PERTH (miningweekly.com) – ASX-listed Emergent Resources has received Foreign Investment Review Board (FIRB) approval for its A$200-million joint venture (JV) with China’s Beijing China Metallurgical Investment Company (CMIC) for the development of the Beyondie iron-ore project, in Western Australia.

The FIRB approval followed the signing of a binding agreement between the two companies to proceed with the development the Beyondie project in a 50:50 JV, as well as a share placement to CMIC to raise A$5-million.

The venture would target initial production of three-million tons a year of magnetite concentrate.

Under the terms of the JV agreement, CMIC would facilitate a loan of A$100-million to Emergent to enable the company to subscribe for its equal share in the JV. Emergent would then provide the tenements associated with the Beyondie iron-ore project to the JV.

A JV development company has been incorporated to manage the project, and would initially be funded with an A$200-million equity injection provided in equal parts by the JV shareholders.

The Beyondie project currently holds a Joint Ore Reserve Committee compliant inferred resource of 561-million tons, at 27,5% iron, and an exploration target of between 480-million and 510-million tons.

The project has a further exploration target of between 3,7-billion and 4,2-billion tons of ore, grading at between 27% and 28% iron outside the existing resource area.

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