If the company can progress this in a material manner, it would definately have a strong positive effect on the SP, but it is a big task to make it happen. Ive been trying to find some numbers in relation what C1 costs are when it comes to rail transport without luck at this stage, IMO they will need to extend the rail to within 100-200km of the mine to make it viable long term. Road transport costs are around the $10 per 100km mark, so the 900km journey to Esperance will not be cheap, and won’t be viable when a glut occurs, but into the future when peaks in the IO price occur this option to Esperance will be lucrative
GWR Price at posting:
39.0¢ Sentiment: Buy Disclosure: Held
