Been said many times before, but with FID literally now a...

Been said many times before, but with FID literally now a formality... Thunderbirds are go !

Noticed this little amendment to the original Orion debt facility Royalty description, it only relates to Stage 1 tonnage (8.2Mt) not annual tonnage which rises to ~24Mt Stage 2, meaning the royalty is only bit over one third how it read original release. Still a bloody good deal for Orion imo given that royalty is essentially an inflation proofed interest payment swap that will strongly grow with time one assumes, but it's also a backdated interest payment for KMS which helps over the first 7 years building production and balance sheet strength.

Through the magic of discounting, future payments heavily contract back through time using a discount rate of 8% to approx a net 12% cost of Orion debt calculated over the first 7 years only if it was simple 100% balloon repayment bond type issue. Good luck getting any debt in today's market unless you're in the fashion game like lithium etc. Needless to say, if the royalty was on the entire production rate for years 8 to 34 instead of Stage 1 only, the net cost of debt would have been considerably higher.