Bauxite Resources (ASX: BAU) says it can develop a 3Mtpa direct shipping bauxite operation at its Fortuna operation, 60km east Perth, for a capital outlay of just A$26 million (excluding port capital).
The Peter Canterbury-led junior said a scoping study completed by AMC Consultants revealed that the project’s mineral resources could support this production rate for a mine life of 12 years.
“The study shows sound rail transport logistic options for the project, critical for a commodity such as bauxite,” Canterbury said.
“Mining will be by conventional shallow, open cut methods and our resource, unlike many of our peers, does not require beneficiation.”
Perhaps unsurprisingly, Bauxite says it is encouraged by predicted global demand for bauxite and the current “upward trend” in bauxite pricing.
The Peter Canterbury-led junior said a scoping study completed by AMC Consultants revealed that the project’s mineral resources could support this production rate for a mine life of 12 years.
“The study shows sound rail transport logistic options for the project, critical for a commodity such as bauxite,” Canterbury said.
“Mining will be by conventional shallow, open cut methods and our resource, unlike many of our peers, does not require beneficiation.”
Perhaps unsurprisingly, Bauxite says it is encouraged by predicted global demand for bauxite and the current “upward trend” in bauxite pricing.