Yaounde, Cameroon — MININGREVIEW.COM — 18 March 2011 – Australian- based and listed mining company Sundance Resources “’ an international resources company focused on central-west Africa “’ says recent finds at its Mbalam iron ore project in Cameroon have more than doubled the size of indicated resources in the area.
Revealing this here, Sundance confirmed that indicated high-grade hematite had more than doubled to 417.7t, following a large 12-month drilling programme, compared with 169Mt previously reported.
These new indicated resources have given Sundance renewed confidence in the potential of iron ore to be mined in the area. News of the find pushed Sundance shares up 9.3% on the day.
“This resource estimate further strengthens our confidence in the viability of this project. We are now approaching half a billion tonnes of high quality iron resources, and 85% of that is indicated,” Sundance chief executive Giulio Casello said in a statement.
“We have a globally significant project capable of producing 35Mtpa of high-quality iron ore for at least 25 years,” he added.
Casello said the first phase of the project consisted of a planned railway and deep water port. Last year the company delayed the start-up of production to 2013, but it has now pointed out that
the estimated US$3.4 billion cost of the project was increasing.