Glasenberg’s madcap manoeuvre, page-8

Hi Pikapika, not to worry. Canberra (via BREE) has already released the "consensus" IO price for 2015 which is an average of $94/T or thereabouts. The governments (local, state and federal) are broke.

Also if FMG goes pear shape (now a 155MTA operation), with the largest land holding in the Pilbara and already via existing mines can ramp up to 200MTA + (provided funding is available), then if China takes a big stake and having members on the FMG board (never mind a takeover), then China could unleash 300MTA simply by throwing cash at it.

There is no shortage of money. China has already spent $16B between 3 big whiet elephants (Clive special, Karara and Sino Mid-West) and will spent the lion share of another $7.4B on Anketell.

It is NOT in the interest of BHP and RIO for FMG to trip over.