TiO2 production costs for TNG with TIVAN = USD$1,380 Tonne
Current market price of TiO2 I don't know, but like most commodities it is at multi-year lows. Around the US$2,000/T mark.
As with Low V2O5 prices, TIVAN means TNG processing these commodities is still at decent margins. In fact at a level which many other market participants cannot compete.
I'm sure TNG would prefer higher market prices, however consider what is happening with Iron Ore, Nickel etc at the moment - when market price is below production costs, many companies are ceasing production.... which leads to
Depleting surplus stockpiles... which leads to
higher demand....
What happens when demand recovers for TiO2, V2O5 even Iron Ore in 12-24 months when TNG are hoping to be producing - any upswing due to accumulated deficits in these commodities and they will be producing below the cost of legacy processing facilities....on potentially three fronts....
TNG Price at posting:
13.0¢ Sentiment: Buy Disclosure: Held
