Iofina Share Discussion Threads

[tsmith2] 27/3/2014 07:30

Disappointed.Also no productions, more jam tomorrow by BODWe need consistent and increasing production. Can't be that difficult

[beercapafn] 27/3/2014 07:28

I'm not a happy bunny!says Graham Hacker..


I don't understand why they are not really going for it. !

It can only be cash.

And why does it take 6 months + to review a business that YOU ARE ALREADY RUNNING.

Wiesel words from the BOD.

I am not a happy Bunny.

[captain_kurt] 27/3/2014 07:27

Owenga, we will see. I suspect you wanted IO5 not built and water response delayed coupled with a fundraising. It hasn't happened

[malachey] 27/3/2014 07:27

take your losses owenga, I will happily buy your shares off you if the price drops today :)

[jack jebb] 27/3/2014 07:25

The volume and price action yesterday suggest that we may well have seen the bottom imo. I'll buy a slack handful today.

[owenga] 27/3/2014 07:23

Captain Kurt. You are deluded if you think that was a good rns!

[owenga] 27/3/2014 07:22

I hate to say it but it looks like shinny has been right all along. This will tank today. Is it worth taking my losses now or just hang in long term to see if they can turn it around. Can it go a lot lower?

[malachey] 27/3/2014 07:22

grahamhacker:

I disagree. Obviously the news of no more large plants contributed to the drop this week, but I don't see the operational review as a bad thing; especially if there is to be a bit of management shuffling. If they get the six right and producing what they're capable of this year then they will hit their target for iodine production for the year easily, without the need to rush into building more plants.

It is also possible that this decision is partly based on plans to get the water side of the business up and running as soon as the permit is granted

[supreme mo] 27/3/2014 07:22

grahamhacker... a couple of observations:1) Could it be the company think a more fruitful return of capex is if they allocate redources to the water side of the business (water terminal) assuming they get the permit??2) Could the company be considering purchasing a prilling tower? Prilled iodine sells for more than crystallised as was stated in the last Numis note.3) A possibility of a planned large number of minis deployed will diversify the business and reduced reliance of the big plants. Just some early thoughts.

[captain_kurt] 27/3/2014 07:21

Bears are not going to get their fundraising . Time for you to move on

[naphar] 27/3/2014 07:19

Owenga
cant disagree with much of what you say, but I think there is video reason to conduct an operational review. But do it more quickly, and plan to put in at East 2 plants this year before winter sets in again. If the cash not available, find some another way. Grow some ambition BOD

[meadow2] 27/3/2014 07:19

Presumably, production information is delayed so that initial output from 4 & 5 can be included. I don't see a capital raising exercise as automatic in the current circumstances. Disappointed that no marketing information ref. sales of iodine included. More patience required, yet again!

[captain_kurt] 27/3/2014 07:16

Good update
IO5 complete, water permit responses lodged with the regulatory board.
IO4 and IO5 to be pumping out Iodine very soon.

IO6 to be completed in Q2 with water business and iodine mobile units in play

[owenga] 27/3/2014 07:15

Oh dear! Still not producing iodine at io#4 or io#5. No more large constructions after io#6 this year and only a couple of mobiles that may be ready to produce iodine by year end.Was there any positive news in the statement. Clearly cashflow is a concern, but by delaying further builds that should improve, but the way they have said it it sounds as though they had no choice but to delay building more. The review seems completely pointless and is just a way to save face.

[dropside] 27/3/2014 07:15

Bring on that water approval!

[grahamhacker] 27/3/2014 07:12

Sadly we now know why the share price dropped. A very leaky ship is IOF. More delays capex reduced to save cash & I assume a cap raising. Prodn stats delayed to end of April, which must be known within days of end of March. I'm not a happy bunny!

[orslega] 27/3/2014 07:06

RNS Number : 2955D

Iofina PLC

27 March 2014

27 March 2014

Iofina plc

("Iofina" or the "Group")

(LSE AIM: IOF)

Completion of IO#5 Iodine Extraction Plant

IO#6 on Track for Completion in Q2

Mobile Units Planned

Water Project Update

Iofina, specialists in the exploration and production of iodine and iodine specialty chemical derivatives, is pleased to announce that the construction of the Group's IO#5 iodine extraction plant, based on Iofina's WET(R) IOSorb(TM) technology, is now complete and under the control of Iofina's operation team. IO#5 is located in the vicinity of the Group's IO#2, IO#3 and IO#4 iodine extraction plants.

Following operator approval, the Board reports that IO#5's tie-in to the well operator is also complete, with production staff in the process of both hydro-testing, prior to the acceptance of brine water, and in-line automation systems testing.

Production of iodine for both IO#4 and IO#5 is conditional upon final regulatory inspection and approval. The inspection occurred on 14 March 2014, with approval expected shortly. Construction of IO#6 continues, with completion expected to occur in Q2 2014. Images relating to IO#6's progress can be viewed at www.iofina.com.

Following the commissioning of IO#6, Iofina will have built four similar purpose facilities in addition to IO#1 and IO#2. The Board is of the view that, prior to work commencing on further full scale plants, an operational review be undertaken. This review, scheduled for completion in the autumn, will include considerations for improvements to construction methodology, reduction in total cost, improvement in time to complete, and optimal plant sizing. Construction of further full size plants will be delayed until this review is complete which will reduce short term capital expenditures and improve cash flows. Operational teams continue to focus on maximizing the performance of all existing plants. The Board believes there is overwhelming evidence that the Group's WET(R) IOSorb(TM) technology patented process has proven itself to a high level.

Subject to completing minor design modifications, the first two mobile units or mini WET(R) IOSorb(TM) technology plants (namely 'IOA' and 'IOB') are planned to be ordered throughout 2014 on a turnkey basis for operational deployment in the fourth quarter. The Group has some very high parts per million (ppm) but low brine volume sites where the units can be economically deployed. The Group is highly encouraged by the potential returns of the mobile units and envisages further mobile unit installations in 2015.

The Group will give an update on its first quarter when it releases its results for the year ended 31(st) December 2013, scheduled for the week commencing 21(st) April.

On our non-core water project, the Group submitted the requested information to the Montana Department of Natural Resources and Conservation. The Group views our response as satisfying the raised objections and awaits comment from the regulatory board.

Commenting on today's update, Iofina's CEO George Lantz commented:

"The completion of IO#5 solidifies Iofina's capabilities of constructing and operating multiple plants simultaneously. With the completion of IO#4 and IO#5, the addition of IO#6 and implementation of our mobile strategy, Iofina continues to advance as a major player in the iodine market."

For further information, please contact:

George Lantz, CEO

Iofina plc

Tel: [phone]

www.iofina.com

[anger taxes son] 27/3/2014 06:30

Watch this space!

PS Has anyone seen my Dad?

[serratia] 26/3/2014 23:17

frog 1,

When I first read the December review I focused on this sentence.

Overall revenue in 2013 is likely to be comparable to 2012 levels.

If revenue is the same and input iodine costs are lower then cash flow should have increased. Then lower down they say this -

Considering the lower revenue expectations, EBITDA excluding share option charges, will likely be similar to 2012 levels.

They moved from comparable to lower. The lower statement fits better with the EBT staying flat.

I agree we entered 2014 with free cash (less cap ex) and they can manage cap ex at will. With Q1 picking up I still feel a degree of comfort on this issue.

[superg1] 26/3/2014 23:14

Dig

I think the word etiquette covers it.

Let's see how quickly they 'find' replacements.

[diggulden] 26/3/2014 22:49

Trav, who said they don't have someone waiting in the wings? I fully expect an announcement in that regard before the end of the month, which is when CF officially steps down.

[owenga] 26/3/2014 22:34

Wow. Good turnaround. Is that the hammer we were weighting for? Time to pile in.

[trav5] 26/3/2014 22:23

I still find it strange that Dr Fay announced his resignation without the company having replacement waiting in the wings can anyone shed any light on it?

[frog1] 26/3/2014 21:59

Seratia

My quick calcs from earlier this year as a result of trying to understand the bear articles raising cash issues were:-

In the interims the net cash was $16m (they had just borrowed the $15m). Nett cash burn in H1 was $4.6m on revenue of $11.5m. They said they will only have total revenue in 2013 of about $18.7m (about same as 2013) so revenue in H2 will be $18.7m-$11.5m (revenue in H1) so $7.2m. If anyone assumes the same spending in H2 (which many will) that will give a cash burn of $4.6 + $4.3m - around $9m leaving cash of $7m at end of H2, which will still be being burnt at a high rate leading to the articles about cash issues appearing at the turn of the year.

[count chris] 26/3/2014 21:59

Re short interest does anyone have anything better than this: