Vegies, is that the best you can come up with in the discussion. The bloke missed an R in the spelling. Wow.
I'd be more concerned about the power costs which you blokes don't seem to have a clue about.
Maybe you should have a look at whats happening in South Africa where the Gov't has been propping up Eskom, and now they're trying to recoup the losses over the past few years. This is the same scenario as PLN in Indonesia, well Eskon are now looking at escalating the power costs by 30% just to break even.
Maybe you should also look at Ferbasa in Brazil where rising power costs are now crippling the core earnings. See latest report on MB
Power costs are the most important factor by far in a smelter operation, frankly who cares these days whether the Mn is next door in the field or in South Africa or Ghana. These huge mines like Tshipi are producing 3.3 million tonnes for US$2.20/dmtu and can be shipped anywhere.
BUT, you can't ship power to a factory, so you build the factory where the cheapest power is and have a long term agreement with power costs. In Sarawak the power costs for 2018 are US$0.03/KWh and by 2034 the agreement for OM Sarawak states that the power cost will be US$0.045/KWh.
That is how a smart operator does business.
GMC Price at posting:
1.2¢ Sentiment: Sell Disclosure: Not Held