Having closed one of two furnaces after selling its power back to Eskom, International Ferro Metals???IFM) charge chrome production fell to 34,172 mt in the first quarter of 2013, down from 52,143 mt in the fourth quarter of 2012 and 48,762 mt in the first quarter of 2012. The company sold 41,630 mt in the first quarter, reducing its inventory to 8,358 mt. In the fourth-quarter of 2012, sales were 51,092 mt and stocks at the end of December 2012 were 15,815 mt. Most of the sales in the first quarter of 2013 went to Europe, with only some going to the US. Limited tonnages were also sold into India as initial market development. IFM wants to reduce stocks to 6,000 mt during the single furnace operation and restore stocks to 10,000 mt when both furnaces are in operation.

 

The company’s ore sales were 97,754 mt in the first quarter of 2013 vs. 32,649 mt in the fourth quarter of 2012. By operating only one furnace combined with increased tonnage coming from its UG2 plant, the company sold the ore to reduce working capital. The Sky Chrome mine produced 83,284 mt in the first quarter of 2013 which was supplemented by the 15,000 mtpm of UG2 which its receives from its Chrome Recovery Plant.

Finally, the cogeneration plant generated 5.3 Gwh of electricity in the first quarter of 2013, or 4.1% of the company’s total power requirement. When both furnaces are in operation, the cogen plant will provide approximately 11% of IFM’s power requirements.