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Polaris sizes up Yilgarn project

Kate Hayc/ck Mining News
Tuesday, 2 October 2007

IRON ore hopeful Polaris Metals has launched its second pre-feasibility study for the year and is targeting a 5-10 million tonne operation at its Yilgarn project in Western Australia's Mid-West.



The Perth-based company announced today that the Yilgarn project, which has a non-JORC-compliant resource estimate of 60-70Mt of direct shipping ore, would be assessed for its capacity to support a 5-10Mt per annum export operation for up to 20 years.

Polaris said it believed the new Carina, Chamaeleon and Vela prospects also had a target potential of around 40-60Mt and the project overall could host a total resource base of around 200Mt.

Some deposits within the Yilgarn project, including Carina and Chamaeleon, fall within the priority area set by the WA Environmental Protection Agency, and Polaris said it had established a task force to respond to the EPA's proposal.

The company added it expected it would receive approvals for the project, and direct shipping ore from those areas would be available for export by 2010.

Engineering consultants Prodemas International have been appointed as study managers for the PFS.

Polaris is also targeting a 1.25-2.5Mt operation at its Poondano project in the Pilbara, which would be exported through the Port Hedland public access port facilities when these become available.

The company said it was targeting 10-15Mt potential mineralisation at Poondano and would begin 8000m of RC drilling in November.

Shares in Polaris were last trading at 52.5c, up 6c in morning trade