Friday, April 30, 2010

Atlas Iron Receives Approval For Wodgina

Mining Expected to Commence in June


Australian iron ore junior, Atlas Iron, has secured government approval for its Wodgina iron ore project in Western Australia.

With all environmental approvals complete, Atlas expects to move its mining fleet to the site with mining expected to commence in June this year.

"To take a project from an iron ore discovery to an iron ore mine in less than 18 months is simply remarkable," managing director David Flanagan said in a statement on Friday.

"We are now well positioned to benefit from very strong demand, high iron ore prices moving forward, and to meet our target export rate of six Mtpa by December 2010."

The Wodgina project will start at a production rate of two-million tons a year, with the initial mining from the Anson deposit. The mine is expected to produce a quality, low-alumina fines only product, which would be trucked to the nearby Port Hedland for export.

The company has also commenced drilling at its Wodgina North iron ore prospect which has an exploration target of between 20 million and 40 million tons at 57 per cent to 60 per cent iron.

"In the event that drilling is successful, Atlas will move to fast rack feasibility studies targeting a production expansion of Wodgina during late calendar year 2011," it said.

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