NSL receives order for 20,000 tonnes of 63% Fe
Indian based iron ore producer, NSL Consolidated (NSL) has received a commercial purchase order for 20,000 tonnes of its premium product produced by the Phase 2 wet beneficiation plant which will be supplied over the coming months.
The purchase order issued by Infinity Ores is for NSL’s 63% Fe filter cake (wet plant product). The negotiated sales price for the initial purchase order is AU$65 per tonne (ex gate sales price). Payment is to be made in advance based on 1000 tonne lots.
This follows an order for 4000 tonnes of the same product at the same price in February, an encouraging development as it demonstrates the broad acceptance of the company’s wet plant material, as well as introducing an additional client and revenue stream.
What comes of this revenue stream remains to be seen and investors should seek professional financial advice for further information if considering this stock for their portfolio.
Underlining the significance of this development, NSL’s Managing Director, Cedric Goode said, “The NSL team is very pleased to have now received an order from another customer, Infinity Ores, indicating a growing demand for the NSL product”.
Goode highlighted the fact that this has allowed NSL to diversify its customer base, along with better commercial terms which includes prepayment for the product. He also noted that better commercial terms were being assisted by continued strength in the local domestic price, an encouraging dynamic for NSL’s domestic operation at a time when the global iron ore price has come off substantially.
It is important to note that these early positive developments have occurred ahead of the company ramping up to a 200,000 tonnes per annum operation producing product grading between 58% and 62% Fe.
When the experts at Next Investors have a stock pick, it may pay to listen.
The Next Investors have been investing in ASX small cap stocks for years, with their best small cap picks yielding returns of 1,200%, 1,120%, 900% and 678%.
They have just revealed their hand-picked, FY2021 stock portfolio of high conviction long-term investments.
Click the link below to see what they are currently investing in.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.
Conflict of Interest Notice
S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.
The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.