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Zhongxi Mining and Fenix signed agreement for weld range iron ore project in Australia

China Steel Zhongxi Mining Co., Ltd. (Zhongxi Mining), a wholly-owned subsidiary of Sinosteel Ocean Investment Co., Ltd. managed by Resources Australia, has signed a mining commitment agreement with Australian mining company Phoenix Resources Co., Ltd. (Fenix) for the Weld Range iron ore project in Western Australia.

Zhongxi Mining and Fenix signed agreement for weld range iron ore project in Australia

Under the agreement, both parties will leverage their respective strengths to jointly support the development of the project. Located in the Mid West region of Western Australia, approximately 530 km from Port Geraldton, the Weld Range project covers the key mining areas of Madoonga and Beebyn. The project holds an estimated 290 million tons of hematite reserves with an average iron grade of 56.8%, meeting JORC standards.

According to the agreement, Zhongxi Mining will supply the relevant iron ore resources, while Fenix will be responsible for the investment, construction, and operation of the mines and associated infrastructure. Additionally, the ore is planned to be exported via Geraldton Port using the existing railway loading facility and port storage infrastructure. The project is designed for an annual production capacity of approximately 10 million tons of iron ore. Fenix will initiate feasibility studies in the coming period to finalize development plans.

Through the joint development of the project, Sino-Western Mining will not only generate cash flow but also pave the way for other mining initiatives in the region through new infrastructure solutions. Meanwhile, Fenix aims to transform from a logistics service provider into a mid-sized mining company through this collaboration.

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