Magnum Mining And Exploration (ASX: MGU) has positioned itself to potentially benefit from the “Iron Quadrangle” in Brazil, by securing an option to acquire an iron ore project located in Minais Gerais.
The option fee is S$200,000.
Magnum has an exclusive option to acquire all of the fully paid issued shares in
Irongates (Aust) Pty Ltd (IAPL), which holds 99% of Brasil Recursos Minerais Ltda - which in turn has contractual rights to acquire Emicon Mineracao Terraplenagem Ltda's iron ore project in Brazil, known as the Brazilian Iron Ore Project.
The project is strategically located in one of the most important metallogenic provinces in the world and has been mined for iron ore since the
nineteenth century.
Importantly - the project consists of an in situ exploration project and a sinter feed project containing alluvial tailings, with the fines providing an early production opportunity.
Both the Brazilian Iron Ore Project and Sinter Feed Project areas are located less than 20 kilometres from Brazil’s MRS railway network, providing infrastructure logistics to transport iron ore to major ports located off the coast of Rio de Janeiro and São Paulo.