The Avertiser - $101.5ml locked in as the first tranche of up to...

The Avertiser - $101.5ml locked in as the first tranche of up to $261 ml developing five tenements on the Eyre Peninsula. 2 x 5ml tonne a year iron ore mines on the peninsula over the next 4 to 5 years. In one years time Chinese will pay $51 ml to maintain its stake and another four, $27 million pauments once the exploration targets are met. The joint venture is also developing a proposal to build a bulk commodities port at Sheep Hill near Tumby Bay and expects to submit a develpment application for the project in the next few weeks. That port could be used to export iron ore from another of Centrex's projects - the Bungalow deposit which it is developing in a deal with Baotou Iron & Steel Group worth up to $40ml. Wilgerup project near Lock will export through Port Lincoln. Centrex will be running up to six diamond rigs at the $261ml project plus other rigs making it probably the largest current exploration program in hte state.