.
Retail investors own the remaining 85.6%.
BioLargo has a 289.5M outstanding shares and 247.9M free float shares. The company's market cap is CA$53.27M, and its 52-week trading history ranges from CA$0.15−$0.24 per share.
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- [BioLargo Inc.] is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000.
- As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of [BioLargo Inc.].
- [Doresa Banning] wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor.
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