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Prospecting right for Mpumalanga iron-ore project extended to 2016

18th October 2013

  

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AIM-listed iron-ore and manganese development company Ferrex announced last month that the prospecting right covering its 4 192 ha Malelane iron-ore project, in Mpumalanga, had been extended, making it valid to May 20, 2016.

The original prospecting rights period was five years and the extension forms part of the company’s strategy to continue developing its Malelane project as a low-capex, initial 1.8-million-ton-a-year iron operation, with a life-of-mine of 16.6 years.

Malelane has a Joint Ore Reserves Committee-compliant inferred resource of 139-million tons at 37% iron, which is only modelled on 1.1 km of the 14 km of the banded ironstone formation strike.

It was announced on June 4, 2013 that the pr

oject had an upgraded total exploration target of 1.6-billion tons to 2-billion tons at 28% to 30 % iron.

Additionally, the project was well connected in terms of infrastructure, with direct access to the Port of Maputo, in Mozambique.

Ferrex MD Dave Reeves says the extension of the prospecting right over the Malelane project is an important step in Malelane’s development and will ensure sufficient time for the prefeasibility and bankable feasibility studies to be completed as the company advances Malelane towards production.

“We continue to work on the social and environmental aspects of the project and are preparing the mining permit application. We look forward to reporting on these developments in due course,” Reeves states.

Edited by Martin Zhuwakinyu
Creamer Media Magazine Managing Editor

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