Ann: Funding Agreement , page-16

Eyeoverit,

CITIC will NEVER balance out for another 1,000 years.

$10B capital, interest rate of 5% = $500m PA on interest-only payments. Plus they paid $400m bought 1 Bt of ore and paying massive royalties and tax, plus depreciation of equipments.... all for 20 mt pa.

I know someone very senior up in Chinese government. They are watching how CITIC goes before deciding further investment in magnetite iron ore (eg Midwest, Oakajee).

I think they paid $400m for Midwest and another $400m Cape Lambert... all doomed.

FWL does not have capacity to produce 20mt pa without railway. Further, as nose said this pig ore nuggets still in early stages. I don't see FWL going anywhere for many years.

Just IMHO.