LMG 2.08% 4.7¢ latrobe magnesium limited

Ann: Latrobe Magnesium Community Presentation, page-18

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    I think they will need a reliable uninterrupted baseload especially to heat the kiln and dryers. The realistic options are Hydro and gas. Gas is probably the most economical however at a social cost. It's worthwhile chasing the "green" label as that will differentiate it from other Mg producers. Solar and wind should be able to power all the ancillary - and if there is no sun and wind for a period they can fall back on the hydro/gas. I doubt that we will get XR gluing themselves to the kiln. In the end if 50% of energy consumption is renewable then that a good effort and will differentiate from others and hopefully increase over future years. It's a matter of how much it costs to deliver hydro power to site plus intangible value of 100% renewable label against using some gas which is available on the grid at the front gate. I'm all for renewables however we have to be mindful of production costs and profitability threshold.
 
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