A new scoping study conducted by Flinders Mines at the Pilbara Iron Ore Project (PIOP) in Western Australia has identified significant open cut mining opportunities in the area.
The study was based on data acquired during the maturation period of the project in 2017 and 2018 and assessed mining potential in the region. The results will be used by Flinders to determine and release the mine’s 2020 iron ore production target statement.
The study also considers an indicative production target of around 615mn mt (dry) and 615mn mt (wet) iron ore over the life of the mine. Flinders has hinted that an investment of close to A$3.6bn ($2.5bn) would be required to achieve the full production value over the life cycle of the mine projected in the study.
Other inputs of the study are a result of recent farm-in joint venture with the BBI group. Under the farm-in agreement PIOP will have access to infrastructure operated by BBIG. Additionally, BBIG would also receive 2.5pc of the gross revenue if Flinders selects the royalty options in the joint venture.
The Flinders study is an update to the mineral resources study that was completed by Snowden mining industry for the PIOP region in March 2018. Snowden completed the feasibility study-level geo-technical assessment which lead to delivery of batter slope angle design recommendations for mine planning purposes. The results were then analyzed and developed into batter and ramp slope design recommendations for the PIOP pits.