International Ferro boosts production

21st Jan 2010 13:18

International Ferro Metals cranked up production in the second quarter in anticipation of higher ferrochrome prices in 2010, driven by Chinese growth.Output rose 58% to 57,942 tonnes from the first quarter due to the start-up of the second furnace in August. That, and record production in December, helped first half production rise 4%.Sales rose to 34,553 tonnes in the last three months of 2009 from 21,410 tonnes a year earlier, lifting the half-year number by 43% to 70,936 tonnes. The Q4 2009 European benchmark price jumped to $1.03 per pound from $0.89 in the previous quarter and stand at $1.01 for the first quarter of 2010.'Following the successful start up of our second furnace in August 2009, the company has built up inventory levels in anticipation of higher ferrochrome prices in 2010,' said chief Executive David Kovarsky.'So far in 2010, stainless steel production and demand have both strengthened and the management and board are confident that the company is well placed to take advantage of a revival in the global stainless steel and ferrochrome markets due to its strong balance sheet, furnaces are running at high utilisation levels, and strong relationships exist with the Chinese market.'Results for the six months ended 31 December 2009 will be released on 23 February.