From the Whyalla News:
$53 million export project secured
by Seema Sharma
02 October 2007
Whyalla's economy will receive a further boost next year when a mineral resources company invests $53 million on rail and storage infrastructure to export iron ore from our shores.
Western Plains Resources Limited has leased land from OneSteel on the north east end of Whyalla harbour to set up permanent infrastructure to cater for cape size ships.
The company will send iron ore mined at Peculiar Knob and Hawks Nest in the Gawler Craton to Whyalla via eight trains per week.
Company chairman Bob Duffin and chief operating officer Martin Jacobsen were in Whyalla last week for a familiarisation tour.
They were excited about the project and found Whyalla to be an ideal site for exports.
Mr Duffin said while he could not put a number to the amount of employment that would be created there would surely be increased activity during the construction phase.
He said the company would set up an office in Whyalla to look after the transport and shipping operations.
"Our total budget for the transportation project is $108 million, out of which $53 million will be spent in Whyalla," Mr Duffin said.
"The facility that we will set up in Whyalla will be permanent and away from the city and the residential areas.
"We will have storage sheds, barge, loaders and an office to look after the work here.
"The construction work should start by the second quarter of next year and we hope to complete it within eight months.
"We intend to export at least 2.7 million tonnes ore each year which is almost the same as OneSteel.
"The company will continue to look at other mining opportunities in South Australia so the facilities in Whyalla are permanent."
Mayor Jim Pollock welcomed the investors saying Whyalla was changing rapidly and thanked major companies for having faith in the town.
"This is very good news for us and we welcome them whole heartedly," Mr Pollock said.
"Such huge investments will not only boost the economy but create employment and population.
"Western Plains is a reputable organisation and I am sure that they will continue to explore other business opportunities in South Australia and use Whyalla as its export base.
"I am very happy and extend an invitation to other investors to have a look at Whyalla before making a decision on an expansion or development venture."
The Peculiar Knob and Hawks Nest projects contain significant deposits of iron ore.
Initial resources development will be directed towards the Peculiar Knob and Buzzard hematite deposits with combined resource of 26.1 million tonnes, which have the potential of a 10-year mine life.
The Hawks Nest project contains more than half a billion tonnes of magnetite with significant exploration upside.
The company will leverage off its resources and operational base in South Australia to investigate other iron ore projects with the objective of becoming a significant producer.
For those of you wondering where Peculiar Knob and Hawks Nest are, there's a map at the company's website here:
http://imagesignal.comsec.com.au/asxdat ... 743121.pdf
Sounds like more good news for SA!