Iofina Share Discussion Threads

[superg1] 07/7/2014 10:43

You should take him with you, nothing but spin though.

[mister big] 07/7/2014 09:22

Thanks for the update on pimms strength - it certainly wasn't watered down in the presidents suite !
I'm off to queens club to play with Roy Emerson , Virginia wade and Annabel croft in an insurer day - last year I aced Annabel ( hit some nice serves too !!)

I love watching all the iof comment - short termism rules ( Netley , do you kick your dog every time you go past him just because you can !!!)

[freshvoice] 07/7/2014 08:59

Still no production update?
Is that good or bad? Or insignificant?

[cyberbub] 07/7/2014 08:08

When people start getting glum and desperate about prices, that's usually when the bottom has been hit and we start moving upwards...

[superg1] 07/7/2014 07:58

Good find Gad that confirms the rumour then.

It was said when Cosayach were hit hard back in 2011 they let down a lot of customers when their production went from 6000mt plus to under 2000mt. Any serious end user would want guaranteed supplies.

So when Cosayach started to increase production (water theft), they under-cut prices to attract buyers.

In theory with the recent charges Cosayach production should have dropped and looking into the future they will be using seawater.

A case of wait and see what happens to prices later in the year.

Water reform plans said to be announced in early August.

[che7win] 07/7/2014 07:22

Netley,
How's your 15p prediction going at MSMN?

[tim3416] 06/7/2014 21:50

No problem Gad

[gadolinium] 06/7/2014 21:46

Thanks for the clarification Tim, my apologies for drawing the wrong conclusion.

I shall delete my post.

[gadolinium] 06/7/2014 21:44

Super, post 22552:

'Some India supply is thought to be Cosayach who have been the ones under-cutting others'


I think Pantheon are distributors of Cosayach iodine and iodine products in India from the link below. It suggests they have 60% of the Indian market, which ties in with your comment above.

Although Iofina are not into bulk iodine sales yet, it is are ultimate aim to enter that market, so the iodine price is still of crucial interest to us and it is not just India where prices are weak, as the IM article points out.
----------------------------------------------------------------------------------


We, Pantheon are a partner of Cosayach, Chile. Cosayach is the world's second largest producer and supplier of Iodine. Pantheon is the marketing and distribution partner of Cosayach for N. America & Asia Pacific. Cosayach produces and sells about 5000 Mt/year of Iodine. Pantheon is responsible for nearly 70- 80 % of the sales, i.e. about 3500 – 4000 Mt/year. We have a leadership position in the Chinese and Indian markets with 60 % market share. Pantheon is the world's second largest Iodine distribution company. We have offices in India, Dubai-UAE, Nederland, Dallas-USA and Chile.

[woodpeckers] 06/7/2014 21:36

gad, I think Tim was referring to Typo's post "Hold on to your shorts!", not yours.

All serious investors here are aware that IOF can not only hold their own but benefit if times get tough when it comes to price of iodine.

[n3tleylucas] 06/7/2014 21:22

If that's true you are in profit... I'll await the warning ;)

[gadolinium] 06/7/2014 21:21

Post deleted due to misunderstanding by the author.

[superg1] 06/7/2014 21:20

Gad

To give you an idea.

The comment made by Algorta Norte when prices were $55 plus H1 2013.

"In this period the company had revenues of U.S. $ 56.2 million and an operating cost of $ 38.8 million"

So on the revenue side it looks like they did around 1000mt on H1 2013 at a cost of around $38 per kg.

Says it all really, for a company using seawater.

That comment was Sept 13, they haven't said a thing since.

SQM only opened iris and El Toco when prices went up, once they went below 50 they closed them again. That tells a story re costs for those, and why they had plans to move.

[superg1] 06/7/2014 21:05

Gad
Iof are not seriously into bulk iodine sales just yet. They will probably be on fixed prices on the chem div side on contracts.

We know that as when the iodine price took off IOF honoured contract prices as in an rns.

They obviously sell some as it was stated they sold some in June for $42 and talk of not much different now. I assume selling in the US, which involves lower shipping costs v Chile supply etc.

Some India supply is thought to be Cosayach who have been the ones under-cutting others.

[n3tleylucas] 06/7/2014 20:23

You have proven incapability of being self-funded, you will now prove that further.

This stock is poison.

[bogg1e] 06/7/2014 20:22

As long as we hit 40 tonnes per month with 4 plants, 50 tpm with 5 and 60 tpm with 6, we will be on target for 700 tonnes per year. I think the market is waiting for consistency in production to be proven, which will probably take a quarter, perhaps 6 months. The market is emotional, it only needs some consistent reassurance to start seeing IOF as undervalued. As long as we are able to maintain around $20 per kilo profit the numbers add up, ie financial disaster is avoidable re debts repayments, cash flow etc.

[1madmarky] 06/7/2014 19:06

Point taken Gad, but at the AGM Lance did state that the surplus iodine produced for June was sold at $42per kilo. We will have to wait and see, but it would nice to hear that our costs are sinking down into the low $20's

[n3tleylucas] 06/7/2014 18:51

Price wars rarely help the weak, there is one going on now... and you will need more capital to survive this.

[n3tleylucas] 06/7/2014 18:49

If larger producers are struggling then you are one RNS away from meltdown. You need a rising market, all this focus on Chile's problems is not good for you... despite what the rampers say.

Take note.

[tim3416] 06/7/2014 18:45

un necessary

[tim3416] 06/7/2014 18:44

Good job IOF are such a low cost up and coming producer of iodine then. Iodine prices aren't going to stay low for long if the larger producers are struggling with costs and scaling back production, especially given all that is happening in Chile. IOF's technology is going to be an attractive proposition to somebody! A bit of in necessary scare mongering going on today I think!

[typo56] 06/7/2014 18:33

Hold on to your shorts!