I agree with you the threat of the NWIOA going it alone and building its own infrastructure (rail,port)is not only a good ploy it may actually be the way to go.
I'm sure RIO, BHP would prefer, if they see the threat as real (and providing they actually do have the capacity) to share their infra and control things and place a limit to how much the NWIOA constituents can ship and ultimately grow.
But if there's "only" say an extra $1 bill in infrastructure cap-ex costs by going it alone, which allows the alliance to ship and grow to their hearts content and reduces their op-ex costs (no ongoing fees to pay to BHP and RIO to use their infra) - then I see it as the preferred way to go.
BRM may already has the scale to go it alone, but it can help other juniors with smaller stranded assets to become viable producers.
And the common mindset and cause of going it alone may be the spark that's needed to engender a closer cooperation - the blending of each others ores and upscaling and the reduction of costs for all constituent members.
BRM Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
