Spoke to Management, page-96

The original plan was to set up a pellet plant in Malaysia. This was before the Chinese shareholders and management got involved.
This is really the best scenario to build Grange's own pellet plant or do a joint venture with FMG.
A suggestion was made to build a pelletizing plant in Sarawak Malaysia, there is hydro power available and its very cheap. This is where OMH operates the largest ferro alloy plant in Asia (outside China). OM Holdings power post is under US$0.03/kWh.
The problem with just selling concentrate is that your then totally dependent on China, look what happened to GBG, got taken over by Ansteel for a song. Ansteel buit the pellet plant in China and made most of the profits.
There have been a number of Grange shareholders suggesting that a pellet plant be built outside China, preferably in Sarawak using cheap power and a dedicated port using Panamax vessels.
This way Grange would control its own destiny rather than depending on China to do the pelletizing.