Business
Corporate Update
Corporate Update.
About this update from Iofina Plc
[{"type":"text","content":"\n \n \n RNS Number : 6870T\n Iofina PLC\n 22 July 2020\n \n \n \n \n \n \n \n 22 July 2020\n \n \n \n \n \n Iofina Plc\n \n \n (\"Iofina\" or the \"Company\")\n \n \n (LSE AIM: IOF)\n \n \n \n \n \n Corporate Update\n \n \n \n \n \n Iofina, a specialist in the exploration and production of iodine and manufacturers of specialty chemical products, today provides an update to the market regarding H1 2020 iodine production, debt refinancing and other corporate matters.\n \n \n \n \n \n H1 2020 Production\n \n \n In H1 2020, Iofina produced 284.4 metric tonnes (\"MT\") of crystalline iodine of which 277.5 MT was produced by Iofina's four established iodine plants and 6.9 MT from IO#8. This production was in line with H1 2019 production of 286.7 MT. As previously communicated, IO#8 was briefly open in April for a few weeks, shut down in May, and reopened again in late June. The Company is still optimizing this new plant but expects IO#8 to run throughout the second half of 2020 and beyond. With all five plants running as normal, the Company is expecting total iodine production for H2 2020 to range between 340 and 360 MT of crystalline iodine. However, the Company notes that the ongoing uncertainty of the global pandemic does make production forecasting more difficult. Encouragingly, iodine prices have remained steady in Q2 2020 and into Q3 2020, with typical iodine prices now at $35/kg or above.\n \n \n \n \n \n Debt Update\n \n \n The Company continues to progress a debt refinancing package with a new lender. One of the principal objectives of this process has been, and remains, to repay the Company's current lenders (together, the \"Secured Lenders\") in full, who have supported the Company over the past several years. Unfortunately, the time required to complete the debt refinancing has been significantly impacted by events related to COVID-19. The new debt restructuring terms are likely to include a term loan as well as a revolving line of credit to meet Iofina's debt repayment obligations. Iofina will detail the final terms of the refinancing to the market once terms have been agreed. It is anticipated that the refinancing will be completed within the two-month extension recently granted by Iofina's current senior lender Stena Investments S.à.r.l. (\"Stena\"). Once the debt r...