This project is based at the old Koolanooka mine site approximately 190 kms east of Geraldton with Blue Hills a further 70 km east of Koolanooka.
Midwest is producing haematite iron ore from existing stockpiles at its Koolanooka and Blue Hill's tenements. Koolanooka/Blue Hills have an Ore Reserve of 7.9Mt at 57.8% Fe as at 31 December 2007, with 1Mtpa installed capacity and 100% of current production on secure export contracts to China . The first shipment of iron fines of 58,300 tonnes was shipped from Geraldton to China in February 2006.
The Koolanooka/Blue Hills project is being developed in two stages:
- Stage 1 – Loading, haulage and shipment of the iron ore fines stockpiles at Koolanooka with approximately 400,000 tonnes of marketable ore remaining as at 31 December 2007
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Stage 2 – Crushing, haulage and shipment of ore produced by mining at Koolanooka of 4.33Mt and at Blue Hills of 3.17Mt. This stage is now scheduled to commence in the latter part of 2008, subject to Government approval. The planned rate of production and sales for this project will grow to about 1.5Mtpa from the middle of 2009.
The Company has completed construction of its storage handling facilities at the port of Geraldton which include a storage shed (with capacity of up to 85,000 tonnes of ore) and a road receival hopper. Midwest is currently undertaking construction of a rail loading facility at Tilley Siding, near Morawa to enable a transition to rail haulage. |
