SA-NSW iron ore alliance formed
THE BOURSE WHISPERER: An interstate consortium of iron ore explorers has formed the Braemar Iron Alliance, to promote common infrastructure development for mining and to advance their common interests.
The companies all are actively exploring to define iron ore deposits within the Braemar Iron Formation, an iron ore province starting west of Broken Hill and stretching across the border area of South Australia and New South Wales.
The Braemar Iron Formation stretches for approximately 250 kilometres from Peterborough in SA to Broken Hill in NSW and is a region that is rapidly emerging to potentially be Australia’s next major iron ore province.
The Alliance comprises ASX-listed companies Carpentaria Exploration, Havilah Resources, Minotaur Exploration, Royal Resources and U3O8 and private companies, Sinosteel PepinNini Curnamona Management, Bonython Metals Group and Wentworth Metal Group.
According to the Alliance spokesman, Minotaur Resources managing director Andrew Woskett the creation of the alliance identifies a strong alignment between a number of listed and privately owned mineral exploration companies with tenements along the extensive Braemar Iron Formation.
“The presence of iron mineralisation has been recognised since the 1960s but only in the past few years, with the impetus of higher iron ore prices, have explorers actively sought to define the province’s resources to the Australian JORC standard,” Woskett said.
At this present stage Carpentaria Exploration and Royal Resources have successfully reported iron-based JORC resource estimates.
Minotaur and Havilah are currently working towards initial JORC resource reports across their magnetite prospects.
“Alliance members are confident in the iron potential for the area, based on extensive drill programs and recent definition of JORC resources,” Woskett said.
“The excellent regional potential has encouraged the Alliance members to look towards their future infrastructure needs, both individually and as a group.
“The Alliance has a common interest in the need for a major deep water port facility on South Australia’s Spencer Gulf, approximately 150 kilometres immediately west of the Alliance area, plus power, water and transport infrastructure throughout the entire Braemar iron province.”
The Braemar Iron Alliance will provide the companies involved a focused representation to the South Australian, New South Wales and Federal Governments as well as private infrastructure providers, so that a coordinated and cohesive approach to development planning can commence.
Further, the Alliance will work with the South Australian Chamber of Mines and Energy (SACOME) to ensure a consistent message is delivered to government.
In the short term, the Alliance will work under the SACOME umbrella, until its own corporate structure is formalised. Alliance members acknowledge the practical support of SACOME in bringing the parties together in a short space of time.
Announcing the formation of the Braemar Iron Alliance at the Broken Hill Mining and Energy Symposium, Woskett said it provides a focal point for industry participants to work in close consultation with local government throughout the Braemar iron province, on the northern York Peninsula and Upper Spencer Gulf and with prospective infrastructure developers and providers.
He indicated that if all of the anticipated projects proceed to development, an investment mix of A$6 billion or more could be foreseen over the forthcoming decade, bringing significant jobs and downstream opportunities to the regions involved.