Albemarle Corporation (ALB) Q4 2022 Earnings Call Transcript

Albemarle Corporation (NYSE:ALB) Q4 2022 Earnings Conference Call February 16, 2023 9:00 AM ET

Company Participants

Meredith Bandy - Vice President of Investor Relations & Sustainability

Kent Masters - Chief Executive Officer

Scott Tozier - Chief Financial Officer

Eric Norris - President, Energy Storage

Conference Call Participants

P.J. Juvekar - Citi

David Begleiter - Deutsche Bank

Jeff Zekauskas - JPMorgan

Stephen Richardson - Evercore ISI

Christopher Parkinson - Mizuho

John Roberts - Credit Suisse

Operator

Ladies and gentlemen, invited to nan Albemarle Corporation Q4 2022 Earnings Call. My sanction is Glenn, and I’ll beryllium nan moderator for today's call. [Operator Instructions]

I will now manus you complete to your host, Meredith Bandy, Vice President of Investor Relations and Sustainability. Meredith, please spell ahead.

Meredith Bandy

All right. Thank you, Glenn, and welcome, everyone, to Albemarle's 4th fourth and afloat twelvemonth 2022 net convention call. Our net were released aft nan adjacent of marketplace yesterday, and you will find nan property merchandise and net position posted to our website nether nan Investors conception astatine albemarle.com.

Joining maine connected nan telephone coming are Kent Masters, Chief Executive Officer and Scott Tozier, Chief Financial Officer, Raphael Crawford, President of Ketjen; Netha Johnson, President of Specialties; and Eric Norris, President of Energy Storage are besides disposable for Q&A.

I'll statement that today's telephone will beryllium constricted to 30 minutes shorter than our accustomed quarterly updates since we conscionable held an in-depth update astir 3 weeks ago. The replay of that webcast is disposable connected our website.

As a reminder, immoderate of nan statements made during this call, including our outlook, guidance, expected institution capacity and timing of nan description projects whitethorn represent forward-looking statements. Please statement nan cautionary connection astir forward-looking statements contained successful our property merchandise and net position that aforesaid connection applies to this call. I'll besides note that immoderate of our comments coming mention to non-GAAP financial measures. A reconciliation to GAAP financial measures tin beryllium recovered successful our net merchandise and nan appendix of our net presentation.

With that, I'll move nan telephone complete to Ken.

Kent Masters

Thanks, Meredith. Good morning, and convey you for joining america today. I'll commencement by highlighting that our 4th fourth results were exceptional pinch adjacent to triple nan nett income from nan aforesaid play successful 2021 and adjusted EBITDA up much than 400% year-over-year. And while rising lithium pricing contributed to these results, we besides saw important accrued measurement growth. Scott will spell into nan financial specifications for nan 4th and nan year.

We are assured successful our appraisal of nan marketplace opportunity for our basal elements and arsenic assured of our expertise to prehend that opportunity. We expect nett income maturation of 55% to 75% for 2023. Our strategy is not conscionable to support but to build connected our world activity successful some Energy Storage and Specialties, and we proceed to put successful some capacity and invention to make that happen.

And now I'll move it complete to Scott for details.

Scott Tozier

Great. Thanks, Kent, and bully morning, everyone. Let's commencement connected descent 5 to quickly reappraisal nan 4th fourth 2022 performance. Net income for nan 4th fourth closed astatine astir $2.6 billion, up 193% from past year, driven chiefly by our Lithium segment, but we saw increases successful bromine arsenic well. Net income attributable to Albemarle was $1.1 cardinal for nan 4th quarter. Diluted EPS for nan 4th fourth was $9.60, which was a grounds for Albemarle. In fact, it easy hit our erstwhile afloat twelvemonth EPS grounds of $6.34 backmost successful 2018.

Turning to descent 6. Fourth 4th adjusted EBITDA was complete $1.2 billion, up almost 5.5 times year-over-year. This $1 cardinal summation was chiefly driven by higher lithium prices and accrued volumes. As you tin spot connected nan slide, this precocious quarterly results besides contributed heavy to our afloat twelvemonth summation successful adjusted EBITDA of astir 300%.

Our Bromine conception was up slightly. And arsenic expected, our Catalyst conception came successful little successful nan 4th arsenic higher income volumes and favorable pricing were offset by a works shutdown owed to nan wintertime frost successful Texas successful December.

Full twelvemonth 2023 guidance is unchanged from our strategical update successful January. We proceed to expect beardown sequential income maturation successful 2023. And remember, we person assumed level year-end 2022 lithium pricing passim 2023. We expect our adjusted EBITDA to beryllium astir 20% to 45% higher than 2022, pinch affirmative trends successful each 3 businesses.

Additionally, we expect nett rate from operations to emergence betwixt 10% and 25% complete 2022. And this intends we expect to stay free rate travel affirmative this twelvemonth moreover aft expanding our maturation investments.

On descent 8, we expect to spot nett income summation sequentially quarter-to-quarter, arsenic our volumes ramp up. We task that our adjusted EBITDA will beryllium evenly divided betwixt nan first and 2nd halves of nan year. And arsenic a result, we expect that separator rates will mean arsenic we advancement done nan year, and I'll travel backmost to that successful a moment.

All 3 of our business segments are looking astatine patient maturation rates during nan twelvemonth reiterating what we elaborate successful our January event. Since our webcast successful January, a batch of nan questions we've gotten are astir margins and superior expenditures. So I'll supply immoderate further colour and clip connected those 2 items, and past Kent will supply a marketplace update.

So let's move to descent 9. Energy Storage EBITDA margins were 65% successful 2022. And past successful 2023, a little effect of spodumene inventory, and accrued effect of our JVs is expected to normalize our 2023 margins to astir 46% to 47%. Most of that astir 20 percent constituent diminution is owed to spodumene inventory lags. It takes astir six months for spodumene to spell from our mines done conversion to our customers.

Last year, we saw melodramatic increases successful pricing for lithium and spodumene. And owed to that clip lag connected spodumene inventory, we realized higher lithium pricing from our customers faster than higher spodumene costs. And arsenic a result, we had unusually beardown margins successful 2022, peculiarly successful nan 2nd half.

The adjacent point affecting margins is nan accounting curen of nan MARBL associated venture. We expect to study 100% of nett sales, but only our stock of EBITDA, resulting successful a little reported separator connected that information of nan business. As this associated task continues to ramp up, this accounting effect will increase. We are successful progressive discussions pinch our partner astir restructuring nan MARBL associated task and expect to person news connected this soon.

Finally, our EBITDA margins are impacted by taxation disbursal astatine our Talison associated venture. Talison income is included successful our EBITDA connected an after-tax basis. If you set Talison results to exclude this, margins would beryllium astir 8% to 10% higher successful 2023.

Let's move to our superior expenditures outlook connected descent 10. We are investing pinch 3 goals successful mind. First, to adhd conversion capacity and stay vertically integrated; second, to put successful caller merchandise exertion to support artillery advances; and third, to build and support our world-class assets base. To meet these goals, we expect superior finance to summation from astir $1.7 cardinal to $1.9 cardinal successful 2023 to astir $4 cardinal to $4.4 cardinal successful 2027. About half nan summation successful superior disbursal relates to geographic diversification to support customer request for location lithium conversion and supply.

In 2023, we're investing successful our conversion capacity successful Meishan successful Qinzhou. And arsenic nan EV marketplace develops successful different parts of nan world, we will proceed to invest. For example, we are readying investments successful North America and Europe, wherever we estimate superior strength to beryllium much than double.

Second, by mid-decade, we expect to put much successful exertion to nutrient precocious power retention materials for next-generation batteries. And lastly, we expect to put successful further assets development. Across our superior spending, astir 5% is linked to sustainability, including improvements to caller and existing facilities. These investments are expected to make beardown returns, allowing america to proceed to put to support our customers while generating important free rate flow.

With that, I'll move it complete to Kent for a little marketplace update and closing remarks.

Kent Masters

Okay. Thanks, Scott. As China reopens, we expect moderation successful EV request to beryllium short-lived pinch mean and semipermanent request remaining robust. We proceed to expect EV income successful China to turn 40% year-over-year, an summation of astir 3 cardinal vehicles. As you tin spot successful nan floor plan connected nan right, income successful China are seasonally anemic astir nan Lunar New Year. We judge nan latest phasing retired of subsidies will person constricted effect connected demand. EV subsidies person rolled disconnected connected schedule since 2013 pinch only little declines successful sales, continued municipal incentives and user preferences support a beardown request outlook for EVs.

Our statement customers are not slowing down their ordering patterns and early indications are some that cathode inventory and artillery inventory successful China are decreasing, which is simply a bully motion for lithium sales. We're listening to our customers, and we'll beryllium watching nan data, truthful we'll proceed to set our anticipation arsenic nan twelvemonth progresses.

Our biggest situation is managing nan tremendous maturation opportunity that is successful beforehand of us. We are leveraging our durable competitory advantages for illustration our world-class resources, our world plus portfolio and method know-how to proceed to grow. And we are being perfectly disciplined astir really we build our activity position, peculiarly erstwhile it comes to scaling lithium accumulation and conversion.

We intend to accelerate maturation profitably and successful ways that align pinch customer needs. We are assured that electrification will proceed to beryllium a superior pathway toward a cleanable power future, but we besides admit that nan early for Albemarle is built connected much than electrical vehicles and done much than conscionable our accumulation capacity.

As we said successful our strategical update, our spot successful transforming resources into basal elements springiness america outstanding activity opportunities successful 4 cardinal areas: mobility, energy, connectivity and health. We cognize that customer-focused innovations and sustainability are arsenic basal to our early arsenic our assets capacity arsenic we activity to fulfill our intent of enabling a much resilient world.

So, now we'll move to Q&A. And Glenn, you're going to mean that.

Question-and-Answer Session

Operator

Thank you. [Operator Instructions] Our first mobility comes from P.J. Juvekar from Citi P.J., your statement is now open.

P.J. Juvekar

Yes. Hi, bully greeting everyone. Just a semipermanent question. As you get fresh for Kings Mountain tract to perchance restart in, let's say, 4 aliases 5 years, I cognize you're doing a batch of organization outreach and engagement today. But tin you laic retired for america nan milestones successful position of permitting process. And aft nan IRA, do you deliberation nan process has gotten immoderate easier? Thank you.

Kent Masters

Okay. So, each right, interesting. So, I mean we are doing a batch of organization outreach. It's not truthful overmuch astir nan permitting process. It's conscionable benignant of really we're doing business erstwhile we spell astir a task for illustration this. So, -- and we expect to proceed to do that passim nan life of nan excavation arsenic we do that and different mines and different sites arsenic well.

So, we're conscionable -- we're changing a small spot really we do that, learning from immoderate of nan occurrence that we've had successful Lithium business, and we use that to our different sites arsenic well, whether we're mining location aliases not. But we'll proceed to spot that outreach.

On nan -- has nan permitting process gotten easier since nan IRA, I deliberation there's a hostility connected it. We are hopeful that it whitethorn beryllium a small spot easier and streamlined, but I can't -- we can't opportunity that it's gotten that measurement yet. That's my view. And past immoderate of nan milestones successful permitting, Eric, do you want to remark connected that?

Eric Norris

I guess, P.J., bully morning. I deliberation that nan first measurement would beryllium permitting towards nan second arsenic opening to use for permitting towards nan second half of this year. We've been successful feasibility activity connected biology broadside and sustainability broadside to hole for that permit. And we person a permitting strategy that tin get each nan specifications connected here, but I'd opportunity leverage is nan truth that it's a brownfield site.

So, we're optimistic that moreover though there's -- arsenic Kent said, there's hostility and attraction connected nan permitting process that this peculiar mine, fixed its brownfield history, we'll person hopefully a accelerated review. So, we'll proceed to show that intimately and update you accordingly.

Kent Masters

Yes. But moreover though we're not -- we're filing for permits this year, we've been doing activity connected gathering information for that process for almost 2 years, I think, I'm not precisely judge really long, but for rather immoderate time, nan information that's basal for those permits, nan history astir everything that you person to study connected to get nan permits. So, it's a process that takes a small time. And moreover though we haven't formally revenge yet, we've been moving connected that for a mates of years.

P.J. Juvekar

Thank you. I'll walk it along.

Operator

Thank you, P.J. Your adjacent mobility comes from David Begleiter from Deutsche Bank. David, your statement is now open.

David Begleiter

Thank you. Good morning. Eric, conscionable connected lithium spot value successful China, it's not a awesome attraction of ours. We person seen continued softening complete nan past fewer weeks. What do you make of that?

Eric Norris

David, I would opportunity it has a batch to do pinch what Kent described successful his remarks. We've travel disconnected retired of a play of clip successful 2022 of singular growth, that exceeded expectations successful position of EV accumulation and was going astatine a beautiful heady gait erstwhile nan determination was taken to reopen nan system and past -- and of course, you cognize what happened thereafter. I mean nan microorganism dispersed rather rapidly, and it did unit user request astatine a clip erstwhile seasonally, it was anemic anyhow because of nan Lunar New Year.

I deliberation there's overmuch been made astir nan subsidies arsenic good rolling off, but those person been rolling disconnected for respective years. Some of them person been extended astatine nan provincial level, and immoderate of nan much meaningful subsidies are astatine nan authorities and section level anyway. So we don't deliberation that, that's a large issue, and we've surely seen that successful anterior years person initially a spike successful request instantly earlier nan subsidy comes off, a driblet successful request correct aft it comes disconnected and past a rebound successful demand.

Our projection and our customers' position is that this year, peculiarly successful nan 2nd half, we'll spot that maturation that's projected of adjacent to 40%. In nan meantime, group are buying nether contracts, but not venturing into nan spot marketplace and bringing their -- successful China, bringing their inventories down rather low, because we're successful this post-holiday play pinch still immoderate uncertainty successful nan very adjacent term. We expect that to beryllium short-lived though pinch nan request rebound later this year.

David Begleiter

Very helpful. And Scott, conscionable connected nan afloat twelvemonth guidance, convey you for nan first half, 2nd half split. Any further thoughts connected nan Q1 versus Q2 divided successful EBITDA?

Scott Tozier

Yes, I would expect that Q1 would beryllium stronger than nan 2nd quarter. Again, it's really driven by that inventory lag that we're seeing yet arsenic good arsenic nan beardown prices successful nan 4th fourth that transportation into nan first quarter, ultimately. So, ultimately, I deliberation nan first 4th is simply a spot stronger than nan 2nd quarter.

David Begleiter

Excellent. Thank you very much.

Operator

Thank you, David. We person our adjacent mobility comes from Jeff Zekauskas from JPMorgan. Jeff, your statement is now open.

Jeff Zekauskas

Thanks very much. If lithium prices stay level successful 2023, is it nan lawsuit that your equity income from Talison would stay astatine that 332 [ph] level each nan measurement done 2023? And is Talison making arsenic overmuch spodumene arsenic it tin make aliases is location room for it to move up successful 2023 and 2024?

Scott Tozier

Yes, I'll return nan equity income mobility and maybe, Eric, you tin return nan accumulation question. So we'd expect -- if lithium prices enactment flat, we'd really expect nan equity income retired of Talison to increase. If you remember, nan transportation value retired of Talison is connected a, astatine slightest historically been connected a six-month lag. It's now shifted to a three-month lag. And truthful that -- nan increases that person happened past twelvemonth will commencement to travel done successful nan first half of 2023. So I'd expect it to beryllium higher. Eric, do you want to talk astir production?

Eric Norris

Yes. And Jeff, pinch respect to production, you whitethorn cognize that CGP1, nan first statement has been moving for years now is astatine max rates. CGP2 came connected successful nan caller past and is ramping a ramp past year. There is imaginable -- anticipation for that to tally it slightly, I mean, nan upside would beryllium it tin tally astatine a somewhat amended rates. It's not -- there's immoderate productivity successful nan bottlenecking activities to make that could consequence successful that, though it is moving adjacent to capacity. And past there's further from nan tailings reprocess lithium that's being added. So it's higher year-on-year, and there's imaginable for beryllium somewhat higher if those productivity initiatives are successful.

Jeff Zekauskas

Okay. Great. And you said of your first half and 2nd half lithium EBITDA arsenic being comparable. Given that there's truthful overmuch much accumulation coming retired of Chile. Why would that beryllium nan case? Shouldn't your volumes beryllium stronger successful nan 2nd half of 2023?

Scott Tozier

Yes. They'll decidedly beryllium stronger. It will beryllium connected nan ground of nan accumulation retired of Chile, but besides nan ramping up of lodging and nan conversion there. And past nan further measurement that Eric conscionable talked astir pinch Talison. Of course, prices are up, but we're assuming prices level passim nan twelvemonth based disconnected of really we exited 2022. And past you person sewage to furniture connected nan costs impacts that I talked astir connected nan call. So you've sewage nan spodumene inventory lag that corrects itself this year. You've sewage arsenic Wodgina ramps up, you person a separator complaint effect location that conscionable owed to nan truth that we study a 100% of nan gross and only half of nan EBITDA.

Jeff Zekauskas

Okay. Great. Thank you truthful much.

Operator

Thank you, Jeff. With our adjacent mobility comes from Stephen Richardson from Evercore ISI. Stephen, your statement is now open.

Stephen Richardson

Hi. Good morning. I was wondering if you could excavation successful a small spot connected nan European strategy. It seems clearly, successful China, you've acquired and built conversion capacity. And successful nan US, it looks for illustration things are really centered astatine Kings Mountain. Could you talk a small spot astir Europe successful position of really you're reasoning astir really this evolves? I cognize it's early, but -- is this an area wherever we would spot you bring worldly from either Chile aliases Western Australia? And past do you envision yourself partnering aliases doing much of a greenfield arsenic it comes to supplying connected nan continent?

Kent Masters

So I'll commencement pinch that. Eric tin capable successful a small bit. So I deliberation you're -- I mean, you answered portion of nan question. So -- we're moving from China. North America. We've sewage -- we person assets strategy and a programme for North America, we're investing location and we'll beryllium a akin programme successful Europe. We don't person nan assets guidelines successful Europe that we person successful North America.

So we'd for illustration it to beryllium a operation of immoderate section resource, which we don't person astatine nan moment, and past bringing immoderate -- bringing assets in, successful immoderate form. And that's astir apt going to beryllium from Chile and Western Australia, because it's wherever nan large assets bases are astatine nan moment. And we conscionable sewage to activity retired nan strategy of really we bring that successful nan astir economically and nan astir sustainable measurement that we can, and that's going to beryllium astir nan strategy pinch nan assets that we put connected nan crushed successful Australia. Eric, tin talk astir partnering.

Eric Norris

Yes. So Stephen, it would beryllium a greenfield tract arsenic location really are nary brownfield sites for specified capacity successful Europe today. And we've gone done a tract action process and looked astatine galore countries and haven't drawn that down adjacent capable yet to make an announcement aliases to opportunity thing publically further astir it. But that being said, it would beryllium a works that would beryllium modeled very intentionally aft what we've done present successful North America aliases we want to do successful North America, I should opportunity -- astir a works that is capable to process a assortment of different feedstocks.

I can't mention Chile. That would beryllium a carbonate provender aliases spodumene aliases derivative of spodumene coming from Australia into Europe and besides having nan expertise to person recycling. We very overmuch position that benignant of strategy being 1 that has an opportunity for a partner, whether that beryllium an OEM aliases different producers successful nan artillery proviso concatenation successful nan region. And we don't person thing further we tin opportunity astir that, but that's an effort that remains underway successful position of really we mightiness partner to bring astir that closed loop process successful summation to nan benignant of nan virgin lithium accumulation we intend to put connected nan continent.

Stephen Richardson

Appreciate nan color. Thanks. If I could conscionable put successful 1 follow-up, I admit nan comments disconnected nan apical successful position of nan CapEx outlook. One of nan questions that we fielded connected this is it's clear that your – this CapEx outlook is simply a usability of looking astatine nan existent situation aliases I deliberation you utilized year-end 2022 situation for pricing going forward. So important to recognize that you're not obligated to walk this $4.4 cardinal successful 2017. I guess, nan 1 constituent of explanation is, is that a highest for CapEx based connected nan Project Q that you're looking at, for illustration this CapEx travel down successful 2028, 2029 based connected that cadence of task spend? Thank you.

Kent Masters

Yeah. So yeah, I would opportunity – I mean, you're right. We're not committed to it. So we will look, arsenic things germinate and go, that's our champion view. We put a five-year scheme retired there. That's our champion position – nan champion position of what we'd beryllium doing complete 5 years. So – but immoderate superior that we'll beryllium investing successful 2027 will beryllium for 2031, 2032 market. And it's a beautiful agelong measurement to beryllium capable to foretell that from here.

So it's – we don't want to spell past that five-year forecast that we put retired there. It could level off. I mean, it conscionable depends connected what nan marketplace looks like, and we'll cognize a batch much successful 5 years' clip than we do today. But immoderate superior we're spending successful 2027 is that's for 2032 aliases 2031, immoderate nan clip framework is astir that.

And past it's important to statement that, our CapEx programme becomes much assets oriented. I mean, it will beryllium – it's been conversion successful nan near-term, because we've had nan resource. It will beryllium much balanced betwixt conversion and assets arsenic we get retired into that clip frame.

Stephen Richardson

Thank you.

Operator

Thank you, Stephen. We person our adjacent mobility comes from Christopher Parkinson from Mizuho. Christopher, your statement is now open.

Christopher Parkinson

Great. Thank you truthful much. Can you conscionable springiness a small spot much incremental accusation connected really we should beryllium reasoning astir nan ramps astatine some Kemerton and Qinzhou, and whether aliases not there's immoderate conscionable very little updated thought process connected your further capacity optionalities, particularly successful nan United States done nan equilibrium of nan decade? Thank you.

Kent Masters

Okay. So – and I guess, I mean, Qinzhou is operating, and it will ramp up. So location are make authorities we person to do – we person to do there. So moreover we're operating today, we'll person to return it down to do those make authorities to get further volume, and there's a imaginable to grow astatine Qinzhou arsenic well, but that's not a task that we're executing astatine nan moment. So that's – we want to get up nan velocity and operating, but it's operating today, and we'll astir apt – it will ramp up complete nan adjacent year, I think, to benignant of nan afloat capacity, acquisition capacity, which is astir – we target astatine 25,000 tons.

Kemerton is making merchandise today, but we're not trading successful nan merchandise because we request to get qualification from our customers. So we're – that's wherever we are. And past that will ramp complete clip – and we've – nan strategy – originally, nan strategy astatine Kemerton was to execute some train simultaneously. We've bifurcated that, because we struggled pinch labour during nan pandemic and still, frankly, struggle pinch labour astatine Kemerton. So we're sequencing nan commissioning and implementation.

So Train 1 is operating and making product. Train 2 is not, and it's astir apt six months down Train 1, I would say. And past that will ramp complete time. We've ever said, we ramp those projects, we planned those projects to ramp from start-up to afloat capacity complete a two-year period. And I deliberation that's astir apt nan -- still nan norm of thumb that we're following. And is location different portion of nan question?

Christopher Parkinson

Yeah. Just immoderate updated thought process connected your further projects that you tin measure specifically successful nan US complete nan adjacent fewer years? Just immoderate updated thoughts? That's all. Thank you.

Kent Masters

Yeah. So astir apt thing caller since nan telephone a fewer weeks ago. So we're still looking astatine nan tract action for a conversion installation to person nan Kings Mountain aliases Silver Peak, we've expanded and it's operating astatine that description rate, possibly a small spot much ramp-up to do astatine Silver Peak, but it's operating astatine that higher rate.

And past nan different would beryllium Magnolia aliases -- and that is simply a small spot further out, but we're making advancement location and readying that project, but we've not kicked it disconnected from an FID standpoint yet.

Christopher Parkinson

Very helpful. Thank you truthful much.

Operator

Thank you, Christopher. And our past mobility comes from John Roberts from Credit Suisse. John, your statement is now open.

John Roberts

Thank you. I deliberation your guidance is based connected nan December 31st realized price, but I conscionable want to clarify, nan equity income wrong that guidance is based connected value rising done nan first 4th because of nan lag and past for nan remaining quarters of 2023, nan equity income has a level value aft that lags recovered.

Scott Tozier

It's really -- connected nan equity income, it really goes up successful nan first half, done nan first half. So -- and past we'll spot volumetric increases retired of that arsenic well. So it really increases done nan twelvemonth sequentially.

John Roberts

Okay. And past immoderate update connected nan negotiations pinch Mineral Resources connected nan MARBL JV?

Kent Masters

So not a existent update. Scott had said successful his comments that we proceed to talk pinch our partners and that we expect to beryllium capable to denote thing soon, but thing for today.

John Roberts

Okay. Thank you.

Operator

Thank you, John. Ladies and gentlemen, that's each nan clip we person for questions. I will now walk nan level backmost to Ken Master for closing remarks.

Kent Masters

Okay. Thank you. As you heard coming and during our January webcast, we consciousness we person nan correct strategy, nan operating exemplary and nan group to meet this opportunity and negociate our business successfully to turn coming and good into nan future. So convey you for joining our telephone and your liking successful Albemarle. Thank you.

Operator

Thank you. Ladies and gentlemen, this concludes today's call. Thank you for joining. You whitethorn now disconnect your lines.