Name what is in the stockpile
Iluka's investor toolkit distinguishes inventories by product and location and explains their accounting treatment. That illustrates why an inventory value is not a direct substitute for physical tonnes of a required rare-earth product.
Identify whether the material is ore, concentrate, an intermediate or finished output. Record quantity, composition and measurement date where disclosed. A large mass of upstream material may require substantial processing before it can serve a customer, while a small finished-product stock may address a very specific requirement.
Separate ownership, access and usability
Material can exist without being available to the buyer in question. Check whether it is committed, accessible and compatible with the intended process. Do not assume that all inventory at a corporate group can be transferred between sites or products without qualification and logistics.
For continuity analysis, use an explicit drawdown scenario. State the relevant consumption rate, conversion assumptions and replenishment. If the stock quantity or composition is unknown, present the information gap instead of calculating a precise number of months of cover from an unrelated book value.
A worked hypothetical drawdown
A usable intermediate stock of 600 tonnes feeding a process at 100 tonnes per month provides six months before replenishment, assuming constant consumption and no other constraints. It does not provide six months of finished magnets unless the remaining conversion and output basis support that conclusion. If only half the stock meets the feed specification, the original estimate would overstate usable cover.
A stockpile record that supports decisions
| Field | Why it matters |
|---|---|
| Material and quantity | Defines what physically exists |
| Usable share and access | Defines what the route can actually consume |
| Consumption and replenishment | Defines the time-dependent buffer |
Your review checklist
- Do not convert inventory value into tonnes without evidence.
- Identify the material stage.
- Check access and compatibility.
- Label drawdown assumptions explicitly.
Investigate with Oreline
Use Oreline to investigate the facilities and disclosed routes around a stockpile claim. That context helps distinguish a meaningful feed buffer from a quantity that cannot yet answer the customer’s supply question.
Follow the evidence through the supply chain.
Explore Oreline’s guided investigations. No account required.
Explore the sandbox →Frequently asked questions
Is concentrate inventory equivalent to finished-product inventory?
No. The remaining conversion, losses, specifications and delivery work matter.
Does a stockpile eliminate supply risk?
It may buffer a particular route, but it can still depend on processing capacity, access and replenishment.