Pannawonica Iron Ore

Red Hill Minerals Limited owns 100% of the Pannawonica Iron Ore Project and is appraising various development options with CZR Resources (CZR)⁽¹⁾.

The current Ore Reserve Statement⁽²⁾ is 4.68 million tonnes (Mt) at 56% iron at a 54.5% iron cut-off grade within a total project Mineral Resource⁽³⁾ of 62.5 million tonnes at 53.4% iron. The Mineral Resource consists of Channel Iron Deposit (CID) and outcrops as mesas (remnant river channels). The Ore Reserve has the potential to be selectively mined from near surface.

Environmental surveys (short range endemic, flora and fauna) covering the non-processing infrastructure (mine access, camp, bore fields, communication towers) and haul routes have been completed. An airborne lidar survey has also been flown to collect high resolution topographic data to assist with future engineering studies.

The deposits are situated close to road infrastructure with a low stripping ratio and have shown excellent sinter characteristics in laboratory test work. They have low phosphorous (0.04%) contamination but relatively high aluminium (4.3%) and silica (6.6%) levels.

Three Mining Leases have been granted and a Heritage Agreement has been executed.

RHI is progressing towards a Feasibility Study jointly with CZR⁽¹⁾. Examination of various technologies is also underway to assess whether portions of the large resource base, currently not included in the mining plan, can be upgraded to deliver increased tonnage at a lower cut-off grade while maintaining the product target grade of 56% iron.