much to like about gbg, page-13

cmhan

get this, wuhan china steel is establishing a steel plant in brazil, note! brazil in not a town in china.

there is a world wide trend in operating mini steel mills.
the name mini steel mill is only jargon, a mini steel mill can be as big or as small as need dictates.

the prime economic consideration in operating a mini steel mill is that it is best located near the steel making material inputs, in australia there is an abundance of natural gas and iron ore which pelletised are fed into dri furnaces.

a dri plant fed by gas and iron ore pellets has lower carbon emmissions and is more energy efficient than regular coke fired blast furnaces.

lower emmisions means that there is lower carbon tax penalties.

a dri plant and mini steel mill would be ste up to manufacture a specific or high quality steel products to suit the particular market requirement.

the steel would be shipped os to china and asia cleanly from port to port without the dust pollution from iron ore.

and when in the importing port the the steel would be stacked and transported cleanly, neatly and efficiently without the need to double handle a messy, polluting, bulky stack of iron ore.

also there would be no need to stock pile imported iron ore at extra material storage and interest expenses because there would be efficient production and delivery systems in place from the australian steel mill.

once this type of steel making and delivery system was established it would be far more economic and enviromentally beneficial then hauling the iron ore to a distant port.

ther are steel mills globally which dont seem to have overwhelming labour cost issues.

it is not insurmountable that there could be positive action provided to allow temporary foriegn workers to to set up and run a chinese/australian steel mill.

to establish a local steel making industry a switched on government could provide various tax, real estate and infrastructure incentives as in time the government would reap considerable tax revenue from the industry.

the overiding factor in the production of steel in a steel hungry world is not necessarily about profitability but capacity to produce and supply efficiently and evironmentally.

WA has the natural gas, GBG has the iron ore for the pellet making and ANSTEEL has the market place.

given all the above there is a compelling case for the establishment of a pellet/dri/steel plant at okajee.