- AustraliaNorth AmericaWorld
Investing News NetworkYour trusted source for investing success
- Lithium Outlook
- Oil and Gas Outlook
- Gold Outlook Report
- Uranium Outlook
- Rare Earths Outlook
- All Outlook Reports
- Top Generative AI Stocks
- Top EV Stocks
- Biggest AI Companies
- Biggest Blockchain Stocks
- Biggest Cryptocurrency-mining Stocks
- Biggest Cybersecurity Companies
- Biggest Robotics Companies
- Biggest Social Media Companies
- Biggest Technology ETFs
- Artificial Intellgience ETFs
- Robotics ETFs
- Canadian Cryptocurrency ETFs
- Artificial Intelligence Outlook
- EV Outlook
- Cleantech Outlook
- Crypto Outlook
- Tech Outlook
- All Market Outlook Reports
- Cannabis Weekly Round-Up
- Top Alzheimer's Treatment Stocks
- Top Biotech Stocks
- Top Plant-based Food Stocks
- Biggest Cannabis Stocks
- Biggest Pharma Stocks
- Longevity Stocks to Watch
- Psychedelics Stocks to Watch
- Top Cobalt Stocks
- Small Biotech ETFs to Watch
- Top Life Science ETFs
- Biggest Pharmaceutical ETFs
- Life Science Outlook
- Biotech Outlook
- Cannabis Outlook
- Pharma Outlook
- Psychedelics Outlook
- All Market Outlook Reports
Fortescue Moves Forward on US$2.6 Billion Iron Bridge Project
Fortescue Metals Group has greenlit the second stage of the Iron Bridge magnetite project in Western Australia.
Fortescue Metals Group (FMG) (ASX:FMG,OTCQX:FSUGY) has greenlit the second stage of the Iron Bridge magnetite project in Western Australia, which is set to cost a whopping US$2.6 billion.
The fresh approval covers the development of Iron Bridge’s second stage, which comes after the successful US$500 million construction of Stage 1’s large-scale pilot and demonstration plants.
Through their construction, key equipment and magnetite production processes were validated for Stage 2’s full-scale ore-processing facility.
Upon reaching full operational capacity, Iron Bridge is docketed to put out 22 million wet metric tonnes per year, allowing it to produce a 67 percent iron concentrate product.
First ore is planned for 2022’s first half, with ramp up to full production set to take place within 12 months. The project holds a mineral resource of 5.45 billion tonnes and an ore reserve of 716 million tonnes, and has a mine life of over 20 years.
“The Iron Bridge project holds Australia’s largest JORC compliant magnetite resource supporting a long mine life. The successful delivery of the project by the joint venture partners is underpinned by Fortescue’s unparalleled track record and capability in safely developing and operating major iron ore projects in the Pilbara,” Fortescue CEO Elizabeth Gaines saidin a statement.
“We are confident this project will deliver growth in earnings and cashflow, resulting in enhanced returns to our shareholders and our joint venture partners through all market cycles.”
The massive magnetite project is an unincorporated joint venture between FMG Iron Bridge at 69 percent and Formosa Steel at 31 percent.
According to Fortescue, FMG Iron Bridge is required to contribute US$2.1 billion to the asset, inclusive of US$274 million in deferred contributions from Stage 1. Meanwhile, Fortescue will manage and operate the project with full marketing rights.
Funding for the project will come from a combination of project debt and shareholder contributions; the company already has five binding offtake agreements for 5.3 million tonnes per year from the asset.
As of 4:53 a.m. EDT, iron ore had climbed 2.88 percent to trade at US$92.15 per tonne.
Fortescue shares grew 1.83 percent and closed at AU$7.79 on the ASX on Wednesday (April 3).
Don’t forget to follow us at@INN_Resource for real-time news updates!
Securities Disclosure: I, Olivia Da Silva, hold no direct investment interest in any company mentioned in this article.
The Beginner’s Guide to Investing in Gold (Australia Edition)
Ready to invest in gold? Our beginner's guide makes it simple to get started.
Download your investing guide today.
Learn About Exciting Investing Opportunities in the Gold Sector
Your Newsletter Preferences
Investing News Network websites or approved third-party tools use cookies. Please refer to the cookie policy for collected data, privacy and GDPR compliance. By continuing to browse the site, you agree to our use of cookies.
A graduate of Durham College's broadcast journalism program, Olivia has a passion for all things newsworthy. She got her start writing about esports (competitive video games), where she specialized in professional Call of Duty coverage. Since then, Olivia has transitioned into business writing for INN where her beats have included Australian mining and base metals.
Learn about our editorial policies.