OTCPK:NNDIF - Post by User
Post by
ZincDinkon Jan 11, 2023 2:55pm
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Post# 35216561
Cost 750 MUSD to build similar plant in China
Cost 750 MUSD to build similar plant in ChinaSo, what is a new plant worth. Zhuzhou group had to rebuild plant due to pollution concerns for a cost over 750 MUSD (just over Billion Canadian).
So, who would buy the plant? Apparently, China no longer wants to give away free electricity...and Europe never did in the first place. Based on my crystal balls, I think Europe will be handicapped paying almost double the electricity cost that NIF pays and China best guess is 50 percent higher.
South America producers had it pretty good, but now you are facing a double or more cost in TC. So, buying a plant for less than 100 M$ looks pretty good.
Trifigura, who screwed Nyrstar shareholders to pennies on the dollar for European mills could use some cheaper processing plants. Heck Korea Zincs main mill is under the gun for pollution.
Most of the world though has some deal going on with GC, who never own the majority of anything but manage to keep control over everything.
There should be some producers who would love to keep TC down.