MONTREAL, July 22, 2019 /CNW Telbec/ - 5N Plus Inc. (TSX: VNP) ("5N Plus" or the "Company"), a leading producer of engineered materials and specialty chemicals, today announced that it has significantly reduced production at its Bismuth refining and recycling facilities. As the world's leading producer of Bismuth containing materials and specialty chemicals, 5N Plus utilizes Bismuth as an active ingredient in its products and thus a major consumer of Bismuth metal. In the recent years, 5N Plus has significantly changed its procurement practices by markedly reducing purchases of commercial grade Bismuth metal and instead has relied on proven process technologies to extract this metal from the various residues and secondary streams in its refining and recycling facilities. This approach has enabled the Company to significantly reduce metal related consumable costs. 5N Plus purchases these residues from its network of suppliers who generate them in the process of producing other metals and materials. With Bismuth notations continuing to decline and currently at a level not seen in nearly 25 years, certain suppliers have declared this part of their activities uneconomical and have begun to stop marketing these residues. Given this development and the current availability and price level for Bismuth metal, 5N Plus will increase its commercial grade Bismuth metal purchases to compensate for the reduction in Bismuth output from its refining activities. The market for the Company's Bismuth based materials and specialty chemicals remains strong. The Company will implement this change seamlessly and the measure will have no impact on the customers of 5N Plus.
Earlier this year, 5N Plus indicated that it was experiencing production challenges associated with the ramp up of its growth initiatives, especially within Security, Aerospace, Sensing and Imaging along with Catalytic and Extractive Materials for which the Company holds a healthy order book. As per the Company's strategic plan 5N21, the Company is increasingly moving toward products and materials requiring more value-added transformation. While the Company has not entirely resolved these challenges, over the recent months, there has been notable progress and Management will be providing additional update in the near future.
About 5N Plus Inc.
5N Plus is a leading global producer of engineered materials and specialty chemicals with integrated recycling and refining assets to manage the sustainability of its business model. The Company is headquartered in Montreal, Québec, Canada and operates R&D, manufacturing and commercial centers in several locations in Europe, the Americas and Asia. 5N Plus deploys a range of proprietary and proven technologies to manufacture products which are used as enabling precursors by its customers in a number of advanced electronics, optoelectronics, pharmaceutical, health, renewable energy and industrial applications. Many of the materials produced by 5N Plus are critical for the functionality and performance of the products and systems produced by its customers, many of whom are leaders within their industry.
Forward-Looking Statements and Disclaimer
This press release may contain forward-looking information within the meaning of applicable securities laws. All information and statements other than statements of historical facts contained in this press release are forward-looking information. Such statements and information may be identified by words such as "about", "approximately", "may", "believes", "expects", "will", "intends", "should", "plans", "predicts", "potential", "projects", "anticipates", "estimates", "continues" or similar words or the negative thereof or other comparable terminology. Forward-looking statements are based on the best estimates available to 5N Plus at this time and involve known and unknown risks, uncertainties and other factors that may cause 5N Plus' actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. A description of the risks affecting 5N Plus' business and activities appears under the heading "Risk and Uncertainties" of 5N Plus' 2018 MD&A dated February 26, 2019 and note 12 of the unaudited condensed interim consolidated financial statements for the three-month periods ended March 31, 2019 and 2018 available on SEDAR at www.sedar.com. No assurance can be given that any events anticipated by the forward-looking information in this press release will transpire or occur, or if any of them do so, what benefits that 5N Plus will derive therefrom. In particular, no assurance can be given as to the future financial performance of 5N Plus. The forward-looking information contained in this press release is made as of the date hereof and 5N Plus undertakes no obligation to publicly update such forward-looking information to reflect new information, subsequent or otherwise, unless required by applicable securities laws. The reader is warned against placing undue reliance on these forward-looking statements.
SOURCE 5N Plus Inc.
For further information: 5N Plus Inc., [email protected], (514) 856-0644