Faragher approves Southdown iron ore mine

Australia's largest magnetite producer Grange Resources has got the green light to build its second iron ore export project.

Australia’s largest magnetite producer, Grange Resources, has received the final all-clear for its Southdown iron ore project from Western Australian Environment Minister Donna Faragher.

Southdown, located near Albany, will be the company’s second iron ore export operation after the Savage River and Port Latta operations in Tasmania.

Port Latta is currently Australia’s largest producer of iron ore pellets.

The Minister also gave the green light to the proposed pipeline infrastructure that will accompany the mine.

Grange managing director Russell Clark said the approval placed the company in a strong position to capitalise on improving iron ore prices in the years ahead.

“We now have the Southdown iron ore mine in an approvals-ready state, which will greatly enhance any future discussions with potential project financiers,” he said.

“Together with our joint venture partner Sojitz, we can now look forward to continued progress at Southdown on our own development timetable, without any major foreseeable approval delays.”

The approval allows Grange to begin construction of the mine as soon as it has completed a final definitive feasibility study and financing.

Subject to joint venture approval, the final study is expected to take approximately 18 months to complete.

Faragher did set several conditions to the approval, which Grange has agreed to meet.

Final Commonwealth approval for the project is expected shortly.

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