rail

Western Australian iron ore company, Brockman Resources Limited (ASX Code: BRM – “Brockman”) has welcomed the release of the State Government’s proposed Pilbara Railways Third Party Haulage Regime, today announcing that the Company’s flagship Marillana Iron Ore Project is exceptionally well located to benefit from third party access to Pilbara rail infrastructure.
The draft regime and public consultation paper were released by the Western Australian Department of Treasury & Finance on Tuesday, and provide strong indication that the WA State Government intends to enforce existing State Agreements with BHP Billiton and Rio Tinto. The State Agreements require the two companies to provide third party iron ore haulage on their Pilbara rail infrastructure.
Managing Director of Brockman Resources, Mr Wayne Richards, said the enforcement of the State Agreements would be a major boost to the development of the Marillana Project.
“The Marillana Project lies within two kilometres of BHP’s Mt Newman rail line, which traverses the mining tenement, and is within forty kilometres of Rio Tinto rail line,” Mr Richards said. “In terms of proximity to existing rail infrastructure, Brockman is certainly one of the best placed iron ore juniors to benefit from the enforcement of third party haulage.”
“We are very enthusiastic about the potential benefits of the draft access regime, and expect that it will assist with our ongoing discussions regarding transportation of our Marillana iron ore,” Mr Richards continued.
The Marillana Project has a current JORC Code compliant resource estimate of 1.1 billion tonnes of hematite mineralisation. Earlier this month Brockman announced plans to complete a A$112.5 million capital raising to fast-track a Pre-Feasibility Study for a 10–25Mtpa Project at Marillana, targeting first ore production at a nominal rate of 2Mtpa by late 2009.
Mr Richards said Brockman will take part in the Pilbara rail access public consultation process through its association with the North West Iron Ore Alliance – a group of four junior iron ore companies who have joined forced to support the development of a junior iron ore sector in the Pilbara.