RE: Capital25 Apr 2019 10:15
Read the RNS Fosters. Its dependent on the downstream sale price, but its better than all the previous ToRPs
"The pricing mechanism in the Agreement is linked to the downstream pricing received by BAST on the sale of POLY4 in Europe. The price received by Sirius under the Agreement is determined by the price received by BAST with reference to benchmark pricing and the nature of the final BAST customer. BAST is incentivised to sell the product further down the value chain (i.e. closer to the farmgate) and to optimise the best FOB netback price for Sirius.
The Company expects this partnership approach to pricing to deliver it the highest prices across its current supply agreement portfolio. Based on prices implied for POLY4 by current farmgate prices of polyhalite and similar products in Europe, this Agreement is expected to deliver prices to Sirius between the current offtake agreement levels and the full nutrient value of POLY4."