IMHO, Expanded MDL has pretty well secured ilmenite feed for...

IMHO,
Expanded MDL has pretty well secured ilmenite feed for second furnace in Thyssendal, Norway with Grand Cote.

However, hard rock ilmentie in Norway at 40% TiO2 should be significantly more expensive to mine than 56% TiO2in Madagascar especially since it is relativley high grade in HM. Thus ground floor entry to Madagascar mine allows the to develop further low cost feed stock effectively by funding it's development with eventual takeover if economiclly suitable.
This will allow them to reduce the price of slag production by replacing 40% TiO2 Hard rock feed with 56%+ TiO2 in say 5-7 years time when Slag & Rutile prices fall or energy prices rises (even with hydro in Norway). Alternatiley if TiO2 pices remain firm they can expand again or sell ilmentie direct.

The Madagascar deposit is approx 3 time higher grade in HM than Grand Cote (albeit with current geo ploitical risk). However, developing it allows immense flexibility in cost redcution.

Also plenty of tohers most notably Rio see Madagascar as a suitable source of HM.

I am comfortable with the strategy of buying assets cheap at ground level them developing them.

The JV with Thysssendal is turning out to be a major coup allowiong rollout of a staged strategy. htese guys are actully showing strategic planning someting sadly missing from a no of toher Co's.