Iron Road signed MoU to progress Rail and Port Components

Central Eyre Iron Project

Iron Road signed MoU to progress Rail and Port Components

Iron Road Limited announced further progress on the development of the Central Eyre Iron Project (CEIP), following the signing of a Memorandum of Understanding (MoU) with Aixi Investments (AIXI) on September 11, 2015. The infrastructure components required for the CEIP include a deep sea port and export facility at Cape Hardy capable of loading Capesize vessels and an infrastructure corridor.
(ed. WoMaMarcel - 14/9/2015)
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Over the next four years, Iron Road will construct a USD 4 billion integrated supply chain consisting of a mine, rail and deep water port operation on the Eyre Peninsula in South Australia.

Adelaide (SA), Australia – Iron Road has signed a MoU to progress funding for the infrastructure components of the CEIP with Aixi Investments (AIXI). AIXI has established relationships with a number of the worlds most experienced infrastructure investors and expressed to Iron Road its interest in consideration and evaluation of investment in the rail and port infrastructure assets related to the Project.

In addition, the MoU provides for parties to agree to co-operate in the negotiation of third party contracts, such as construction contracts, operation agreements and the negotiation of an infrastructure access agreement.

The infrastructure components required for the CEIP consist of a deep sea port and export facility at Cape Hardy capable of loading Capesize vessels (up to 220,000 tonne), and an infrastructure corridor, including a standard gauge railway line extending from the proposed mine at Warramboo to the port site, a power transmission line, water pipeline and a bore field.

The release of the company’s definitive feasibility study (DFS) in February 2014 confirmed a technically sound and highly profitable project that can supply 21.5 million tonnes per annum of premium, high quality product. The low impurity concentrate also has the benefit of assisting steel mills to reduce their emissions output by producing less pollution than inferior lower quality products.

Over the next four years, Iron Road will construct a USD 4 billion integrated supply chain consisting of a mine, rail and deep water port operation on the Eyre Peninsula in South Australia. The Central Eyre Iron Project (CEIP) has a confirmed 25 year mine life, potentially bringing in USD 2.8 billion annually, with port capacity also available for third party exports. The port, at Cape Hardy, will be South Australia’s first port capable of loading Cape-size vessels. Planning is already underway for a further drilling campaign which will extend the mine life beyond 30 years. Longer term opportunity exists to link the CEIP rail system into the Australian rail network.

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