"The WA environmental watchdog announced this morning it would recommend Environment Minister Bill Marmion approve the development, which would allow FMG to mine up to 50 million tonnes of iron ore a year from Cloudbreak .
The Cloudbreak expansion is part of FMG’s ambitious plans to be exporting up to 155 million tonnes of iron ore a year from the Pilbara. Currently, the company exports at an annual rate of 55 million tonnes a year from its WA mines."
LUK's 4% revenue note is calculated by sales from 2 regions: Christmas Creek & Cloudbreak!
good question - i never heard anything else about it. when it first came it i felt stronly that LUK was in the right and it could not be dilluted...perhaps we will get an update in annual letter in Apr.
yes..LUK's royalty payments would increase along with FMG's sales from this specific area (which is assuming that FMG cannot legally dilute LUK's 4% royalty which is being contested in the Australian courts). I believe the royalty payments end in 2019 for LUK.