Tag Archives: Port of Geraldton

Qube to help fill Coburn mineral sands transport gaps for Strandline

Strandline Resources Ltd says it has made another important step in its preparations for production at the Coburn mineral sands project in Western Australia, executing a long‐term haulage and logistics services agreement with Qube Bulk Pty Ltd.

Qube is Australia’s largest integrated provider of export logistics services and is highly experienced in haulage, storage and ship loading of bulk mineral sands products, including at the Port of Geraldton, according to Strandline.

Qube’s scope comprises a turnkey logistics solution from mine‐to‐ship, including operating the haulage fleet, product storage facilities at Geraldton and coordinating ship loading activities. The agreement covers 100% of the mineral sands products to be produced at Coburn over an initial 10‐year term (around 225,000 t/y).

Qube’s services include load product at Coburn mine site into Qube‐owned triple road trains on a continuous 24‐7 basis; transport of ilmenite and zircon concentrate products to Qube’s existing Berth 4 storage facility at the Port of Geraldton ready for direct loading to ship; transport of zircon and rutile products to purpose‐built storage facility at Narngulu, ready for campaign loading at Berth 4, Port of Geraldton; and coordinate product deliveries for ship loading at the port to meet Strandline’s customer requirements.

The terms of the contract are in accordance with the production plan, logistics requirements and overall operating cost assumptions contained in the Coburn definitive feasibility study, released in June 2020, which outlined a mine life of 22.5 years at a mining rate of 23.4 Mt/y.

Appointment of Qube follows the previously announced 10‐year port access and services agreement with the Mid West Ports Authority, which operates the Port of Geraldton in Western Australia.

Qube is now preparing its Narngulu storage facility and existing Berth 4 port storage facility and trucking fleet ready for first cargo later next year, Strandline said.

With the strong construction progress achieved to date at Coburn, Strandline remains on track to achieve first production of heavy mineral concentrate in the December quarter of 2022.

Strandline Managing Director, Luke Graham, said: “We are delighted to establish this long‐term relationship with Qube, a leading logistics provider across Australia and a well‐established operator in the mid‐west region of Western Australia. Securing the strategic storage at port berth‐side for most of Coburn’s product volume is a significant advantage, resulting in extra flexibility and cost efficiencies.

“This agreement, when combined with the previously announced operational contracts, including for the contract mining services, supply of electricity, LNG, fuel and facilities management on site, means Strandline has already locked‐in circa-65% of its forecast operating costs in line with the assumptions contained in the Coburn DFS.”

GWR’s Wiluna West iron ore project heads for production with PRG contract

GWR Group says it has reached agreement on key terms for a works contract with the Pilbara Resource Group Pty Ltd (PRG) to undertake the development of Stage 1 of the C4 iron deposit, part of the Wiluna West iron ore project, in Western Australia.

As part of this agreement, PRG will carry out agreed works for development, mining and transport of Stage 1 of the C4 deposit, including construction of the haul road, open pit and other required facilities and infrastructure, surveying, mining, crushing, screening and transport to port based on a schedule of rates to be agreed. PRG will be entitled to a 30% share of the profit from Stage 1 of the C4 iron deposit.

GWR, meanwhile, will undertake mine design, planning and optimisation for Stage 1 of the C4 iron deposit.

GWR Chairman, Gary Lyons, said the execution of a term sheet for development of the deposit was very significant for GWR shareholders and, together with the recently announced mining approvals, represents a major milestone for the company, “paving the way for the commencement of commercial iron ore production at the Wiluna West iron ore project”.

He added: “The Wiluna West iron ore project, an exceptional direct shipping ore (DSO) iron ore development project, will produce a high grade, low impurity iron ore.”

Scott Dryland, Managing Director of the PRG, said: “This project has added to a record year for PRG. Our business has gone from strength to strength and we are extremely happy to have the opportunity to deliver this project in partnership with GWR.”

The C4 iron deposit is 1.4 km long and contains a combined DSO hematite, JORC 2004 mineral resource estimate of 21.6 Mt at 60.7% Fe, comprising 18.5 Mt at 61.2% Fe indicated and 3.1 Mt at 58% Fe inferred. It has widths of DSO hematite mineralisation of up to 120 m with close spaced RC drilling having previously been undertaken on a 25 m by 10 m spacing over a strike length of 200 m, according to GWR.

The C4 Stage 1 project targets a 500 m strike length of outcropping high-grade DSO hematite mineralisation within the larger C4 deposit, with GWR having undertaken internal mine designs and scheduling.

GWR says it has been engaging with the Port of Geraldton and current users for port and shed access and continues to investigate other opportunities. Discussions are ongoing and well advanced with a nearby established mine in the Wiluna area for access to site services such as village, workshops and water, it added.

In line with the term sheet, GWR and PRG will negotiate a formal contract documentation including a works contract as soon as possible.