IronClad Mining has Wilcherry Hill finish line in sight

/in /by

THE CONFERENCE CALLER: IronClad Mining’s (ASX: IFE) Wilcherry Hill iron ore project is almost there.

The company has spent the past five years bringing the Wilcherry Hill project to where it is now and in that time has:

Completed a Feasibility Study for a one million tonnes per annum project;

Signed a Native Title agreement;

Had all mining leases granted;

Secured port access – including 50 hectares of land set aside for the company’s port operations at Lucky Bay;

Had Program for Environmental Protection and Rehabilitation (PEPR) approval to commence mining;

Signed a four year off take agreement; and

Conducted a successful sea trial of its bulk commodity loading system at Lucky Bay.

 

The Wilcherry Hill project is an 80:20 Joint Venture between IronClad and Trafford Resources.

The project is being developed to produce Direct Shipping Ore for sale to international steel mills.

IronClad has the mining rights to all iron ore extracted from four tenements under the JV agreement.

With the project so close to completion there are now just two hurdles to negotiate.

The first is the last Amendment Approval from the Government of South Australia, which the company anticipates it will receive any time this month.

The final hurdle is finalising the finance for the project, which IronClad managing director Ian Finch described as, “A relatively small figure.”

“We need to finalise our $15 million of standing capital and $6 million working capital,” Finch explained to The Roadhouse at the RIU Sydney Resources Round Up.

“The $6 million of working capital is not so much of an issue because we have got forward sales in place we can rely upon with end users.

“So the $15 million figure is all it amounts to.

“Hopefully we can get as little gap as possible between the final Amendment Approval from the Government of South Australia and having the finance in place.”

After having spent over $67 million in the five years it has been developing the project, Finch said it was frustrating to be held up at this stage.

“We are ready to go,” he said.

“For the sake of $15 million – in this climate – it really is a pittance and is really the only thing that is holding us up at the moment.

“We have been frustrated along the way, by bigger things, and in the end this will just be a blip in the rear-view mirror.

“It’s not something that is unduly distressing us.”