Apparently still some heritage issues to sort out on IV- but MinRes looking at logisitcal solutions to get export above 6mpta. First cash still CY2014.
Now expects a partner for Bucklands by March when DFS is done. Lots of interested parties.
Been a LONG LONG LONG wait but perhaps its really a case of value being literally around the corner.
IOH upbeat about Buckland partner Nick Evans, The West Australian November 26, 2013,
Iron Ore Holdings managing director Alwyn Vorster says the company remains confident of bringing in a partner for its Buckland iron ore project in the West Pilbara.
Mr Vorster said IOH was considering offers to develop the 8 million-tonne-a-year mine and port project.
Speaking to shareholders at IOH's annual meeting yesterday, Mr Vorster said the Kerry Stokes-backed iron ore hopeful had a number of prospective partners in the wings for Buckland. It hoped to deliver a funding solution for the project by the time final feasibility studies were completed in March.
"We have identified a number of very credible Australian and overseas interested parties, from a wide range of areas - mining companies, logistics companies, private equity companies - and we (are) considering all our options," he said.
Earlier studies put the cost of Buckland at about $800 million, but Mr Vorster said yesterday a softening Pilbara cost environment and a tightening of the project's scope were expected to help IOH shave 5 to 10 per cent from its estimated costs.
With $67 million in the bank at the end of September, IOH was still cashed-up beyond the dreams of many of its peers. But additional income from a deal with Mineral Resources over its Iron Valley project still appeared some distance away, with Mr Vorster admitting yesterday Mineral Resources was yet to begin mine development. Mr Vorster said all necessary primary approvals for the mine had been granted, but several outstanding heritage issues had prevented the start of the clock on a six-month deadline for MinRes to begin mining at Iron Valley.
When announcing the deal in February, MinRes said first shipments could begin in early 2014.
Mr Vorster said he was not concerned about the delay, as MinRes was also considering "logistical solutions" that could lead to an improved export rate from the project, above the initially planned four to six million-tonne-a-year export rate.
Iron Ore Holdings shares gained 1¢ to 91¢ yesterday.
IOH Price at posting:
90.0¢ Sentiment: LT Buy Disclosure: Held
