Iofina Share Discussion Threads

[superg1] 14/6/2013 11:31

Nice one monts.

I hear we may read something elsewhere soon too, a maisie dog sort of thing.

[neddo] 14/6/2013 11:27

wenesday coming round very quick ,

[neddo] 14/6/2013 11:26

nice read monts.

[n3tleylucas] 14/6/2013 11:18

Old Mutual is a UK based multinational financial services group, with its origins in South Africa.

[monts12] 14/6/2013 11:09

Transcript of the CF interview

Q&A: Iofina raises funds to accelerate roll-out of plants
By Charlotte Kan June 14 2013, 10:51am

Iofina (LON:IOF) has started to produce iodine from its plants in North America from the brine taken from onshore oil and gas wells.

It has recently issued a convertible bond, at a coupon of just 6.5%, suggesting that it is a company worth looking at in greater detail.

The following is a transcript of an interview Dr Chris Fay, executive chairman of Iofina, gave to Proactive Investors.

Proactive Investors (PI): Dr Fay, before we start talking about this bond issue, could you just update us on the company's progress?

Dr Fay: Well, Iofina has two plants in operation: one in Texas, and one in Oklahoma. Some would deem them to have been test plants, but they are now both showing a good surplus on a monthly basis.

So, we are already, if you wish, into commercial production from those plants. The key issue of course, is rolling out further plants.

PI: Let us talk about the US$15 million that the company has raised. Is that something that will help you develop your plans? What is the money going to be used for?

Dr Fay: It is going to be used for two things. We could, theoretically, self-finance plants going forward, but that would be on a significantly lower number, in the short term, than if we raise this finance. So, it will accelerate the roll out of additional plants.

It has a secondary reason, which is, now that we produce our own iodine, we do not have to buy iodine from third party sources. Therefore, we do not get the 60 days credit on those purchases. So, the bond issue also assists in overcoming a short-term working capital matter.

PI: Are there any other financial requirements that the company needs to address?

Dr Fay: In terms of iodine production, and not talking about water from other sources, or talking about other possibilities the company may have, which are regarded as non-core, the answer, certainly in the coming period, is that no additional finance is needed. Because, indeed, we believe we will be self-financing from the production.

PI: Can you just tell me how many plants Iofina intends to build eventually? What is your long term target?

Dr Fay: Well, that is almost [like asking] how long is a piece of string? Four are planned for before the end of this year, so we will be up to six; then, each year thereafter, a minimum of six to eight. It could even be more than that. So, it is an ongoing number. It is a case, in some ways, of getting the requisite sites.

We have got to remember that iodine is very much site specific. Lots of sites do not have any iodine in the brine at all. So, you have really got to find the sites as well, of which we have a large number, many double figures.

PI: Can you provide us with an outlook for the iodine market?

Dr Fay: Well, iodine is essentially in short supply, and the reason being is, it has far more uses than 'meet the eye'. For example, your television has a thin film of iodine across it, and so it goes on, pharmaceuticals, agriculture, etc.

So, it is a case of [there being] demand. There has basically been a shortfall, or just meeting requirements, for some time now. So, outlook probably is steady. Look for the next 12 months [to remain] at current prices.

[the librarian] 14/6/2013 11:06

On the AIM 26 recently updated on Iofina's website, a name I didn't recognise and no RNS for it


Old Mutual Asset Management

3.47%

A US company? First of many?

[n3tleylucas] 14/6/2013 10:54

Why no mention of IC expansion? What happens when 800 tonnes of capacity is reached? Sell raw I on the market? Collapse prices for finished product & raw? Destroy your own margins? Why is there no longer-term plan here?

[the librarian] 14/6/2013 10:49

I think it's a matter of everything regarding the leases being in place, chumbo, 100 at the last count I believe!

I agree Ansana. It is the only opportunity that I have to obtain significant holdings and increase those when I feel it is appropriate.

[chumbo] 14/6/2013 10:38

Lib: Don't we have further work to do, at least on the leases if not on the roll-out before proactively raising our profile (notwithstanding the need to manage the news re Lance, if that's what CF was doing)?

It must be tricky balancing the different PR needs in this situation. Or maybe everything is now substantially in place?

[ansana] 14/6/2013 10:37

Don'tshout ...... It's difficult to discuss because you don't outline the problem. Perhaps many would like to know so they can best protect themselves if they have SB accounts. Isn't it just a question of having sufficient funds to cover the calamitous moments/dips in the sp?

[ansana] 14/6/2013 10:31

The Friday before the AGM week I am not surprised to see that buys are ahead of sells today. Chunky buys now require deep pockets. Tik Tok, Tik Tok.

[dontshoutatonce] 14/6/2013 10:30

Scrutable (and Librarian)about the CFD and Spreadbetting companies, I would like to be much stronger in my condemnation of them and tell you a couple of stories but I don't know the laws in releasing truths about companies so i hold back but I only say that I have lost big-time when dealing through perhaps the 2 largest of such companies. The circumstances showed and could be proved, that I was not in the wrong etc. The FSA, as we know, have proved negligent etc over the last years (no wonder they have changed their name)and my MP proved ineffectual and sat on the fence with prejudice! My lesson is never have anything to do with CFD or Spreadbetting companies and though they may give hope to some, the odds are heavily against you and perhaps they should be closed altogether (discuss!).

[the librarian] 14/6/2013 09:47

Thanks chumbo, that was a fair old factual ramp. We should shortly see some RNS's turning up, I'm hoping that it is time to let the PR machine loose considering Chris Fay's recent radio interview!

[chumbo] 14/6/2013 09:43

Fat Prophets have just issued a note with a hold recommendation.

hxxp://www.fatprophets.com.au/Member%20Area/Product%20Landing/Report%20List/Report%20Page/Article%20Page.aspx?id={9BDD1A6F-B63D-42D1-8637-CB6810CF8746}&product=European%20Mining&pt=paid

[chumbo] 14/6/2013 09:35

Some large lumps being moved today?

[microcline] 14/6/2013 08:58

Want to expand fracking in the UK. Simple, just stick a wind turbine on the top of your drilling rig.

[johncsimpson] 14/6/2013 08:56

engelo - just had a quick read. Haven't got time right now to check out Dart but Igas are (chartwise there's a clear pennant / triangulation) about to break out upwards; i.e. it should be the case if they can move above 114ish.

[engelo] 14/6/2013 07:59

johncsimpson: v interested in your posts on IGAS as I'm convinced that like it or not the shale story is going to happen. After all the country is broke and at this time environmental worries will have to take second place.

The following idea (basics only) depends on whether you are happy to invest on the OZ market. I don't hold, and probably not for me on hassle grounds.

However getting to the point I went to a Proactive evening in January for another reason and was very impressed with the presentation given by Dart Energy (ASX:DTE).

They have Australian investments which are suffering due to regulatory problems (and have recently been put on hold) so viewed from a limited OZ perspective they look like one to avoid. Otoh they also have considerable investments in the rest of the world including Europe and including extensive UK shale rights.

At the presentation the ceo was completely open about this position. He also said that they had had assurances from UK Govt sources that shale would get the go ahead. So in a nutshell seems to me that OZ investors control the share price but don't appreciate the UK potential.

Since January the share price has continued to suffer while the co are now putting the UK to the forefront of their plans and (think I've got this right) considering a UK listing.

Would be interested to know what you think: if you don't know DART already you would catch up with my knowledge in an hour or so imo:-)

[jonnyno1] 14/6/2013 07:45

looks like it lib, but this whipsaw market is not good for those with a delicate disposition, fortunately my disposition is well buffered!!

[the librarian] 14/6/2013 07:07

Market set to bounce back today after yesterday's falls!

[the librarian] 14/6/2013 06:42

I know what you are saying scrutable and I do appreciate your desire to accumulate quickly. However, you are knowingly gambling on the margins to increase your returns which probably pays off on a regular basis.

Like all bookies they need to 'lay off' bets to cover themselves, which is a good thing and balance that against the fact that all gamblers are not honest citzens like yourself, or can get themselves deep in the mire without too much forethought.

'In the aftermath of the downturn, Belsham is committed to seeing that the company behaves sensibly - both for itself and for its spread betting and CFD trading clients. "It's not just about protecting us from bad debts but we also have a responsibility to customers so they don't put themselves in the position where they owe us money."

hxxp://www.financial-spread-betting.com/Martin-Belsham.html

Indeed, I believe the former Tory MP owner of City Index had to stump up £70 million+ in the 2008 downturn (of his own money) to keep the company fluid due to bad debts!