Intrepid Potash Inc. (Intrepid) (NYSE:IPI) announced 2012 second quarter financial results today. Intrepid earned quarterly net income of $19.0 million and earnings per diluted share of $0.25 from the sale of 184,000 tons of potash at an average net realized sales price 1 of $465 per ton. Adjusted EBITDA 2 for the quarter was $42.9 million. Additionally, capital investment deployed during the quarter was $62.2 million, with the Company on pace to invest $225 to $300 million in 2012.
“Our successful results in the quarter came with several important operational milestones in both New Mexico and Utah,” said Bob Jornayvaz, Intrepid's Executive Chairman of the Board. “Our West facility in Carlsbad, New Mexico, continues to perform well. During the quarter, we achieved three daily hoisting and processing records at this facility. Our Wendover, Utah, mine is running well, with strong recoveries and increased throughput. In Moab, Utah, the expansion of our underground cavern network is underway with the development of a new horizontal cavern system. This new multi-well horizontal cavern system will help grow our low-cost solar evaporation production from Moab. Construction at our HB Solar Solution mine and North compaction projects in Carlsbad, New Mexico, is on track. Simply put, we continue to move forward our investments in the business to deliver strong returns to our stockholders and provide a high quality product to our customers.
“We are closely monitoring the drought conditions in the various markets that we serve and the dramatic impact they are having on commodity prices. The drought is an important reminder to us of the value of serving diverse markets with a diverse product mix. Even in turbulent market conditions, we are able to deliver strong results based on our geographic advantage, our marketing flexibility, our production flexibility, and our strong customer relationships. We are confident that we will continue to deliver solid results for the remainder of 2012.”