Iofina Share Discussion Threads

[superg1] 16/12/2014 13:54

Trav

That's a variable depending on which plants are contributing. EG io2 is clearly a very good site so if that is a main contributor then opex is lower, if others are slacking etc.

In June they did 30.5 mt and talked of it being a month of profit. 24.5 mt in another month and they didn't mention profits.

So somewhere between those two on break even.

325 to 350 falls below 30 but 140 of that was H1. So for H2 if they hit 325 it's 185 mt for the period with a rate of 36 needed for oct/nov/dec. 41 per month needed for the 350. They were on track half way through the period.

Hence while the market is a complete disaster across all sectors, I see no serious issues for IOF they have been ticking over making forward steps not flying backwards like most shares.

How many companies are going to report increased venue this year... not many,and certainly no one in iof's sector other than IOF.

They could appoint the best PR company in the world right now, there is nothing they could do.

Good news on any share right now just seems to save forced sellers a few quid.


So probably anything over 30mt pushed through the chem div across various plants would mean profit. If you had just io2 doing the donkey work with others turned off, the opex would be a lot lower. That's why opex will come down going forward by selection of higher rate sites.

In H2 costs were to come down further, something like 2 mill as I recall for H2.

[joestalin] 16/12/2014 13:50

Then it would follow that I am not talking to you.

[monkeymagic3] 16/12/2014 13:45

Are you talking to me? I dont think its undervalued.

[joestalin] 16/12/2014 13:44

PR is a waste of money unless it finds customers for the product. If you think the share price is undervalued, then buy some stock. That is how it works, surely?

[monkeymagic3] 16/12/2014 13:42

Do you know who else little old Yellow Jersey work for?

NightHawk and Brightside ring any bells?

"We are an independent London-based PR agency founded in 2009; ranked in the top ten, and nominated as ‘Best Financial PR’ in the country.

First and foremost, our skill and passion lies in intelligent media relations supported by complementary disciplines suitable for both private and listed companies.

Yellow Jersey stands apart from the rest because we offer exactly what every client has the right to expect – the counsel of an experienced senior team providing a tailor made communications product that delivers on deadline and promise.

We thrive on a challenging brief, rolling up our sleeves and getting the job done. We do not hide behind email – we pick up the phone.

We appreciate the importance of a good client fit, and only work with businesses that we understand and respect. "

Thats alright then.

[woodpeckers] 16/12/2014 13:38

Dontshout, sounds like it could be a waste of money then. It really is frustrating though to watch a company with such fantastic potential sink to these levels when a little more communication could work wonders.

[monkeymagic3] 16/12/2014 13:37

See Che, i'm growing on you!

[cyberbub] 16/12/2014 13:33

Trav, remember the 325mt is based on very low output in the early part of 2014. A more realistic whole-year figure to base calculations on is about 600mt.

[che7win] 16/12/2014 13:20

And green wellies to walk in the dung, tobacco pipe obligatory for the relaxing journey.Over the shoulder is slung a gold plated toaster, held in hand via opposable thumbs on much talked about plug.

[trav5] 16/12/2014 13:19

In my opinion the company need to be more open as to what thier operating costs are with the lower production figures which are well short of what they were predicting in 2013. I know there are some well informed poster's does anyone have any idea what the current operating costs are based on the predicted output of approx 325mt?

[monkeymagic3] 16/12/2014 13:16

Yellow Jersey?

Brown Trousers would be more appropriate.

[che7win] 16/12/2014 13:08

Yello jersey, the PR company has been found wanting....

[woodpeckers] 16/12/2014 13:05

Do we have anyone overseeing PR at the company? I appreciate that they tried to cut staff expenditure to a minimum but I for one would be more than happy to see a bit of cash spent in that direction.

I think the trouble is that the board we have have undoubtedly great experience in the fields of iodine and water, but little experience/interest in how the company portrays itself to the market.

[festario] 16/12/2014 13:05

He may well be in the process of doing that to us!

[roundup] 16/12/2014 12:43

No, the present management haven't done anything to support the share price. Maybe this policy is best known to themselves. Unless things have changes from what we were promised, then It is hard to understand why there are still shareholders willing to sell at these levels. They are not banking profits that is for sure.

[festario] 16/12/2014 12:43

At this rate, we'll have to organise a charity Telethon for Mr Big!

Is Bob Geldof or Terry Wogan available at the moment?

[che7win] 16/12/2014 12:37

Monkey,
we did over 40mt on 3 plants.

Our 6 plants should be producing at a minimum 600 MT on an annual basis, but who knows - the company is in hiding.

[freshvoice] 16/12/2014 12:30

And what have the current management done to the sp?

[cyberbub] 16/12/2014 12:24

600-700mt should be easily achievable if the existing units get a clear run IMO. The statement last year was made by an incompetent management, as we know to our cost...

[monkeymagic3] 16/12/2014 12:19

"The combined annual production rate from IO#1 through IO#6 is expected to be in the range 700-1,000 tonnes of crystallized iodine."

Almost a year to the day (16th Dec 2013).

[che7win] 16/12/2014 12:07

One other thing - study oil charts and you will see drops like are happening are very strong, but bounces back happen nearly as quickly.

The issue is US fracking is at record amounts whilst economies haven't grown as fast as expected.

Oil supply is only about 3% too much, not enough to warrant a 50% fall in prices. It's a one way ticket right now, BP, Shell, Chevron are cutting costs and expenditure very fast.

Chevron pulled out of Ukraine fracking deal, BP culling staff and projects, it's a welcome correction and sets the market up for recovery next year.

[che7win] 16/12/2014 11:54

ck is correct, oil price doesn't reflect on IOF.

If anything, it will reduce brine disruption in the short term, but oil wells run for 30-40 years, I've independently researched the water from the wells and it is indeed 7-10 gallons per barrel of oil.

Also, Bakken area water doesn't reduce at same rates as oil.

Our Oil companies supplying us have plans to continue fracking new wells next year and their plans are credible to me.

Only possible issue is 2016 when some suppliers may be taken over as I see consolidation taking place.
As far as I've researched, the O&G companies we are working with are well hedged on their oil for 2015.

Consolidation will take place between the weaker hands being consumed by the stronger.

Another side effect is that the O&G companies will be more keen to do business with us, and whats more to ensure we get good ppm brine supply as we reduce their costs.

That being said, I expect oil fracking to tail off in the US for new wells, indeed there are quite a few out there drilled and sitting.

Oil production will plateau in the US and I expect some of the drilling companies will suffer.

I expect costs to come down for them as they were paying high rates for drilling, our costs and employee retention might be easier.

I hear some of the profitable wells in the Bakken are rumoured at $24 - from a few reports.
It's interesting that the fracking where we are - costs aren't considered too much as oil was over $90 so they can do things a lot more efficiently - just as the gas frackers have become more efficient with the gas glut in the US lowering prices. Same will happen with oil.

[heartwell] 16/12/2014 11:45

Maybe UKIP will except a IOU note ?