Call to Action: Lakeland Industries(LAKE) – Locked in some gains.

Locked in some gains in LAKE ($10.03) – In our 9/15/2014 call to action we stated we were taking a speculative position in LAKE when the stock was trading at $7.00 based on the U.S state department’s bid for 160,000 protective suits for the possible handling of the Ebola virus.  On 10/1/2014 when the stock was at $7.98, we once again mentioned we were long LAKE and possibly watching for trade opportunity due to the announcement of the first case of Ebola being diagnosed in the U.S.   We are still long LAKE and will look to unwind more of our position if shares reach around $12.

Here are the stories that the GeoTeam is following today… (Please see full disclosures at bottom)

  • ChinaHybrids
    • SCOK ($3.32; marked up to $3.55) – Issued update on construction and financing of underground Syngas project.  Initial phase of project will commence this month.  Company plans to fund the project’s initial $18 million cost with $6 mln coming from operating cash flow, $6 mln anticipated from bank loans, and $6 mln from proceeds of the co’s recent $14.3 mln equity offering.
    • GPRC ($0.63) – NASDAQ to delist GPRC.
    • JRJC ($5.39; marked up to $5.65) – Announced that it expects the Company and its Securities Master platform users will benefit from China Securities Depository and Clearing Corporation Limited’s launch of Yimatong, a unified brokerage account system which assigns an account to investors with existing securities brokerage accounts in China, starting October 8, 2014.

For more timely information, particularly during the daily trading session, we urge our members to read our message board posts daily.

Disclosure: Long LAKE ; Other Long Positions; Other Short Positions; Pump & Dump Positions (Password GEO2014)

Summary of general highlights:

On the Asian Front…

Sinocoking Coal & Coke (NASDAQ:SCOK)($3.32; marked up to $3.55)  – an emerging producer of clean energy products located in Henan Province, announced:

new developments in the construction and financing of its underground facility for the production of clean-burning syngas.

First, SinoCoking confirmed that the initial phase of construction on the project will commence this month and, when completed in March of next year, produce 60,000 cubic meters of syngas per hour. At this facility, to be constructed near the company’s four mines in Henan Province, SinoCoking will employ the patented underground coal gasification (UCG) and carbon capture and storage (CCS) processes developed and jointly owned by its two technology partners  the Institute of Process Engineering of the Chinese Academy of Sciences and the North China Institute of Science and Technology  both of which on September 9 granted SCOK the exclusive right to commercialize both processes.

According to Dr. Wenjun Li of the North China Institute of Science and Technology,

this underground facility will be the first in China to deploy both UCG and CCS technologies together in a commercial venture. Dr. Li, who has spent the last 11 years developing and testing these processes in mines deep underground and who authored many of the UCG patents, said he believed that the combination of both technologies would constitute “a leading scientific and environmental achievement” and permit China to,

“significantly accelerate” the pace at which it combats “destructive atmospheric pollution and global warming effects.”

In the UCG phase of the process, said Dr. Li, two wells will be drilled into the mine’s coal seam, with one well being used for injection of agents to ignite and gasify the coal in the seam, and the other well used to bring the resulting gases to the surface. These gases include carbon monoxide, hydrogen, methane, carbon dioxide and steam, the latter two of which are subsequently removed, leaving a syngas of carbon monoxide, hydrogen and methane usable as a clean-burning fuel or as an intermediary product that may be converted to fertilizers, solvents and assorted synthetic materials.

During the CCS phase of the process, he said, the removed carbon dioxide and steam are re-injected deep underground, where they further stimulate the coal gasification process and remain stored for decades, unable to contribute to global warming or atmospheric pollution.

The entire UCG/CCS process, said Dr. Li, is especially formulated to prevent the toxic groundwater contamination that has often resulted from competing technologies. This advance, he said, will be made possible by use of a patented drilling technology, specialized gasification agents, and automated systems that monitor and control the temperature of the gases traveling through the wells.

SinoCoking plans to fund the project’s initial $18 million cost with approximately $6 million coming from operating cash flow, $6 million anticipated from bank loans, and $6 million from proceeds of the company’s recent $14.3 million equity offering.

Guanwei Recycling(NASDAQ:GPRC) ($0.63) – manufactures and distributes low density polyethylene (LDPE) and other recycled plastics products primarily in the People’s Republic of China and internationally. announced:

that it has issued a delisting notification letter to Guanwei Recycling Corp. (the “Company”) (GPRC) due to the Company’s failure to file its Form 10-Q for the period ended June 30, 2014, as required by Nasdaq Listing Rule 5250(c)(1). The Company has not requested review of this delisting determination and, as a result, Nasdaq will file a Form 25 with the Securities and Exchange Commission to complete the delisting. The delisting will become effective ten days after the Form 25 is filed.

The Company’s securities were halted because the Company failed to disclose receipt of the delisting determination.

China Finance Online (NASDAQ:JRJC) ($5.39; marked up to $5.65) – a leading web-based financial services company that provides Chinese retail investors online access to securities, commodities and wealth management products, announced:

that it expects the Company and its Securities Masterplatform users will benefit from China Securities Depository and Clearing Corporation Limited’s launch of Yimatong, a unified brokerage account system which assigns an account to investors with existing securities brokerage accounts in China, starting October 8, 2014. The launch of Yimatong highlights the significant progress made in the current deregulation environment, allowing investors in China to open accounts in multiple brokerages over time.

Mr. Zhiwei Zhao, Chairman and CEO of China Finance Online commented,

“Since pioneering the concept of ‘Making Investment Easier’ in China, we continue to aim towards building a fully-integrated online securities-trading platform, where retail investors can have access to one-stop professional-level financial information and services. With recent deregulation achievements, going forward, investors with existing accounts trading accounts at other brokerages will have an easier path to migrate to other trading platforms, including China Finance Online’s financial ecosystem, strengthening our foundation for further monetization opportunities.”

For more timely information, particularly during the daily trading session, we urge our members to read our message board posts daily.

Sincerely,

The GeoTeam