I do not think it will have any bearing on the sp of IOF. The company is in the process of ramping up production so revenue will be rising into a falling price. Institutions cannot compare previous results other having a greater revenue. Another point to note is the change of established companies strategy when margins are being squeezed. A company could 'kill 2 birds with 1 stone here' Take out a competitor and reduce production costs. Still crossing my fingers that the sp stays in the current range until I can free up funds. GLA
RE: Sirocco Mining announcement
in same respects good but other ways not so good, if iodine continues to fall will have impact on income
Sirocco Mining announcement
Hi All. Below was a recent announcement on the Sirocco Mining website. Just demonstrates high cost producers will of course struggle. Good for IOF given their super low production costs and also knocks out a little bit of supply from the market. VANCOUVER, BRITISH COLUMBIA--(Marketwired - Dec. 3, 2013) - Sirocco Mining Inc. (TSX:SIM) ("Sirocco" or "the Company") reports that due to a softening of iodine prices, operation of the Agitated Leach Plant ("ALP") and Slurry Plant at Aguas Blancas, Chile, will be temporarily suspended and that the installation of the SAG mill and its commissioning will be delayed. Mining and Heap Leach operations will continue in 2014 with a forecast production of approximately 1,000 tonnes of iodine. Sales levels for 2014 are budgeted at approximately 1,300 tonnes, with heap leach production being supplemented by current iodine inventories. It is anticipated that the ALP and Slurry Plant will be restarted early in 2015 and that completion of the SAG mill installation will follow closely thereafter. The decision to suspend ALP and Slurry plant operations is effective immediately. The cost of the temporary curtailment of operations, including the layoff of 150 employees, is estimated to be approximately US$1.0 Million. The world price for iodine has softened over the last 12 months, primarily due to increased production from Chile, exceeding the growth in demand. In line with other Chilean producers the Company has made the decision to reduce production levels until the market returns to balance, which is expected by 2015. Commenting on the decision, Richard Clark, CEO said, "We regret that market conditions have necessitated a temporary reduction in iodine production and the deferral of the completion of the SAG mill installation. We are optimistic for higher iodine prices by the end of 2014 and into 2015, at which time we will complete the installation of the SAG Mill to realize annual production rates of over 2,000 tonnes. In the meantime, forecast production in 2014 together with existing iodine inventories will ensure continued supply of product from Aguas Blancas to its customers."
extra tower on IO.2
You could be correct about an extra tower on IO2. these are from previous RNS 20th Nov...........In the same announcement, it said it is continuing to assess the brine stream at IO#2 to determine the advantages of repositioning IO#6 to a location nearer to the company’s second plant. Aug RNS.............The Company has seen increased demand in manufacturing for the energy sector in the US as deliveries for the Company’s fibreglass equipment, especially towers, are at least four weeks longer than previously envisaged. An additional set of titanium towers have also been ordered and are currently being fabricated.
positive on next year
surprises me like surprises Hi madchick hope all's good with you and your investments, and to every one in IOF need to do some catch up, been preoccupied but still in. Think £1.60 is a fair price for what we have at mo, at a quick glance. next year will be a good one for IOF ,i didn't see much higher than £1.60 this year (delays hiccups ex )but do see us doubling this fig next year.(i hope unles i have missed somthing) time to do some reading not just on IOF SO if any one can do a crunched down Version of the last 4,5 months i will say thanks in advance.
RE: Taken from II
It's all a bit "my mate down the pub said...". However, there have been rumours of surprises (positive ones, I hope, although that hasn't actually been specified) to come and that's the first I've heard of "twin towers" -if I were to speculate, I would wonder if they could put an extra tower on IO.2 and get double production (is that possible?). Still, whatever happens, next year will be interesting as SURELY IOF will be able to start rolling out at a faster pace by then since it's just a matter of waiting for the parts to arrive, basically, and then watch the SP rise (we hope).
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