REG - Iofina PLC - H1 Update

IofinaAnnouncement

16/07/2024 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240716:nRSP4858Wa&default-theme=true

RNS Number : 4858W  Iofina PLC  16 July 2024

16 July 2024

 

Iofina plc

("Iofina", the "Company" or the "Group")

(AIM: IOF)

 

H1 2024 Corporate Update

14.3% Increase in Crystalline Iodine Produced v H1 2023

IO#10 on Track for Q3 2024

Iodine Prices Remain Strong

 

Iofina plc, specialists in the exploration and production of iodine and
manufacturers of specialty chemical products, today provides a brief update to
the market regarding its activities during H1 2024 (the "Period").

 

The Company continued to perform as expected during the Period, with Iofina
Resources producing 276.1 metric tonnes ("MT") of crystalline iodine from its
six IOsorb® iodine plants in Oklahoma as output is traditionally lower in the
first half of the year due to less favourable weather conditions. The Company
did experience an increase of 14.3% on H1 2023 (241.5 MT) and was within the
Company's target range of crystalline iodine production.

 

The Company was able to bring longer-term brine supply stability, with
multi-year agreements for the supply of iodide-rich water to two of Iofina
Resources' current IOsorb® plants in the Period, enabling consistent iodine
production at both plants. Iofina is now working with this partner to
potentially bring additional brine to these plants.

 

Iofina's latest build, IO#10 continues to progress well and is on track to be
operational in the latter part of Q3 2024. IO#10 is expected to make a
material contribution to crystalline iodine production in the second half of
the year, with the capacity to produce 100-150MT per annum.

 

Negotiations with the Company's preferred partner for IO#11 are advancing
well, with the current aim of commencing the new plant's foundation work
before the end of 2024.

 

Based on current production levels and the addition of IO#10 in Q3 2024, the
Company anticipates production in the second half of 2024 to be in the range
of 355 MT - 380 MT. The total production for 2024 will be dependent on both
the start-up date and the rate of ramp-up for IO#10.

 

Demand for Iofina's iodine remained strong throughout the Period and was
supported by the customer base. The Company's sales channels remain robust in
the current economic market with crystalline iodine, iodine derivatives and
non-iodine derivatives products all performing in line with the Board's
expectations. The iodine spot price has remained steady in the mid-sixties USD
per kg and current indications are that prices are likely to modestly rise in
H2 2024, with present iodine demand exceeding supply.

Commenting, President and CEO, Dr. Tom Becker, stated:

"The management team has been focused throughout the period on delivering the
planned step-change in growth, so we are pleased that IO#10 remains on track
to be switched on in the third quarter, whilst also advancing negotiations
with our preferred partner for IO#11.

 

"At the same time, we have been working to ensure consistent output from our
existing plants, with production up 14.3% in the first half compared to the
same period last year. Additionally, we are working with multiple partners on
projects to possibly improve brine supply at several existing plants.

 

"By executing our growth plans combined with the encouraging news in the
expected strength in iodine prices, we are excited by the outlook for the rest
of the year."

 

Enquiries:

 

Dr. Tom Becker

CEO & President

Iofina plc

Tel: +44 (0)20 3006 3135

 

Nomad & Broker:

Henry Fitzgerald-O'Connor/Harry Rees

Canaccord Genuity Limited

Tel: +44 (0)20 7523 8000

 

Media Contact:

Charles Goodwin/Shivantha Thambirajah/Zara McKinlay

Yellow Jersey PR Limited

Tel: +44 (0)7747 788 221/+44 (0)7983 521 488

About Iofina:

Iofina plc (AIM: IOF) is a vertically integrated company that specialises in
the production of Iodine and the manufacturing of specialty chemical products.
Iofina is the second largest producer of iodine in North America and operates
the manufacturing entities Iofina Resources and Iofina Chemical.

LEI: 213800QDMFYVRJYYTQ84

ISIN: GB00B2QL5C79

 

Iofina Resources

Iofina Resources develops, builds, owns, and operates iodine extraction plants
using Iofina's WET® IOsorb® technology. Iofina currently operates five
producing IOsorb® plants in Oklahoma and is consistently using technology and
innovation to improve and expand its operations.

 

Iofina Chemical

Iofina Chemical has manufactured high quality halogen speciality chemicals
derived from raw iodine, as well as non-iodine-based products.  Iofina
Chemical celebrated its 40(th) anniversary in 2023 as a preeminent
halogen-based specialty chemicals company.

www.iofina.com (http://www.iofina.com/)

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  UPDEAXXSFFSLEFA