US soda ash producer OCI Resources expects price increases of 3-5% in 2014 compared with the average prices of 2013 and expects volumes sold to increase 2-4% for the year.
The company sold 2.492m short tons of soda ash in 2013, up from 2.456m short tons the year before. OCI Resources sold 658,000 short tons in Q4 2013, compared with 659,000 short tons in the year-prior period.
It earned net income of $12.4m on revenues of $117.6m for Q4 2013, improving on year-ago results by about 68%.
Net profit was up from $7.4m in Q4 2012, a quarter in which OCI Resources took a $3.7m hit on provision for income taxes.
For full-year 2013, OCI Resources earned $13.2m on revenues of $442.1m.
“As expected, international pricing showed sequential improvement versus the previous quarter, driven mostly by higher prices in the Asia region,” OCI Resources president and CEO Kirk Milling said.
“The market reports in January indicate continued increases in soda ash prices in Asia, but the outlook is uncertain due to potential increases in production levels in China.”
OCI Resources said it plans to spend $24m-30m to de-bottleneck mining and processing facilities to increase volumes.
It expects to spend an additional $12m-15m on maintenance capital spending.