Iron Road South Australia mining project given green light

Iron Road South Australia mining project given green light

Iron Road (ASX:IRD) has been granted two key approvals for a AUS$4.5 billion mining project, in a boost to the resources sector in South Australia.

The firm has received a mining lease and a development approval for the Central Eyre Iron Project (CEIP) on the Eyre Peninsula.

The large-scale project is set to become the largest magnetite mine in Australia, producing 21.5 million tonnes per annum whilst creating 700 jobs over its 25-year mine life.

In addition, nearly 2,000 jobs should also be created during construction, which will include a new 145km rail link and deepwater port at Cape Hardy near Tumby Bay.

Andrew Stocks, Iron Road’s managing director said construction is expected to start next year.

“Our project has real momentum [including] the recent strong interest for financing from several large and very capable banks,” said Stocks.

“The South Australian government approvals for this project send a positive signal to the international markets that we remain on track.”

Iron Road hopes to secure the remaining funds for the project by the end of 2017, but also must meet 127 project conditions set by Premier Jay Weatherill.

@RGNonline