Photo by: Bloomberg
PERTH (miningweekly.com) – The Western Australian Environment Minister has approved ASX-listed Mount Gibson’s Iron Hill project.
“We welcome this important environmental approval of the Iron Hill mine, which takes us one step closer to commencing mine development in early 2017,” Mount Gibson CEO Jim Beyer said on Friday.
On the receipt of final regulatory approvals, Mount Gibson will proceed with the development of Iron Hill.
The Iron Hill project is about 3 km south of the recently depleted Extension Hill openpit, and will only require between A$2-million and A$3-million to develop, as it will use the company’s existing mine facilities and logistics arrangements.
All-in cash costs for Iron Hill are expected to be consistent with those of Extension Hill, and the project is estimated to have a total mineral resource of 8.8-million tonnes, grading 58.3% iron.
Mount Gibson expects to sell between 2.8-million and 3.1-million tonnes of ore in the 2016/17 financial year, comprising a mix of run-of-mine material from the Extension Hill and Iron Hill deposits, supplemented by opportunistic sales from existing low-grade stockpiles.