Xstrata has announced that it will begin shipping iron ore within the next year.
It is developing a magnetite iron ore plant at Cloncurry, near to its existing Ernest Henry copper mine.
The miner is utilising a process that magnetically separates the iron ore from copper, after which a concentrate can then be created.
In recent Minerals Resources Rent Tax discussions, a call has been made to not apply the tax to the growing magnetite iron ore sector in Australia, which is under developed when compared to hematite iron ore mining in the country.
Xstrata will also focus on increasing its zinc output due to increased demand.