CDU 0.00% 23.5¢ cudeco limited

hoots, One possibility is that they did not want to commit to a...

  1. roh
    4,061 Posts.
    hoots,
    One possibility is that they did not want to commit to a large expenditure on Altona's Roseby if the project did not stack up to provide the return on equity they wanted. Glencore obviously are in need of ore to back up supply from the Ernest Henry underground mine so as to maintain adequate throughput of their processing plant. This has a flow on effect to the Mt Isa smelter and the profitability of both. Funny how things work out with lowly CuDeco being approached by Glencore to supply Ernest Henry.
    Rocklands has ample excess capacity to supply Glencore's needs but any deal has to be on terms satisfactory to CuDeco. It has to be fair to both parties. That point has not been reached. If it does happen, then CuDeco will be capable of providing a supply to Glencore, processing its own ore for export and selling off its copper bars to the overseas smelters: a much bigger business model. Let us see how it all unfolds.
 
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