RE:RE:RE:RE:Revises Upwards Its 2021 Revenue Target, and Provides UpdatePedroPistacio wrote: A question to our data guru Stan, does the update on expected size and completion of Plant 2 fit in with earlier guidance, or is it different in any way?
On the basis of this Plant 2 update, combined with news that the company has now sold out of product until November, suggesting that demand is building, would you agree that the next big hurdle is the permitting so that enough supply can be delivered into the new plant and out to farmers?
Hello Pedro,
The Plant 2 update is consistent with previous announcements and what we are seeing in drone photos taken over the mine site. Work has commenced at the Plant 2 site which is co-located at the current mine sites. The 1.2 million tonne capacity is in line with the info we have been given to date, although it is being planned for a phased construction approach. We understand that it will consist of 4 parallel 300,000 tonne per year production lines (similar to Plant 1 that has 2 x 300,000 tonne per year lines). This will allow them to be built individually within an overall master paln, as and when sales demand can support their added capacity. Given what we now understand happened in Q3, having the first of the new lines in operation by Q3 next year will be essential to keep sales growth on the upward track.
With the permits already in hand they should be ok through Q3 2022.
Cheers,
S.