Iron ore sales in Q4-21? I separate Largo’s iron ore into 2 categories:
1) Monthly Production (0.5M tonnes per annum), and
2) Stockpile / Inventory (~2M tonnes)
1) According to Paolo the presence of sodium in our iron ore is not natural. If the contamination happened during the production process then, imo, the change would be easy to make to ensure a production free of sodium. The change should be done right away to save the next batch. If sold at US$100/T then our annual production would bring in US$50M (or ~US$4.2M /mth) in revenue.
2) With regard to the existing inventory of 2M tonnes, it would not be an easy task to REMOVE the sodium from the already contaminated the stockpile. A study to determine the economic viability of the cleansing project should be done right away.
Conclusion: I believe that the “sodium” problem is solvable in the short term. I will not be surprised to see some iron ore sales in Q4-21 unless Management doesn't want to do it at all..