LONDON (Alliance News) - Natural fertiliser producer Harvest Minerals Ltd on Monday said it is "pleased" with the way its sales have been going in 2019.
The company, issuing correspondence with shareholders in the last few months, said its focus has been on "driving sales" through distributors.
"January to April is the quiet period for our main markets, but now we have entered the start of the key buying period, sales are increasing as expected," the company said.
Harvest Minerals said the key buying season for its main crops - coffee and sugar - is between May and October. Coffee currently accounts for 55% of the company's sales, followed by soybeans at 28%.
"However, we have been getting good traction with several sugarcane producers and believe that sugarcane could become a major market for us in the near term," the company added.
Harvest Minerals continued: "In addition, as KPfertil is a new product, we don't forecast sales numbers as one or two big orders in a particular period can heavily impact the sales forecasts."
The company said it is looking to develop "several new products" around KPfertil, but Harvest Minerals "immediate emphasis" will remain on generating sales for its base product.
Replying to shareholder concerns about the company's plant, Harvest Minerals said: "We are very happy with how the plant is operating. During the wet season when there are fewer deliveries, we have been processing stockpiled mined ore as required and the plant has been able to operate above the name plate capacity on a consistent basis.
"The plant has been able to process material above capacity and therefore no further work required to optimise it. The last specific work we carried out on the plant was switching to grid power and the only new work we have been carrying out has been to increase the product storage and ore stock capacity."
Harvest Minerals said it has completed all the necessary work for a mining permit and is now waiting on the Brazilian Department of Mines' decision.
"It is largely out of our hands, but we remain hopeful of receiving an affirmative decision by year-end," the company added.
Shares in Harvest Minerals closed down 1.6% Monday at 6.00 pence each.
Harvest Mi (di) (HMI)