Hi Mozart, the Fortescue Marsh certainly throws up some challenges for BRM but I dont think they are insurmountable. Yes, the area has an important ecosystem and is well renowned for its bird life but the proposed rail spur corridor reduces any major disruption to the natural habitat.
BRM has always planned (as part of the FMG rail option) to follow a similar route to BHPs Newman Rail Line and cross the Fortescue River in the same location. This in itself shouldnt have any environmental risks as a similar corridor and river crossing has been approved before. They then plan to head further north keeping well away from the environmentally sensitive marshland. Although the complete rail spur corridor from Marillana requires Gov. approval, the company has infact started the process. I tend to agree with DeeTrader that the process is further advanced than what we already know. We were told in March that Section 91s had been submitted to Department of Regional Development and Lands and that the Environmental field surveys were to commence that month.
With my limited expertise in WA Gov. Licenses, I believe a Section 91 provides right of access to land but doesn't permit civil works and development. The fact that BRM has started the process however can only be viewed positively imo. I guess until the rail haulage solution is finalised planning timelines remain hypothetical to some degree.
In regard to costs, I think I underestimated yesterday. I remembered someone had posted on the BRM thread in the past that $7m km of rail was realistic given the location not the $3-$5m I posted. I guess realistically the cost would be closer to $500m for the spur and on-site rail facilities located at Marillana.
Luckily the DFS is only a couple of months away. This will no doubt cast some light on the future direction, complexities and costs involved in making the Marillana Project a successful one. The journey continues for shareholders and I plan to keep holding for some time yet. I hope the last major obstacle for this project of rail haulage can be sorted and this project will be as successful as we all no it can.
BRM Price at posting:
$3.02 Sentiment: None Disclosure: Held
