Gindalbie Metals has confirmed that the Karara Joint Venture will appeal against some of the conditions and recommendations contained in the Reports released recently by the Environmental Protection Authority (EPA) of Western Australia for the Karara Iron Ore Project.
While the company is reported to be pleased with the EPA’s overall recommendation that the flagship Karara Project be approved for development, conditional on the implementation of Ministerial Conditions, it has lodged an appeal against the exclusion of the Terapod deposit from the recommended approval.
Gindalbie managing director Garret Dixon said while the exclusion of Terapod had little impact on the flagship magnetite phase of the Karara Project, the deposit was an important part of the planned first stage hematite operation.
The Company has also identified that magnetite mineralisation exists below the hematite ore that should develop into a significant magnetite deposit based on its detailed understanding of the geology of the area.
“Terapod comprises a significant portion of our initial hematite resources and our intention would be to mine it as part of the start-up 2 Mtpa DSO operation,” he said.
“This phase of operations will generate substantial early cash flow which will underpin the broader project development as well as generate new jobs, royalties and other economic benefits in the very early stages of the Project.
“It is very important that the Karara Project proceeds in a timely fashion; however, it is also important that we work with the EPA to resolve any ambiguities and inconsistencies that may be in the report for the main Karara Project, and have the opportunity to raise our concerns through the appropriate channels about the exclusion of the valuable Terapod deposit, which is a significant component of our planned DSO operations.”
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