Just a perspective that you may be overlooking regarding up to $6 billion sounding over the top.
If Coldry was available at today's recession buster prices , and remained at same for 30 years,,,,
$600 billion dollars ( wholesale ) worth of pellets would be produced.
Now you would expect that TL would have done projections at more realistic fwd thinking annually renegotiated prices than simply today's market prices, or indeed the projected price at first commercial production....
You would also suspect that TL have worked out that Coldry is cheaper and more readily and strategically available in the future when compared with it's less readily available (over time ) bituminous counter part.......( just look at the political hot spots they pull it out of now )....... so $600 billion will only account for a fraction of the pellet value over the life of the contract.
Then there is the significant water value that must also be added to the equation ( especially over time ).
Does $6 billion really sound over the top when you consider thru-put of in excess of a trillion dollars worth of product will roll off the modules over their production/service/1st contract life ?
It doesn't to me....and it won't to the super/infrastructure funds that will reap in 15 to 19% p/a investing in the company.
cheers rupe
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