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This is actually surprisingly simple; if you craft iron rails, you can them place them into an alloy furnace to get iron back, but you get 3 iron back for every 8 rails (it takes 6 iron to make 24 rails, so per 24 rails you get an extra 3 iron). This isn't really any kind of OP exploit, but if people set up mass factories they can exponentially increase the amount of iron they have.

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