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Magnetite the Future of Australian Iron Ore.


Traditionally, Australia has associated iron ore with DSO quality hematite, which underpinned by emergence of the Pilbara region as one of the worlds great iron ore provinces. As a result, magnetite has been greatly misunderstood and undervalued by the market.

Because it has lower iron content than hematite, magnetite has been regarded in Australia as a less attractive proposition.However, the availability of cheaper energy combined with the requirement for premium quality ore is changing this perspective.Magnetite projects today are capable of producing high-quality concentrate grading up to 68-69% Fe, which is higher grade than many of the Pilbara hematite lump and fines ores currently being produced.

Also, it is well established that hematite grades are declining globally and impurity levels are rising while the demand for quality, premium steel from China and India is continuing to increase. With hematite grades declining, high-grade magnetite concentrate is becoming an increasingly sought-after product.

Steel mills are now buying increasing volumes of high-grade, low impurity magnetite concentrate to supplement declining supplies of high-grade lump ore, in order to maintain the quality of their final product.