Ann: Dividend Policy, page-50

An interesting development over the last few days when Latrobe Magnesium LMG announced that they plan to build a 100,000 tonne magnesium plant in Sarawak basically next door to OM Holdings ferro alloy plant.
One of the requirements for LMG's magnesium plant is cheap power and access to ferrosilicon. It takes 1.1 tonne of ferrosilicon to produce one tonne of magnesium using the Pidgeon process.
According to wikipedia "the energy efficiency of thermal processes is comparable to electrolytic ones, both requiring roughly 35-40 MWh/ton."

Since OMH is the largest producer of ferrosilicon in SE Asia (outside China) + OMH is the cheapest producer then LMG will need to deal with OMH for their magnesium production.