Suvo Strategic sees growth in kaolin sales and strong good progress in geopolymer concrete

Wednesday, May 01, 2024 07:00 PM | TheNewsWire via QuoteMedia

Mentioned in this article

(NewsDirect)

Suvo Strategic Minerals Ltd (ASX:SUV) interim CEO Bojan Bogunovic and non-executive chairman Aaron Banks joined Proactive's Stephen Gunnion with a rundown of the company's quarterly activities report, highlighting revenue of A$3.1 million for the quarter ended 31 March, 2024, from the sale of 5,321 tonnes of hydrous kaolin.

Bogunovic noted that the company, which holds a 95% market share as the only hydrous kaolin producer in Australia, has seen its quarterly sales increase by approximately 800 tons. This growth is largely attributed to the export market, particularly to China and Vietnam, with new customers primarily in the paint, coating, inks, and rubber sectors.

Following prepayments from two major customers, which affected cash flow reporting in the last quarter, normal credit operations are expected to resume in the next quarter.

Banks discussed the company’s progress in the geopolymer concrete sector, including the signing of non-binding Memorandums of Understanding (MOUs) with Permacast and Dowsing, aiming to convert these into commercial agreements.

Suvo Strategic Minerals is also preparing for demonstration trials for a government road infrastructure project in Western Australia, which is expected to showcase the company's low-carbon concrete solutions that significantly reduce CO2 emissions.