Iofina PLC (AIM:IOF, OTC:IOFNF) told investors it will expand in Oklahoma by developing a new iodine extraction plant, IO#11.
It will be located in Western Oklahoma, near Iofina's existing facilities, in a region known for significant oil and gas development.
The new plant is expected to become operational in 2025 and will use the company’s proprietary IOsorb technology to extract iodine from brine streams.
Final plant capacity and costs are still under review, but Iofina said it plans to fund the construction with its cash reserves, with an option to use its loan facilities.
Construction is slated to start in the fourth quarter of 2024, and Iofina said more specific timelines will be communicated as the project progresses.
"We are pleased to announce that an agreement has been signed with our chosen brine water partner for our next plant, IO#11 in our newest core area in Oklahoma,” chief executive Tom Becker said in a statement.
“This continues our recent track record over the past three years of increased growth rates in iodine production, as we believe this is the optimal strategy to help drive long-term value for the company and its shareholders."