Coates International Ltd (OTCMKTS:COTE) is living up to its promise of developing the most advanced green internal combustion technology. The move to evolve the internal combustion technology has seen the stock soar from lows of $0.002 a share to current trading highs of $0.01 a share.
Production Plant Expansion Plans
Demand for the company’s CSRV 150 KW natural gas generators and the 35 KW propane generator sets remains high. Coates International Ltd (OTCMKTS:COTE) has on its hands receipt of orders totaling $50 million for its wide array of products.
Production for the CSRV natural gas electric power generators has already started as Coates International Ltd (OTCMKTS:COTE) moves to meet the growing demand. The company may be forced to increase the total number of skilled workers at its plant in New Jersey as it looks to ramp up production for the growing demand. There has also been talk that the company is looking for a suitable production plant as it anticipates demand for its products may be high for the handling of the current facility.
Coates International Ltd (OTCMKTS:COTE) has been in serious financial problems in the recent times, but $50 million worth of orders should be more than enough to offset any financial burden going forward. However, if history is anything to go by, it would be appropriate to maintain a cautious approach towards the stock.
CEO, George Cotes, has in the past been the subject of allegations of walking away with investor’s cash, a matter that was the subject of an SEC scrutiny. The recent quarterly filing was just a highlight of the kind of mess Coates International Ltd (OTCMKTS:COTE) finds itself amidst the imminent orders.
Cash balance for the previous quarter stood at $72,622 a no match to liabilities amounting to $7, 149,211. Revenues came in at a mere $4,800 plummeting the company to a net loss of $2, 814,769. The company is not out of the woods yet, but it will be interesting to see what impact the $50 million orders will have on the stock should they be filled.