Dr Tom Becker, CEO of Iofina PLC (AIM:IOF, OTC:IOFNF), spoke with Proactive London's Thomas Warner about the successful ramp-up of their iodine production plant, IO#9, and the plans for further expansion with a new plant, IO#10. He also discussed the company's strategies to enhance sales and marketing efforts and shared insights into the iodine market's current state.
Thomas Warner (TW): Let's start with the update on IO#9. How is it performing?
Dr Tom Becker (TB): IO#9, which we opened in June 2023, had some initial ramp-up challenges, but I'm happy to report it's now operating within the expected range of 100 to 150 metric tonnes annually. We're working on further enhancing its capacity, and our partners have improved their water-gathering systems, which is crucial for our operations.
TW: Great to hear! What about the plans for IO#10?
TB: We've agreed to build our 10th iodine extraction plant near IO#9 in western Oklahoma. We're targeting a launch in mid-to-late next year. Lessons from IO#9, such as additional hiring and process streamlining, are being applied to this new project. Beyond IO#10, we're exploring even more expansion opportunities.
TW: What updates can you provide on your sales and marketing efforts?
TB: We've recently brought on board a senior sales and market manager. This role is key to developing new customer relationships and identifying potential new products. We're conducting R&D and scaling up new product lines in line with our specialty chemicals expertise. Additionally, you can expect website improvements to bolster our marketing and communication.
TW: And how do you see iodine prices shaping up?
TB: Iodine prices have decreased slightly from their peak but remain historically high, around $65-$70 per kilo. The market's strength is underpinned by the demand for iodine in injectable contrast agents. Assuming no major market disruptions, we foresee these prices to remain stable.