Name of the Project
Robe Mesa iron-ore project.

Location
West Pilbara, Western Australia.

Project Owner/s
CZR Resources subsidiary Zathus Resources (85%) and ZanF (15%).

Project Description
The Robe Mesa project has probable reserves of 8.2-million tonnes grading 56% iron, 2.7% aluminium oxide, 0.09% phosphorous, 5.9% silicon dioxide, 0.02% sulphur and loss on ignition of 10.9%.

A prefeasibility study (PFS) has successfully outlined mining and processing plans, a target production rate, estimates for capital and operating costs and infrastructure requirements to support the project. The PFS has determined that the project has strong financial and economic merit.

The findings are based on a PFS production rate of two-million tonnes a year of direct shipping ore (DSO) and a maiden Joint Ore Reserves Committee-compliant probable ore reserve of 8.2-million tonnes at 56% iron. The PFS estimates a mine life of 66 months.

Simple, proven crushing and screening techniques will be used in the production of all-fines DSO product. The PFS envisages a contractor model for the purpose of mining using conventional drill-and-blast, truck-and-shovel (backhoe excavator) openpit mining practises.

The two-million-tonne-a-year processing plant will use conventional three-stage crushing and screening to produce a –9.5 mm all fines product. The PFS has further shown that increasing the production target of Robe Mesa to three-million dry ore tonnes will not require any additional processing capacity or additional load-and-haul fleet on site; therefore, the unit cost of mine operations will be reduced.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an estimated payback of 19 months.

Capital Expenditure
Preproduction capital costs are estimated at A$51.1-million.

Planned Start/End Date
Not stated.

Latest Developments
None stated.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
CZR Resources, tel +61 8 6211 5099 or email admin@czrresources.com.