[miningmx.com] — INTERNATIONAL Ferro Metals (IFM) on Monday reported a wider full-year loss, hurt by lower ferrochrome sales volumes and a strengthening rand.
Sales of ferrochrome – used in stainless steel to prevent corrosion – fell 2% to 186,963 tonnes. Production fell about 3% to 194,869 tonnes.
“The rise of stainless steel production, especially in China, is inevitable. Consequently demand for ferrochrome should resume a favourable upward trajectory eventually,” the company said in a statement.
Global ferrochrome production will rise above 10 million tonnes and demand will soar to 9.5 million tonnes in 2012, Cengiz Onal, sales manager for Turkish ferrochrome producer Eti Krom said last week.
For the year to end-June, IFM’s loss widened to R214m ($28.8 million) from R157m.
Revenue rose 10% to R1.58bn, helped by ore sales of R179m.
Shares of the company closed at 16.75 pence on Friday on the London Stock Exchange, valuing the business at about £92.8m.
