This is going to contradict everything I’ve discussed on this...

This is going to contradict everything I’ve discussed on this thread but it’s a guessing game re ESIs first commercial move so this just serves as food for thought…

What if the scale up design and preparation is actually intended for the pilot plant site which would ultimately become the commercial site for export?

The Maddingley Brown Coal mine actually has proven reserves of 40 million tonnes and has access to adjoining reserves of between 200 to 300 million tonnes. To put this into context Yallourn has 488 million approx, Loy Yang 1.5 billion approx, Hazelwood 527 million approx.

The difference here is ECT could concentrate on export from this mine while still chasing opportunities with the powerstations and with a fair amount of capital already invested at the site maybe it’s financially prudent to build a full scale plant ready for 09 delivery pellets to India.

The only thing here is that I’m not sure what the arrangement is between the Calleja brothers and ECT as the mine is currently being used for producing of all things…. gardening products.

Points for consideration….

1.If the intention is to have power companies pay for a coldry plant then wouldn’t the cost of design and preparation be included in this cost?

2. And assuming it’s a JV, if it’s at the design and preparation stage now you would have expected a prior ann outlining a JV as a contract or at least an MOU should have been signed by now and released to the market.

3. ECT has said that the BFS relates to financing but what are they financing if the arrangement is for powerstations to cover plant costs? (On the note of BFS I’m assuming insto’s/big boys will be waiting for the BFS as we speak)