In markets with low transparency, no spot price, and few major...

In markets with low transparency, no spot price, and few major players the game is to control supply. It doesn't necessarily mean increase supply. You only need to look at what happened to vanadium and Glencore in WA.

http://www.chemlink.com.au/vanadium.htm

The WA government tipped in $20 million dollars for help with a gas pipeline for the mine at Windimurra and another $96 million to upgrade the roads for the project.

The project was a 51%/49% JV between Xstrata and Precious Metals Australia and was 50% larger than the next biggest project in the world producing vanadium pentoxide at that time. It started in 1998/1999.

When the price of vanadium pentoxide fell in 2000 Xstrata bought PMA's share for a song and in 2003/2004 shut the mine and dismantled the mine piece by piece. They trashed the mine to make sure it wouldn't restart because by that time they controlled much of the world's vanadium production. The WA government were left with pie on their faces and a lot of questions were asked in parliament as to how Xstrat were allowed to vandalise the mine in the way they did, effectively razing it to the ground.

Business is business as they say. Esh