Brisbane, Australia (ABN Newswire) -
Orocobre Ltd. (ASX:ORE) (TSE:ORL) are pleased to provide the Company Annual Report to shareholders for the period ended June 2015.
Chairman's Letter:
Dear Shareholders,
It is once again time to reflect on another year at Orocobre and look back at the milestones achieved as we grow our industrial chemicals company.
During the past twelve months we have achieved our fundamental goal of becoming a lithium carbonate producer, joining the ranks of only a handful of established lithium companies. By the end of 2014 the Company had materially finalised the construction of the Olaroz Lithium Facility and by the end of January 2015 all circuits had been commissioned. Since then, our focus has been on achieving nameplate production run rate by the end of calendar year 2015, and continuing to develop robust supply relationships with a global network of customers. The project has experienced a number of challenges in ramping up, but we believe we now have a clear pathway to achieving full production by the end of the year. In our opinion, given the reality of supply and demand, there has never been a better time to enter the lithium market. The effect of supply tightening and demand growing, has created an ideal market environment for Orocobre with customers becoming less price sensitive and placing increased value in securing long-term supply.
Our Borax Argentina Company began the financial year with the relocation of their borax chemical plant from Campo Quijano to Tincalayu. Unfortunately, tough conditions in our main market, Brazil, and a slower than expected ramp-up at the relocated Tincalayu plant has had negative effect on Borax Argentina's financial results during the year. Our market diversification strategy which was being developed in prior years has mitigated some of the impact. After the success of the Tincalayu resource upgrade, we will continue with our plans to bring the remainder of the Borax Argentina deposits into JORC compliance, with an aim to grow the business in the most suitable and cost-effective manner possible.
Orocobre remains committed to upholding a strong culture of corporate responsibility in the way we conduct business and how we progress our operations. We were very proud to be presented in September 2014 with Mining Argentina's annual award for "Outstanding CSR Mining Company". Additionally in November 2014 the Orocobre group of companies was once again awarded "Mining Company of the Year" by Argentina mining magazine Panorama Minero and the Fundacion para el Desarrollo de la Mineria Argentina. Orocobre understands the importance of creating a sustainable future for our Company and for the communities in which we operate. The mutually beneficial relationships which we have formed with local stakeholders, communities and workers has been one of the major contributing factors behind the success we have achieved at our Olaroz Lithium Facility.
I would like to express my sincere appreciation to the executive management team and my fellow directors who have shown the greatest amount of support, strength and wisdom in this challenging but rewarding year. I would also like to thank the continuing support and ongoing engagement from our shareholders, and in particular the support provided by our shareholders during capital raising, who without, we would not be where we are today.
James Calaway
Chairman
To view the Annual Report, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-ORE-880663.pdf
About Orocobre Limited:
Orocobre Ltd. is listed on the Australian Securities Exchange and Toronto Stock Exchange (ASX:ORE) (TSE:ORL) (OTCMKTS:OROCF), and is building a substantial Argentinian-based industrial minerals company through the construction and operation of its portfolio of lithium, potash and boron projects and facilities in the Puna region of northern Argentina.
The Company has built, in partnership with Toyota Tsusho Corporation and JEMSE, the first large-scale, greenfield brine based lithium project in 20 years at the Salar de Olaroz with planned production of 17,500 tonnes per annum of low-cost battery grade lithium carbonate. The full monthly production rate is expected to be reached in the last quarter 2015.
Contact:
Orocobre Ltd.
T: +61 7 3871 3985
E: mail@orocobre.com
www.orocobre.com.au
