roy hill next cab off the rank

ROY looks set to run

Roy Hill next cab off the rank: Hancock
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Wednesday, November 28, 2007
Rebecca Lawson

HANCOCK Prospecting is building momentum for its next mine, Roy Hill 1, billing it as possibly Australia's largest undeveloped marra mamba iron ore deposit.

Speaking at the Metal Bulletin Australian Iron Ore conference in Perth yesterday, director of sales Grant Young told delegates that Roy Hill is being fast tracked, with a prefeasibility study to be wrapped up next year.

Young said over the year the private company had spent $38 million defining the key characteristics and true size of the Roy Hill 1 deposit, drilling around 210,000m.

Hancock Prospecting expects to start the project's bankable feasibility study next year, and the mine's planned start-up date is pegged at 2011-12.

Young said exploration work has found that iron mineralisation at Roy Hill varies between 2m and 66m in depth, with mineralisation averaging 5km down dip and 30km along strike.

Most holes drilled so far have intersected iron grades of over 55%.

Young added that Roy Hill has a resource of 1.2 billion tonnes at 58.2% iron, using a 50% iron cut-off.

"Roy Hill 1 is proving to be a world-class marra mamba project of international significance destined to ship its ore to Asia," Young said.