Fortescue Metals unveils concept for new mine, new rail and new port

The project, known as Solomon is expected to cost around US$3,34bn.

Within the next two years Western Australia’s big new iron ore miner Fortescue Metals Group Ltd (ASX: FMG) will decide whether it will open up a new iron ore mining area in the Pilbara of Western Australia.

The project known as Solomon was detailed at the Sydney Mining Club and was said to have a development cost of A$3.6 billion (US$3.34 billion).

Fortescue launched its operations through the Cloudbreak mine in the Chichester Range to export to China through a port developed by the company at Anderson Point in Port Hedland. The company has started development on its second mine, Christmas Creek, also in the Chichester Range.

Solomon is well west of Cloudbreak. It was indicated the company’s capacity out of Port Hedland may cater only for ore from the Chichester hub, so a second port and new rail link would be required to a Pilbara port at Anketell Point – particularly if Fortescue ramps up beyond 155 million tonnes per annum of export ore.

The cost of developing Solomon would take in A$850 million (US$790.8 million) for the mine, a similar amount for the railway, and A$700 million (US$651.3 million) for processing plant

The company claimed that while a lot more drilling was required the Solomon hub had potential to be much larger than the Chichester Ranges operations, currently mining at a rate of 38 Mtpa and gearing to increase to 95 Mtpa.

The Solomon mine could begin at 60 Mtpa, expanding to 100 Mtpa.

While Cloudbreak and Christmas Creek are bedded iron formations, not mined elsewhere in the Pilbara at this stage, Solomon has a mix in its iron ore geology and includes what is known as channel iron deposits.

Sydney Mining Club delegates were told that exploration in the Pilbara in the past five years has yielded reserves and resources for Fortescue of 6.3 billion tonnes, including reserves of 1.6 billion tonnes.  The discovery cost was put at A2cents a tonne.

Fortescue dominates the landholdings for iron ore in the Pilbara with 17,400 square kilometres, compared to Rio Tinto with 11,000 sq km and BHP Billiton 6,500 sq km.

Fortescue’s holdings include a large number of coastal and offshore tenements, assumedly for ironsands shed over the eons. The company also holds coastal and offshore tenements in New Zealand for ironsands.

Source  :  www.mineweb.co.za

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Western Australia to invest $5.8 Million in three new Ealry Learning Centers

The Federal Minister for Early Childhood Education and Child Care Kate Ellis  announced $5.8 million for three new Early Learning and Care Centres in Western Australia.

The Australian Government will invest $5.8 million in building new centres at Karratha in the state’s north-west, and Darch and Mirrabooka in Perth’s northern suburbs.

The Karratha centre will be built at Tambrey Primary School with $2.2 million of Australian Government funding. It will provide 120 new long day care places for Pilbara youngsters.

Woodside Energy will provide more than $4 million over three years to the centre.

“This partnership is a fine example of how the Federal Government and local industry are working together to deliver high quality care and education for Australian children and their families,” Ms Ellis said.

“The Pilbara is key to our nation’s economic development and this service will help companies, like Woodside, to attract and retain a skilled workforce.”

About $1.8 million in Australian Government funding will be invested in centres at Darch and Mirrabooka.

Ashdale Primary School will host the Darch centre and will offer at least 50 new long day care places, while the Mirrabooka Early Learning and Care Centre will also offer about 50 new places.

All three centres will be built by 2010 on land contributed by the WA Government.

The construction of the centres on school sites presents opportunities for future integration of education and care services with junior schooling.

“The Australian Government is working hard to provide families with access to quality early childhood education and care,” Ms Ellis said.

“These centres will also provide more job opportunities and boost local economies.”

The Australian Government is continuing to discuss an Early Learning and Care Centre for Port Hedland with the WA Government.

An Autism-specific Early Learning and Care Centre was announced for Perth last month.

The new centres form part of the Australian Government’s $114.5 million plan to build 38 Early Learning and Care Centres by 2010.

This initiative is part of the Australian Government’s Education Revolution, which is improving early childhood care and education for Australia’s children and families.

Source  :  www.thegovmonitor.com

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