PERTH (miningweekly.com) – ASX-listed Mineral Resources (Minres) on Wednesday said that it was finalising an operating plan for its Yilgarn iron-ore business, in Western Australia, after confirming a mineral resource of 108.6-million tonnes, grading 56.8% iron.
The company told shareholders that the operating plan would underpin a long-life, steady state operation of some 11-million tonnes a year, a rate achieved by previous owner Cleveland-Cliffs.
The Yilgarn iron-ore mineral resource lies some 120 km from the Koolyanobbing train loading and rolling stock infrastructure hub, which connects Minres’ stockpile and ship loading facilities at the Port of Esperance.
“Minres has a proud history of delivering substantial value for all shareholders from iron-ore, whether as the mining services provider of choice for the Pilbara’s world-leading producers or as developer in our own right of stranded or undervalued assets,” said MD Chris Ellison.
“When we acquired the Koolyanobbing operations off Clevaland-Cliffs last year, we had a clear vision to use the newly acquired infrastructure as the foundation blocks to build a long-life, high-value iron-ore business in the Yilgarn region.
“The early success of that vision has seen Minres safely grow our Yilgarn iron-ore business to a run-rate of 7.5-million tonnes a year, and with the ramp-up to 11-million tonnes, will see another 190 much needed permanent jobs created in regional Western Australia, bringing the total number of jobs to 654 across the mine, rail and port operations.”
Some 80%, or 87-million tonnes, of the Yilgarn resource is classified as measured and indicated, with the company on Wednesday also reporting an ore reserve of 40.8-million tonnes and an exploration target of between 30-million and 83-million tonnes.