Iodine producer Iofina plc (LON:IOF) revealed that production exceeded its expectations for the first half to end June, despite one of its plants being shut-in.
The US -focused resource group said output was 235.5 metric tonnes (MT) of crystalline iodine from its Oklahoma-based IOsorb plants in the six months - bettering expectations for between 215 and 230 metric tonnes.
WATCH: How does output go up with one plant down?
Plant IO#3 was shut-in due to lack of brine supply but the firm continues its efforts to move this facility to a better location.
Chief executive and president Dr Tom Becker said: "Despite having to adjust our output forecast following the IO#3 shut-in, the board is pleased that we were able to exceed our production targets in H1, which is testament to the improved processes and efficiencies.
"Iofina continues to make positive progress towards the reutilisation of the company's IO#3 assets.
"This is critical in order for Iofina to meet its goals of reducing costs and expanding production."
The group's specialty chemical arm also performed well and Iofina has increased research and development (R&D) in this area.
In the second half, the firm expects to produce between 225 and 240 MT of iodine from the four currently operating plants.
In terms of prices, the firm reckons iodine, which is still below historic levels, may well increase in the near and long term.
Broker finnCap noted that "operationally, the company had performed well, with strong demand for Iodine and its derivatives and iodine prices remaining stable".
"We are not changing our forecast and our target price remains 20p," it said.
Shares eased 2.86% on the day to stand at 12.75p.
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