Despite the downramping by the obsessed non stock...

Despite the downramping by the obsessed non stock holders...further news on aap published this morning regarding CAZ moving to sell their gold assets to fund the Mt Caudan iron ore project with Gondwanna.....4mt spare capacity at the intended port.....

"Cazaly Resources narrows its focus to iron ore project

May 21, 2009
Article from: Australian Associated Press

CAZALY Resources is considering selling its West Kalgoorlie gold project to fund its iron ore project near Southern Cross, also in Western Australia.

The company hopes to bring it*s $70 million Parker Range iron ore project into production by the end of calendar 2010.

The junior explorer's co-managing director Clive Jones said Cazaly was in talks with "local" and "interested" parties regarding the gold project.

He said potential buyers included Focus Minerals, Dioro Exploration's suitor, Avoca Resources, and Kalgoorlie Consolidated Gold Mines, the Newmont/Barrick joint venture that operates the Super Pit gold mine in Kalgoorlie.

"It depends on how you monetise those (gold) resources -- we could sell them outright," Mr Jones said.

"At the moment, we don't know where those cards are going to fall."

Mr Jones said the potential suitors were all seeking to add new gold resources to their projects in the area.

Cazaly is also in talks with overseas parties about a potential joint venture for Parker Range.

Shares in Cazaly jumped 2c to 18.5c after it announced a resource upgrade at its 80 per cent-owned Parker Range project to 23.5 million tonnes.

Mr Jones said the project was connected by road to the Kalgoorlie-to-Esperance rail network, so Cazaly had a strong infrastructure strategy including a memorandum of understanding with the Esperance Port Authority.

The port handles up to 15 million tonnes per annum but was currently operating at an 11Mtpa rate, "so there is capacity", he said.

The company was also "deep in discussion" with AGR, which operates the railway, about transporting product from Parker Range to port, Mr Jones said. " ends