Name of the Project
Lake Giles iron project.

Location
North-west of Kalgoorlie, in Western Australia.

Project Owner/s
MacArthur Minerals subsidiary Macarthur Iron Ore.

Project Description
A feasibility study has confirmed Lake Giles as an economically viable project producing three-million tonnes a year (dry basis) of high-grade magnetite concentrate over a 25-year mine life. The study underpins a maiden mineral reserve of 237-million tonnes as reported on
March 15, 2022.

The Moonshine and Moonshine North pits will be mined using conventional openpit mining methods at 9.68-million tonnes a year, based on 350 t- to 400-t-class hydraulic excavators loading 180 t class rear dump trucks. The project aims to use experienced mining contractors, with Macarthur maintaining orebody definition, quality control and medium- to long-term mine planning functions and management.

To produce the concentrate, assuming a weight recovery of 31%, ten-million tonnes a year of feed to the process plant will be required. Two stages of conventional crushing will crush the ore to a size suitable for feed to a high-pressure grinding rolls unit.

The fine-ore grinding section will contain two streams in parallel, each containing two stages of mills, with low-intensity magnetic separation (LIMS) units after each stage. This will be followed by reverse flotation and a final LIMS stage. The final concentrate moisture will be reduced by pressure filtration allowing for stockpiling and transport by truck.

The project will leverage off access to existing regional rail and port infrastructure and deliver a premium concentrate (66% iron) product with low impurities.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an estimated pretax net present value of $579-million and an internal rate of return of 13%.

Capital Expenditure
The project will require an estimated capital investment of $569-million.

Planned Start/End Date
Not stated.

Latest Developments
Macarthur Minerals has appointed a strategic subcommittee to assist the board in planning the development of its Lake Giles iron project.

The subcommittee will be focused on producing Macarthur’s strategic partner action plan, drawing together the individual efforts of the company’s executives, developing a programme to engage and solicit support from the Australian federal government, providing project support to deliver this project for the Esperance and Goldfields community, and implementing a plan targeting preferred partners for construction, power, water, communications and logistics.

The subcommittee will also be responsible for the preparation and management of any merger and/or takeover proposals received by the company.

Macarthur president and executive chairperson Cameron McCall has said that a key focus for the company over the next 12 months is the identification of key strategic partners to advance Lake Giles to the delivery phase.

Over the past eight months, while the feasibility study was under development, MacArthur Minerals has been fielding enquiries from interested parties.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
MacArthur Minerals, tel +61 7 3221 1796 or email communications@macarthurminerals.com.