Australia's largest biodiesel producer, Australian Biodiesel Group, has announced that it is looking to raise AUD$15.9 million (US$12.4 million) to launch a new business plan after a difficult year in 2006. The money will be via a rights issue at 5c per share which values the company significantly below its current share price.
Australian Biodiesel Group
A drought in Australia will have dire consequences soon for Australian Biodiesel Group, which is predicting a net loss of AU$10.8 million. The drought is affecting the availability of canola and other oils. Combine this drop in supply with a fall in the price of diesel and you've got the makings of a problem. Aust Biodiesel's September sales were at record highs, but lower than they could have been had the company been able to secure more biomass stock and deal with production issues. The compan