Name and Location
Central Eyre iron project (CEIP), Australia.

Client
Iron Road.

Project Description
A Class 3 mine optimisation programme has validated, improved and further derisked the 2014 definitive feasibility study findings on the CEIP.

Iron Road has been focused on advancing the CEIP, which includes a proposed long-life mine and processing plant, as well as regionally supportive rail and port infrastructure.

The mine has been designed for in-pit crushing and conveying, with fully mobile and semimobile crushers, as the characteristics and size of the orebody are ideally suited to this mining method.

Mobile in-pit crushers will be connected to the main pit conveying system by smaller dedicated fully mobile conveyors. Each component is relocatable using transport crawlers, allowing for components to be easily moved during pit advance.

The optimisation programme proposes the construction of a modularised ore-processing facility on the south-east perimeter of the proposed pit.

The facility has three discreet processing trains to provide a high level of plant availability and minimise operational downtime.

The three processing trains of the ore-processing facility will incorporate seven main modules – a semiautogenous grinding mill, a rougher magnetic separator, a gravity beneficiation circuit, a regrind mill, a ball mill, a cleaner magnetic separator and a tailings filter building.

The facility will process up to 175-million tonnes (dry) a year of feed material at an overall average head grade of about 16% iron, producing 24-million tonnes a year of iron concentrate (dry basis) at an estimated 67% iron.

Dewatered coarse tailings from each process train will be discharged onto the tailings transfer conveyor and the filtered moist fine tailings will be transferred to the waste rock conveyor originating from the mine. The combined tails and waste rock will be stacked on the integrated waste landform by a mobile spreader. This method minimises water use and reduces the waste storage footprint.

Iron concentrate will be transported from the mine site by a standard gauge, heavy haul rail system along the infrastructure corridor to a new port facility at Cape Hardy. The bulk commodities port facilities are located at Cape Hardy, 7 km south-west of Port Neill. The port is planned to have an initial capacity of 70-million tonnes, with the main export wharf capable of handling Panamax and Capesize vessels. Two shipping berths for bulk iron-ore carriers will be serviced by a slewing, luffing and travelling shiploader.

Net Present Value/Internal Rate of Return
Not stated.

Value
Iron Road lowered the project’s capital expenditure by $600-million to $3.4-billion in April 2016.

Duration
Not stated.

Latest Developments
Iron Road aims to raise at least $9.23-million from an entitlement offer and institutional placements to advance the Central Eyre iron project to a final investment decision.

Iron Road has announced a one-for-nine renounceable entitlement offer of new shares at $0.10 a share, and has said it will conduct a A$1.05-million institutional placement to certain institutional shareholders, as well as, subject to shareholder approval, a $3.75-million institutional placement to Sentient Executive GP IV.

Iron Road MD Andrew Stocks has said that the company is committed to maintaining development momentum through the iron-ore price cycle.

“With the 12-month project commercialisation programme now under way with our partner China Railway Group, we continue to move the Central Eyre project closer to a final investment decision, financial close and, ultimately, construction and production,” Stocks has indicated.

He has added that Iron Road believes there is scope for further reducing costs, at capital expenditure and operational expenditure level.

“The project commercialisation programme, conducted together with one of the world’s premier engineering and infrastructure construction firms China Railway Group, will aim to repeat this past success of substantial cost reductions.”

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Iron Road, tel +61 8 8214 4400, +61 8 8214 4440 or email admin@ironroadlimited.com.au.