Join our daily newsletter At The Bell to receive exclusive market insights
- Suvo Strategic Minerals’ Pittong Operation is on track to hit $2.1 million in earnings before interest, taxes, depreciation and amortisation (EBITDA) in the 2021 calendar year
- The materials stock had a successful first month running the kaolin operation, which generated an EBITDA of $265,000 in January
- Pittong also produced 2200 tonnes of hydrous kaolin products during the first month, a level not seen since COVID-19 hit
- Additionally, Suvo noted there was strong demand from both domestic and export customers for the kaolin
- Commenting on the transition, the company said the new ownership has been well received by customers
- Shares in SUV are trading up 3.45 per cent at 15 cents each
Suvo Strategic Minerals (SUV) has found success with its newly acquired Pittong Operation, releasing its first month of results.
The materials stock bought the hydrous kaolin operation, located near Ballarat in Victoria, from Imerys towards the end of last year.
Since taking ownership, SUV said Pittong remains on track to hit $2.1 million in earnings before interest, taxes, depreciation and amortisation (EBITDA) in the 2021 calendar year.
The kaolin operation has already racked up $265,000 in EBITDA over January 2021.
Pittong also produced 2200 tonnes of hydrous kaolin products during January, a level of production not seen since COVID-19 hit.
Additionally, Suvo noted there was strong demand from both domestic and export customers for its kaolin products.
Commenting on the results, Suvo’s COO and CFO, Len Troncone, said the company had received positive feedback from customers.
“The transition of the Pittong operations under Suvo’s ownership has been flawless with operational management, customers and suppliers pleased to be associated with a 100 per cent Australian owned and operated business,” he added.
“We remain excited about the future prospects of the Pittong operations as we look to draw on the expertise of operational management at Australia’s only hydrous kaolin operation and apply it to our very promising White Cloud kaolin project in Gabbin.”
Shares in Suvo Strategic Minerals are trading up 3.45 per cent at 15 cents each following the close of market on Monday.
