IMO the OPEX won't be $21p/t if the infrastructure is provided by a third party.
That third party is going to need to charge tariffs so that it can repay the 70-85% debt on the $4Bn infrastructure CAPEX price tag that was talked about in the last presentation. If SDL doesn't pay tariffs how is the infrastructure provider going to operate, repay debt/interest, and make a profit?
SDL will still be very profitable though. IMO the company is moving in the right direction if it is looking at others to provide the infrastructure while it worries about securing off-take and a JV deal at the mine level.
Russian predictions of IO prices in 2014 are irrelevant when SDL's project wouldn't be producing until ~2017-2018.
SDL Price at posting:
11.5¢ Sentiment: None Disclosure: Not Held
