erms sr plant, page-2

My take on it,

Q1. The Iluka Qld deal would have meant APG expending itself financially on a resource that was not robust enough.The APG plant would have only performed for half its useful life.
Iluka then would have swallowed APG.........so APG declined the deal.

Q2 BHP are in the box seat now........if they don't take up then Iluka can suggest another deal.

Q3 The economics of sandmining now with zircon at such a high price means the ilmenite doesn't have to be produced and sold into a soft marketplace.Especially in view of Corridor Sands coming on stream...the other market suppliers are reluctant to commit capital into a new plant and are willing to accept substantially less returns by training ilmenite to West Australia for processing to meet contracts ( I think Iluka has announced a closure of one W.A. processing plant )or simply dumping the ilmenite as minefill.