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BioAmber +17% on 210K tons/year sales contract

  • BioAmber (BIOA +16.9%) shares surge after the chemical company said late Monday it had won a 15-year contract from Vinmar International to deliver 210K tons/year of succinic acid from its Sarnia, Canada, plant.
  • BIOA says 50% of the Sarnia capacity is under take-or-pay, with total contract demand exceeding capacity.
  • BIOA and Vinmar also broaden the scope of a previously announced 100K ton/year BDO plant, to also produce 70K tons/year of succinic acid with Vinmar off-taking 100% of the butanediol produced and 70% of the bio-succinic acid produced for 15 years, and commits to off-take 75% of production from a new, third bio-succinic acid plant with 200K tons/year capacity that BIOA plans to start in 2020.
Comments (1)
  • pumpandumps
    , contributor
    Comments (3) | Send Message
     
    Plant want even be built till Late 2017 Net Income (33,791) (39,538) (30,852) Company is losing money like crazy till then Dump it on the news
    8 Jul, 04:06 PM Reply Like
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