GWR Group Limited (ASX:GWR) is on target for its first iron ore shipment from its 100% owned flagship C4 Iron Ore deposit in Wiluna to head overseas by the end of the month
Chairman Gary Lyons said high-grade lump and fines product from the C4 project are currently being stockpiled at the Port of Geraldton.
I am excited to advise shareholders the iron ore stockpiles are currently building at Site 88 Storage Facility at the Port of Geraldton with operations on site continuing to progress,” Mr Lyons said.
“The company remains on track for the first historic shipment of Iron Ore to our offtake partner in late Jan 2021 in what will be the final key production milestone of Stage 1 with Cargo Ship PANAFRICAN expected to arrive at the Port of Geraldton this month.”
Mr Lyons said GWR’s Alliance Partner Pilbara Resource Group (PRG) is engaged for Stage 1 of the C4 mining operations which covers the first one million tonnes of C4’s Mineral Resource estimate of 21.6 million tonnes at 60.7% Fe with assessment and modelling currently underway to increase production tonnage on Stage 1.
Under the Joint Venture with PRG, GWR is required to provide minimal capex and opex, will retain 70% share in the project profit as well as retaining the rights for ore sales, strategy and timing.
Mr Lyons said the current review being undertaken by GWR on its entire Wiluna West Iron Ore project is progressing very well with regards to increasing the production tonnage at Stage 1 (C4 Iron deposit) and optimising the remaining ~20 million tonnesto be optimised for Stage 2 whilst discussions with interested parties have commenced.
Other than at C4, GWR currently has mining approvals in place for the C3 and Bowerbird deposits which permit the mining of a combined seven million tonnes per annum.
The emphasis being placed on this review is to focus on high grade portions of deposits, which have low strip ratios and can be bought to production in the most effective manner in order to maximise the benefits to shareholders from the current buoyant Iron Ore prices.
