After it was announced yesterday BHP and Rio Tinto had found a new home for their Australian-first steelmaking plant in Kwinana, one miner is making moves to maximise its share in Western Australia’s booming iron ore future by snapping up Spartan Resources’ historic Beebynganna Hills project.
Fenix Resources will become the new owner of two new iron ore tenements in WA’s Weld Range, including Beebynganna Hills, which are strategically located near its flagship Iron Ridge mine.
The second tenement, an exploration project near Fenix’s Beebyn-W11 mine, is subject to funding.
Iron Ridge has delivered around 1.4 million tonnes of iron ore per year since it began production in 2020, with Fenix executive chair John Welborn saying the acquisitions offer the company a seamless path to expansion.
“Fenix has demonstrated the extraordinary value that we can unlock from the iron ore deposits of the Weld Range,” Welborn said.
“The fully integrated mining, logistics and port operations we have established in the Mid-West continue to demonstrate we can unlock value from previously stranded ore bodies and deliver exceptional cashflows, profits, and outstanding return on investment.”
Previous exploration at Beebynganna Hills confirmed hematite grading of up to 65 per cent iron.
“In 2025 we expect to increase annualised production from 1.3 million tonnes to four million tonnes and have confidence our excellent regional infrastructure has significant capacity to support further growth,” Welborn said.
“Historic exploration activity in the Weld Range has identified numerous high-quality iron ore deposits and the expansion of Fenix’s regional footprint is a priority to support our plans to continue to grow production volumes.”
WA is the world’s largest single exporter of iron ore into the global market. With the steel industry generating about eight per cent of global carbon emissions, WA is set to play a leading role in reducing emissions from steel.
The BHP-Rio Tinto consortium is aiming to build Australia’s largest steelmaking electric smelting furnace that will test out new technology to produce iron without metallurgical coal, slashing emissions from the steelmaking process.
The plant is expected to come online in 2028, providing a potential avenue for Fenix to process and export environmentally-friendly iron ore from its expanded portfolio.
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