I still do not understand why people are having issues with...

I still do not understand why people are having issues with this?
this is a very common model throughout the world :
Source and input
processing
output
user

this model doesn't change. How it is used can alternate in various transactions. However this is the basis. 

wfe  has adopted the quickest method to become a producer. The source for the input is not the traditional owned mine but externally sourced. Yes not as cheap but still effective if the margins are viable. It has an existing plant. Now for upgrading and the final 2 steps. This is the difference between a successful entrepreneur who uses the principles vs one who copies and follows. It is why many struggle to comprehend on the forums as the method appears unusual even though the basic principle is model  is no different. We see a lot of these throughout the world especially in developing nations where reconditioned and second hand market is strong. In Sri Lanka people sell used Toyotas for close to purchase price 4 years after use. They actually look for profit LMAO. 
the main aspect  for me is the actual execution of these agreements - if successful it's magnificent as it enables the company to progress the traditional means in due course with minimal dilution.