Magnetite Mines has contracted Hatch to complete the process plant section of its definitive feasibility study (DFS) for the Razorback iron ore project in South Australia.
The contract is Magnetite Mines’ final appointment of major engineering roles at Razorback, with the process plant the largest component of DFS expenditure.
“This appointment is a critical step for Magnetite Mines as the process plant design is a key component of the Razorback high-grade concentrate project,” Magnetite executive chairman Peter Schubert said.
“The PFS (pre-feasibility study) confirmed the process plant scope and the attractiveness of producing high-grade iron ore products at a competitive cost from the first stage of development of the company’s extensive iron ore resources.”
Hatch will work on a metallurgical test program, improvements to the process flow sheet, construction and procurement input, and structural developments for the project.
The Razorback project contains 4.2 billion tonnes of inferred to indicated iron ore resources.
Magnetite Mines has spent $35 million on the project’s development since 2009 including 52,000 metres of drilling.
The project comprises three main ore bodies with Razorback Ridge being the main deposit followed by Iron peak and Ironback Hill.
“The DFS will undertake more detailed engineering and generate the tender packages for construction, supporting a decision to mine,” Schubert said.
“This continues our strategy to carefully and systematically progress the project with the guidance of best-in-class technical consultants.
“We look forward to working with Hatch, as we develop Razorback into a successful operating iron ore business.”
According to Hatch director – metals Australia-Asia, Claude D’Cruz, the contract marked another step in its business relationship with Magnetite Mines.
“Following the successful delivery of the previous study work, Hatch is very excited to continue our association with Magnetite Mines through to the DFS and to be able to apply our considerable magnetite processing experience to the development of Razorback,” D’Cruz said.