How it was going to affect the bottom line for the laterite processors?
Well look at the other side of the fence, the suppliers of this chemical.
"Chemtrade units surge on profit
Wednesday, July 30, 2008
Chemtrade Logistics Income Fund units leapt 13 per cent in early trading after the company said its profit almost tripled on strong sulphuric acid sales.
Profit for the second quarter was $13.8-million, up from $5-million a year ago. Distributable cash was 72 cents a unit, compared to 31 cents a year ago.
The company's sulphur products division generated $127-million in revenue, compared to $78-million a year ago. Chemtrade gets sulphur and sulphuric acid from base metal smelters and oil refineries, who must capture the chemicals to meet emission guidelines. It then resells the chemicals to more than 400 industrial customers.
Revenue at its international division more than tripled from $37-million to $133-million, as tight global markets let the company obtain “significantly” higher prices for both sulphuric acid and sulphur.
“During the volatile market conditions prevalent in 2008, this segment was able to leverage its market knowledge and infrastructure to significantly add value to suppliers and customers and thereby earn incremental margin,” the company said in a statement. "
