It's not linear. It will be a concave curve. There are always benefits to economies of scale.
As much as everyone always wants to go huge straight off the bat, it's rarely that good of an idea in my opinion. You have to consider a heap of things. WACC being one of them. The larger amount of funds needed to be generated the more costly it will be.
You also don't want to overstretch with debt. Look what happened with IO companies in Australia. Everyone thought the China demand bull would keep going and going. It didn't. And highly leveraged companies got destroyed. I am not saying cobalt prices are going to collapse but to ignore the possibility is imprudent.
CLA-mining considerations, page-116
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