It’s worth remembering that IOF have shifted their strategy from just having production facilities that process brines as they go into the SWD’s.
With Ovintiv they are part of a process that recycles water in a closed loop system that means they have the ability to build bigger plants.
Tom did say in one interview they could end up with 2 plants next to each other.
I don’t think they have communicated this shift particularly well. |
Summary -
All figures now in for Jan, some Feb.
Chile production down 6% in 2024, same rate in Jan 2025 as Jan 2024.
Chile export tons up 18% in 2024 (SQM stock). Well down in J / F 2025. 41% down on 2024, 19% down on. 2023.
UK imports tons down Jan 25% almost all from Turkmenistan. Small amount from Chilean eurpean agents. Agents price $72 - 75. |
Obviously with supply restrictions this will affect production figures.
With supply of brine being outside the companies control, this will restrict the companies ability to grow, which probably reflects lack of interest from investors.
No matter how many plants they build output will often be between 100/150t per plant. |
IOF has to work with brine supply volumes. There aren't that many disposal sites doing the volume needed for a 100 - 150t plant. If they found an even larger supply with the right ppm and the disposer would do a deal they would put in a larger plant. Size is related to available volume. |
I don't believe IO11 is anything other than a conventional 100/150mt plant, back in October the sentence 'developments will be disclosed as it progresses.' raised expectations that maybe this plant might be different. The update in Jan just mentioned progress and a Q3 finish so no "developments" just progress. If the don't get IO12 signed and construction underway Q2 1000mt will not be on the cards until 2027.
Developments could refer to production overall ref. From 4mins in |
What's the big secret ??If it's big then let us knowSo frustrating |
Very little detail on IO#11 so far.
Fastmarkets confirming spot price around $73.5/kg at the moment. |
Not yet I don’t think |
Did we ever find out the size off io11?? |
I think Chillpill is right regarding Sneller and Newlands. I would also hazard a guess that they anticipate the start of the upward reversal in the not too distant. |
Thanks, Chillpill. Encouraging. |
I would add the 2 largest shareholders RS and DN would not have been adding recently if they didn’t think £1 was achievable. |
Beef,
It is very possible but not immediately. They now appear on a relatively predictable pathway of increasing production by 100-150t.
The issue for me is margins. I think you are looking at around 20%. Why has that happened when the iodine price has risen and trading at a high? Some is because all costs have risen- that’s understandable.
The main problem is volumes going through the “value adding” Iofina Chemicals has been falling but expected to start rising again from this year.
If they can double the margins back to the 40% level whilst maintaining the production increase then yes £1 is very achievable. |
Thanks for the heads up chillpill.
Yes, page 18.
March 2025 presentation - slide 12/18
Nueva Victoria: 900 l/s seawater pipeline to be ready in 2026, thus increasing yields.
SQM chart looks quite good for a recovery.
Iodine is 39% of their revs. Lithium is 43%.
Slide 11 very interesting to see sales volumes and prices. |
Chillpill:
With all that growth forecast, would you remain a member of the £ 1.00 club?
I was an enthusiastic founder member.
I am considering a revival.
The previous date was 1 Jan 2024
Any suggestions on a new date ? to reach £ 1.00 |
Just looking at the new SQM presentation. The new pipeline will be completed next year- last I saw was Q2 -this will enable them to expand NV by 2500t pa between 2026 and 2030.
In addition they are bringing an old high cost resource (PDV) back online producing 1500t pa to meet market shortages.
As they say they are the only ones expanding to meet the 13,000t of extra production required by 2030.
“The global iodine market is projected to experience steady growth over the next five years, driven by increasing demand across various industries. According to a report by Mordor Intelligence, the market is expected to grow from 42.87 kilotons in 2025 to 55.97 kilotons by 2030, reflecting a compound annual growth rate (CAGR) of 5.48% during this period.” |
Who said I've zold any? I've only done what the major inveztors have done on a smaller scale. I've only been adding and will do so again. I'm happy enough with current circs, more than |
Facts are the company shot itself in the foot with the water fiasco, not to mention they could have issued 10m shares at £2 wiping out debts. But no, they waited until the Sp is worth FA which caused a massive dilution for long suffering shareholder.
TC so its you that keeps pushing the price down stop selling...is my advice. |
Thank you Serratia, backs up my thought, I have never been convinced they are in huge salaries! Huge compared to average salaries, yes of course, huge for that type of role and size of company, I would doubt but never spent time checking. |
I like this kind of 'boring' company which has a P/E of 6, has more than doubled revenue in the 5 years from 2018 (when it was loss making) to 2023. Record production for 2024; up 13.4% from 2023. |
Now now Serratia, stop talking sense! |
I think its fair to say some of us have, more are down. Look no-one here is running away from facts, it's been slower than we all wanted and ultimately quite frustrating. That said, if you have funds and time, this should have plenty of upside. I've been in many years, starting at 7p. I have time and can wait a few years more for this to go where I think it will with a few more plants. There's a reason why iofinas biggest shareholders keep adding, getting cheap shares off frustrated and impatient retail investors |
I did think we were due a talk down Tuesday |
 Hmmm....ok, I have made money from this share but I admit I am bored as hell with the stock and I am amazed at how long some of you have stuck it out. I did make the mistake of not starting to sell at the 35p mark. We all make mistakes.
Currently, I am selling £2.5k a month because of boredom. I think the growth rate of 1 plant a year is totally dismal. The only way they have been able to progress forward and clear a lot of the past issues (before my time so don't know the history in depth) is because of the rising iodine price. I do not think clever management has much to do with it. I do not doubt that Tom is a clever man, but he should not be CEO of any company, but I do feel he is an asset to Iofina.
Also as a little thought, I do not think I am in extreme minority. I know quite a few that have done some decent trading on IOF. Not everyone posts on bulletin boards. I post very infrequently nowadays because people seem incapable of having discussions on any of them, without getting personal or childish.
There is more to life than anonymous bulletin boards.
Wishing all holders luck. |
So your in profit TC |
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