5N Plus Reduce Bismuth Output from Refining Activities and Increase Purchase Bismuth Metal
5N Plus Reduce Bismuth Output from Refining Activities and Increase Purchase Bismuth Metal |
[22-July-2019] |
MONTREAL, July 22, 2019 /CNW Telbec/ - 5N Plus Inc. (TSX: VNP) ("5N Plus" or the "Company"), a leading producer of engineered materials and specialty chemicals, today announced that it has significantly reduced production at its Bismuth refining and recycling facilities. As the world's leading producer of Bismuth containing materials and specialty chemicals, 5N Plus utilizes Bismuth as an active ingredient in its products and thus a major consumer of Bismuth metal. In the recent years, 5N Plus has significantly changed its procurement practices by markedly reducing purchases of commercial grade Bismuth metal and instead has relied on proven process technologies to extract this metal from the various residues and secondary streams in its refining and recycling facilities. This approach has enabled the Company to significantly reduce metal related consumable costs. 5N Plus purchases these residues from its network of suppliers who generate them in the process of producing other metals and materials. With Bismuth notations continuing to decline and currently at a level not seen in nearly 25 years, certain suppliers have declared this part of their activities uneconomical and have begun to stop marketing these residues. Given this development and the current availability and price level for Bismuth metal, 5N Plus will increase its commercial grade Bismuth metal purchases to compensate for the reduction in Bismuth output from its refining activities. The market for the Company's Bismuth based materials and specialty chemicals remains strong. The Company will implement this change seamlessly and the measure will have no impact on the customers of 5N Plus. Earlier this year, 5N Plus indicated that it was experiencing production challenges associated with the ramp up of its growth initiatives, especially within Security, Aerospace, Sensing and Imaging along with Catalytic and Extractive Materials for which the Company holds a healthy order book. As per the Company's strategic plan 5N21, the Company is increasingly moving toward products and materials requiring more value-added transformation. While the Company has not entirely resolved these challenges, over the recent months, there has been notable progress and Management will be providing additional update in the near future. About 5N Plus Inc. Forward-Looking Statements and Disclaimer
SOURCE 5N Plus Inc. | ||
Company Codes: Toronto:VNP |
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