Venture Minerals is less than two weeks away from commissioning the wet screening plant at the Riley iron ore mine in Western Australia.
Company managing director Andrew Radonjic said the commissioning would put iron ore shipments on track for the June quarter of 2021.
“Venture’s Riley development team continues to work hard to meet the installation schedule with the plant only two weeks away from starting commissioning,” he said.
“This timing puts the first iron ore shipment on track for this quarter and puts the company in a strong position to take advantage of the historically high iron ore prices.”
Iron ore demand is expected to remain strong into 2021 due to demand generated by Chinese infrastructure spending and supply concerns in Brazil, Venture stated.
The higher iron ore prices have also positioned the Riley mine “well above” its 2019 feasibility figures, which was previously based on a price of $US90 ($116) per tonne of 62 per cent iron ore.
The 62 per cent iron ore prices have since doubled to around $US180 per tonne.
Venture is close to completing construction of the plant, with 95 per cent of its structural steel effected and 80 per cent of its mechanical installation finalised.
Installation of the plant’s piping is the final stage to complete before it is commissioned.
The Riley iron ore mine has an indicated resource of two million tonnes at 52 per cent iron ore.
Venture expects the mine to create over 100 jobs across its project life and inject $100 million into to the economy over its two-year life of mine.