Opta Impacted by Poor Economic Conditions

Opta Minerals Inc of Waterdown, ON has reported a net loss of US$181,000 on revenue of US$141.4 million for 2013 compared with net earnings of US$5.3 million on revenue of US$126.7 million in 2012. The company says that economic conditions across all sectors affected both revenues and margins during the year. And lower revenues within the Steel and Magnesium segment had a significant impact on the company’’s net earnings. Opta’s Steel and Magnesium segment had 2013 revenue of US$74.1 million, down from US$ 77.7 million in 2012. The company’’s Industrial Minerals segment generated sales of US$67.4 million in 2013, up from US$48.9 million in 2012, reflecting the acquisition of WGI Heavy Minerals Inc in 2012. In the fourth quarter, Opta’s Steel and Magnesium segment’s sales decreased 2.5% from the same period of 2012. The Industrial Minerals segment’s sales decreased 5.3%. David Kruse, Opta’s president, said, “Revenues in the fourth quarter decreased over the comparable period in 2012 due to a combination of volume and pricing. General economic conditions in both the Steel and Magnesium and Industrial Minerals segment, and weather related slowdowns impacted the quarter’s volume output.“

Volume 28 issue 5

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