From memory, Brett mentioned that Rentails is firmly on track...

From memory, Brett mentioned that Rentails is firmly on track and will start contributing about 3000 tpa of tin production from late 2026 onwards. MLX can look forward to earnings increasing by about 60%+ within 2 years! MLX share of Rentails capex is about 200mn, a good deal of which will be debt funded. Which made me think of Greentech. They own 41% of the JV, so will be facing a capital call of 160mn+. Given their current situation it could be quite a tall order to fulfill this commitment and add additional pressure to sell themselves to MLX. Well, there is to hoping ... Merry Christmas everybody and towards an even better 2025. Cheers!

PS: Just to make sure my figures above are correct I decided to fact check them. Google's NoteBookLM is a great research tool for that. You can pop in a YouTube link as document source and then ask questions about the video's content, produce a summary, etc. Below is an example of such a generated summary:

Brett Smith, Executive Director of Metals X, highlights the Rentails project as a key growth opportunity for the company. This project aims to recover tin from the tailings dams at the Renison mine. The initial feasibility study proposed a complicated pyrometallurgical process that Smith deemed flawed. Consequently, a new study was commissioned, leading to a revised two-phased approach. The first phase involves hydraulic mining and processing of tailings to produce a low-grade tin concentrate. This concentrate will then be shipped to China for further processing by Yunnan Tin using their pyrometallurgical facilities.

This revised approach offers several benefits, including:

• Reduced capital costs: The new approach is more cost-effective compared to the initial plan.
• Streamlined permitting process: The decision to conduct pyrometallurgical processing in China sidesteps the complexities of environmental permitting in Tasmania.
• Reduced carbon footprint: The revised approach eliminates the need for coal, addressing potential environmental concerns.
• Leveraging existing expertise: Metals X can capitalize on its workforce's experience in operating concentrators.
• Seamless workforce integration: This approach simplifies workforce management and eliminates the challenge of recruiting specialized personnel for a remote location.

Rentails is projected to produce tin concentrate at 60% of the current processing cost at Renison. This cost advantage stems from the simplicity of hydraulic mining compared to deep underground mining. Notably, Rentails will increase Metals X's tin concentrate production capacity by 60%. Given that the company's current attributable production from Renison is 5,000 tons per annum, Rentails is expected to add an additional 3,000 tons of tin concentrate production per year.

The feasibility study for Rentails is complete, and the budget for the initial feed stage has been approved. The permitting process, estimated to take two years, commenced in September 2024. Full permitting and the commencement of concentrate exports are anticipated by September 2026.

The total project cost is estimated at approximately 400 million Australian dollars, with Metals X responsible for half of the amount. Smith expresses confidence in securing the necessary financing through a combination of debt and equity, having initiated discussions with potential lenders and explored vendor financing options.