Mark Duff: We can do 30,000 gallons a month as of tomorrow, our permits in our facilities to support that throughput. And we can expand that through a minor permit mod and some minor capital improvements up to 1 million. And with some additional mods, we can get that up to several million. But right now, about 300,000 gallons a year is where our current capacity is, whenever DOE is ready to go.
Howard Brous: And this is standard treatment margins again?
Mark Duff: Yes, that’s correct.
Howard Brous: And would you need additional people to process this?
Mark Duff: Up to 300,000 gallons would be about 25 people in total, to run that operation. And a lot of that depends on how fast we’re receiving the waste, whether we go to a second shift or a third shift, or whether it’s over a longer period of time, which we’ve done in the one shift. So that will vary. But 15 to 25 people is probably a good estimate if we were running at full 30,000 gallons a month.
Howard Brous: 30,000 gallons a month. If you just did that, you’re talking about $0.75 a share, give or take. And go full capacity you can be talking about…
Mark Duff: I could verify those numbers, Howard, but that sounds like potentially about right.
Howard Brous: Alright. Everybody is going to be wanting to talk to you lastly about ITDC. We’re expecting a decision momentarily. Is that a correct statement?
Mark Duff: The DOE has been very difficult to pin down in regards to the schedule and the procurement. Right now, DOE has been consistently saying I’ve been hearing that €“ it will be some time in €“ by the end of Q1, which obviously is only a week away. So I have to believe it’s sometime in Q2 for both ITDC and the OSMS. OSMS, they have been more vocal about an award in the May time frame. But the ITDC, I’m going to assume, Howard, is any day. And €“ but likely in Q2 or at least in April time frame.
Howard Brous: The OSMS is a disappointment, is that the one.
Mark Duff: That’s €“ yes. That’s the DUF6 management contract and as well as infrastructure contract together.
Howard Brous: Assume for the moment that your group wins the ITDC contract, which we all hope you do, what does that mean to you other than 15 years, and it’s $45 billion? You’re not doing $45 billion. But what could you be doing as a part of it? And the second question to that is, if you lose because you’re a small business, will you still participate?
Mark Duff: Yes. It’s very difficult to answer the question €“ the first question, Howard. This as I’ve told many investors, this procurement is quite unusual. And it’s so large and so complex, we did not require a baseline schedule or a baseline cost estimate. Which means that there is very little costing provided in very less detail on what each firm, each team member is doing specifically. So it’s like a closure contract in that you will negotiate €“ the winner will negotiate task orders for all the components of scope during the transition period. At that time, you’ll understand which pieces of the scope specifically you’re going to be contractually required to do, how many people are going to come with it and that type of thing.
So, none of that will be defined by any of the winners until after transition is off and running. So I really can’t answer what the overall financial impact is. As a small business, as I mentioned as well in the past, there is a very significant small business set-aside requirement for the winner, a formula of overall revenue. But generally, the small business set aside goals average about $200 million a year, $200 million annually for small business goals. That’s a pretty significant amount. And we still remain a small business, qualified to do that. So to the second part of your question, if we were not selected, we would certainly be a very viable way for the winning team to meet their small business goals as well as provide the value proposition we provide to our team.
