Unseasonable weather affects salt supply and demand
- Autores: Emma Hughes
- Localización: Industrial Minerals, ISSN 0019-8544, Nº. 551, 2013
- Idioma: inglés
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Resumen
"Profitability in the base business was unfavourably impacted by increased salt costs associated with harvest delays and a reduction in harvest years, as a consequence of last year's rainfall dilution and a poor evaporative season," the company's financial report outlined.
Ridley CEO, Tim Hart, commented on the decision: "Whilst it is very disappointing for the salt supply agreement to be brought to a premature end in unfortunate circumstances, we believe we have achieved a positive and realistic outcome for our shareholders that will generate cash returns over the next decade. The asset write downs are an inevitable consequence of the cessation of salt operations at Dry Creek and are non-cash in nature." "From our perspective, we do not anticipate any supply problems in our core markets for the upcoming season assuming a'normal' winter.E Additionally, we certainly have the ability to leverage our global production footprint to back-up specific regions that might experience unusually high demand during the winter season," the company told IM.
