Fortescue Metals Group Ltd (FMG), subsidiary FMG Magnetite Pty Ltd and joint venture partner Formosa Steel IB Pty Ltd have approved Stage 2 of the Iron Bridge Magnetite Project, paving the way for 3,000 construction jobs and up to 900 jobs once operational.
The $3.7 billion iron ore project, which will be located 145 kilometres south of Port Hedland, includes the development of a 22 million wet metric tonnes-per-year ore processing facility, an airstrip and expanded village, a 195 kilometre Canning Basin water pipeline, a 135 kilometre concentrate pipeline to Fortescue’s Herb Elliot Port facility in Port Hedland and return process water pipeline.
FMG has stated that the project will have a mineral resource of 5.45 billion tonnes and a mine life greater than 20 years including an ore reserve of 716 million tonnes. It is expected to deliver a premium product with an iron content of 67 per cent.
Delivery of first ore is expected to occur in the first half of 2022, with ramp up to full production within 12 months.
The project will require up to 225 megawatts of power which will be delivered by low-cost power transmitted from a mix of existing and new generation sources in the Pilbara.
FMG’s Chief Executive Officer, Elizabeth Gaines said the project holds Australia’s largest JORC compliant magnetite resource supporting a long mine life.
“The successful delivery of the project by the joint venture partners is underpinned by Fortescue’s unparalleled track record and capability in safely developing and operating major iron ore projects in the Pilbara.”
“The project is well progressed and ready for detailed design and execution with the majority of key approvals already in place. The innovative design, including the use of a dry crushing and grinding circuit, will deliver an industry-leading energy efficient operation with globally competitive capital intensity and operating costs,” Ms Gaines said.
“In developing the Iron Bridge Project, Fortescue has demonstrated and refined each step of the ore processing system and conducted full-scale trials. Our focus has been to create the most energy and cost-efficient ore processing facility, tailored to the specific ore we will mine. We are now ready to build this plant and develop this mine and are confident that our early work will support rapid progress to full production,” she stated.