29th Jan 2014 09:55
LONDON (Alliance News) - Iofina PLC Wednesday said production volume at its IO#2 iodine production plant in Oklahoma has remained consistent, despite the recent cold weather in the US.
However, the iodine maker said brine volumes have been affected at its IO#3 site, due to significant fracking and drilling activity by the operator in the area, which is affecting overall iodine production levels.
Iofina said it is working to minimise the brine volume inconsistencies, but noted that increased drilling near the site is a positive indication of the operator's view to continue expansion.
The company also noted that its January sales are going as planned and order activity is promising.
Meanwhile, Iofina said construction of its IO#4 and IO#5 iodine production plants is progressing well.
The company said major steel framework has been completed, and towers have been installed at both plants. It now expects operations staff to move onsite IO#5 in February with IO#4 shortly after.
The company said that after this, start-up activities will begin and are expected to last roughly two weeks, at which time commercial iodine production will commence.
Iofina noted that construction of IO#6 is now underway and is ready for setting of the steel framework.
Iofina shares were up 2.5% to 83.30 pence Wednesday.
By Tom McIvor; [email protected]; @TomMcIvor1
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