Mineral Resources (MIN) is probably casting their eye over...

Mineral Resources (MIN) is probably casting their eye over atlas.

There is an opportunity to extract synergies from their port operations at Utah point where they both are sharing facilities from their operations, once Iron valley is up this could result in lower fixed costs if the operations are unified.

In addition they both truck their ore to port hedland so utilising one haulage contractor instead of two can heavily reduce all in cash costs.

MIN is also a mining services contractor so they can develop Corunna downs and McPhee creek in terms of crushing and mine site services for next to nothing as they can keep the intragroup revenues and profits.

They are both headquartered in Perth so eliminating the Atlas head office would result in cost synergies of around 20-30 Million (cut the fat out of Atlas' management) which would slash fixed costs over substantially higher combined group tonnage which could come out of Iron Valley. (this is uncertain as BCI could look to FMG for a rail solution for Iron Valley though)

DYOR