Timminco Limited
TSX : TIM

Timminco Limited

October 01, 2009 08:18 ET

Timminco Provides Update on Solar Grade Silicon Operations

TORONTO, ONTARIO--(Marketwire - Oct. 1, 2009) - Timminco Limited ("Timminco" or the "Company") (TSX:TIM) announced today that it has sold 80 metric tons of solar grade silicon to AMG Conversion Ltd., a wholly owned subsidiary of AMG Advanced Metallurgical Group N.V. ("AMG"). AMG owns a 47.9% equity interest in Timminco. The value of the sale is approximately $3.1 million. The price of the solar grade silicon is consistent with what has been negotiated for similar material with third parties and was reviewed by the designated independent representatives of the boards of directors of each of Timminco and AMG.

In addition to its base silicon metal business, Timminco will continue to focus on producing high quality solar grade silicon while AMG Conversion will use the solar grade silicon and advanced furnace technology supplied by AMG's Engineering Systems division to produce solar grade ingots and bricks for the solar wafer market.

About Timminco

Timminco produces solar grade silicon for the solar photovoltaic energy industry. Using its proprietary, patent pending technology, Timminco purifies silicon metal into solar grade silicon (also known as upgraded metallurgical silicon) for use in the manufacture of solar cells. Timminco also produces silicon metal for use in a broad range of industrial applications serving the aluminum, chemical, pharmaceutical, electronics and automotive industries.

CAUTIONARY NOTE ON FORWARD-LOOKING INFORMATION

This news release contains "forward-looking information", as such term is defined in applicable Canadian securities legislation, concerning Timminco's future financial or operating performance and other statements that express management's expectations or estimates of future developments, circumstances or results. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "expects", "believes", "anticipates", "budget", "scheduled", "estimates", "forecasts", "intends", "plans" and variations of such words and phrases, or by statements that certain actions, events or results "may", "will", "could", "would" or "might" "be taken", "occur" or "be achieved". In this news release, such information includes statements regarding the sale and production of solar grade silicon, ingots and bricks. Forward-looking information is based on a number of assumptions and estimates that, while considered reasonable by management based on the business and markets in which Timminco operates, are inherently subject to significant operational, economic and competitive uncertainties and contingencies. Timminco cautions that forward-looking information involves known and unknown risks, uncertainties and other factors that may cause Timminco's actual results, performance or achievements to be materially different from those expressed or implied by such information, including, but not limited to: global economic conditions; liquidity risks; credit risks; customer commitments for solar grade silicon; customer deposits; solar grade silicon production costs; quality of solar grade silicon; selling prices for solar grade silicon and silicon metal; producing ingots with the Company's solar grade silicon; production capacity expansion at the Becancour facilities; pricing and availability of raw materials; limited history with solar grade silicon production; protection of intellectual property rights; dependence upon power supply; customer concentration; returns of scrap material; closure of former magnesium facilities; investment in Applied Magnesium; interest rate risks; financing for capital expenditures; foreign currency exchange; environmental liabilities; class action lawsuits; dependence upon key executives and employees; completion and integration of potential acquisitions, partnerships or joint ventures; risks with foreign operations and suppliers; environmental, health and safety laws and liabilities; equipment failures; transportation disruptions; conflicts of interest; intellectual property infringement claims; new regulatory requirements; labour disputes; changes in tax laws; and climate change.
These factors are discussed in greater detail in Timminco's Annual Information Form for the year ended December 31, 2008, and Timminco's most recent Management's Discussion and Analysis, each of which is available via the SEDAR website at www.sedar.com. Although Timminco has attempted to identify important factors that could cause actual results, performance or achievements to differ materially from those contained in forward-looking information, there can be other factors that cause results, performance or achievements not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate or that management's expectations or estimates of future developments, circumstances or results will materialize. Accordingly, readers should not place undue reliance on forward-looking information. The forward-looking information in this news release is made as of the date of this news release and Timminco disclaims any intention or obligation to update or revise such information, except as required by applicable law.

Contact Information

  • Timminco Limited
    Robert Dietrich
    Executive Vice President - Finance and CFO
    (416) 364-5171
    (416) 364-3451 (FAX)
    rdietrich@timminco.com
    or
    The Equicom Group Inc.
    Lawrence Chamberlain
    (416) 815-0700 ext. 257
    (416) 815-0080 (FAX)
    lchamberlain@equicomgroup.com