Macarthur making strong progress on Feasibility Study for Lake Giles iron project
March 12 2020 - 8:30AM
Macarthur Minerals Limited (TSX-V: MMS) (ASX: MIO)
(the “Company” or “Macarthur”) is pushing ahead on the Feasiblity
Study for its Lake Giles Iron Project in Western Australia, despite
strong economic headwinds caused by the coronavirus crisis.
XRF assays and David Tube Recovery (DTR)
analysis from the infill drilling program completed at the end of
2019 have confirmed significant intersections of magnetite
mineralisation. Results of these assays were released to the
market on January 16, 2020. These results are now being
incorporated into an updated mineral resource model currently being
prepared by CSA Global.
Meanwhile, detailed ‘route to market’ studies
including port and rail designs have commenced and remain a key
priority. These studies will form the background of rail access,
haulage and port contracts.
Tenders have also been called for metallurgical
testing, process and infrastructure design, and mining studies to
support a detailed Feasibility Study.
Macarthur’s Executive Chairman, Mr Cameron
McCall said the Company’s business case remained strong despite
recent turbulence and would be strengthened in the near term.
“Investor confidence across the board has taken
a hit lately but we’re confident that the Company is close to
receiving a major shot in the arm on the back of an updated
resource estimate and how we will get this to market,” Mr McCall
said.
“On a macro-level, there are supportive market
fundamentals that remain resolute; global steel production
continues to rise and so does the demand for higher grade,
lower-impurity iron ore feedstock such as magnetite.
“While the prices of most major commodities are
wilting in the face of the coronavirus, iron ore has been resilient
with the benchmark 62% Fe product hovering around a relatively
robust $US90 per tonne, that’s up from $US72 in November last
year.
“Lower oil prices, lower shiping rates between
China and Australia as well as a declining Australian to United
States dollar should see a rapid rebalancing as all these variables
impact positively on corporate returns”.
On behalf of the Board of Directors, Mr
Cameron McCall, Executive Chairman
For more information please contact:Joe
Phillips
CEO &
Director
M +61 (0)448 899
247
jphillips@macarthurminerals.com
Company profile
Macarthur is an iron ore development, gold and
lithium exploration company that is focused on bringing to
production its Western Australia iron ore projects. The Lake Giles
Iron Project mineral resources include the Ularring hematite
resource (approved for development) comprising Indicated resources
of 54.5 million tonnes at 47.2% Fe and Inferred resources of 26
million tonnes at 45.4% Fe; and the Moonshine magnetite resource of
710 million tonnes (Inferred). Macarthur has prominent (~1,281
square kilometer tenement area) gold, lithium and copper
exploration interests in Pilbara region of Western Australia. In
addition, Macarthur has lithium brine Claims in the emerging
Railroad Valley region in Nevada, USA.
Caution Regarding Forward Looking
Statements
Certain of the statements made and information
contained in this press release may constitute forward-looking
information and forward-looking statements (collectively,
“forward-looking statements”) within the meaning of applicable
securities laws. All statements herein, other than statements
of historical fact, that address activities, events or developments
that the Company believes, expects or anticipates will or may occur
in the future, including but limited to statements regarding: the
proposed strategy regarding core mining, road and rail inputs at
the Project; anticipated increases in annual production at the
Project; anticipated decreases in Project costs; the possible
reclassification of current inferred mineral resources on the
Project as indicated mineral resources in the future; expected
completion of the FS on the Project containing a new reserve
calculation and a new economic assessment; the granting of a
license for the Menzies rail siding; the status of the MRRT; and
plans to secure mining approvals under the Mining Act, are
forward-looking statements. The forward-looking statements in
this press release reflect the current expectations, assumptions or
beliefs of the Company based upon information currently available
to the Company. With respect to forward-looking statements
contained in this press release, assumptions have been made
regarding, among other things, the reliability of information
prepared and/or published by third parties that are referenced in
this press release or was otherwise relied upon by the Company in
preparing this press release. Although the Company believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance and no assurance can be given that these
expectations will prove to be correct as actual results or
developments may differ materially from those projected in the
forward-looking statements. Factors that could cause actual
results to differ materially from those in forward-looking
statements include but are not limited to: unforeseen
technology changes that results in a reduction in iron or magnetite
demand or substitution by other metals or materials; the discovery
of new large low cost deposits of iron magnetite; the general level
of global economic activity; future changes in strategy regarding
core mining, road and rail inputs with respect to the Project;
final Project costs varying from those determined from the EOI
program; failure to successfully negotiate a BOO arrangement for
the Project; failure to complete the FS; failure of the FS to
reflect currently anticipated increases annual production and
decreases in expected costs at the Project; the results of infill
drilling being insufficient to reclassify current inferred mineral
resources on the Project as indicated mineral resources; failure to
receive a license for the Menzies rail siding; failure to repeal
the MRRT; and failure to obtain mining approvals under the Mining
Act. Readers are cautioned not to place undue reliance on
forward-looking statements due to the inherent uncertainty thereof.
Such statements relate to future events and expectations and, as
such, involve known and unknown risks and uncertainties. The
forward-looking statements contained in this press release are made
as of the date of this press release and except as may otherwise be
required pursuant to applicable laws, the Company does not assume
any obligation to update or revise these forward-looking
statements, whether as a result of new information, future events
or otherwise.
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