Fenix Resources Ltd (ASX:FEX) has increased its Iron Ridge mineral resource by 84% and has received results from a recently completed drilling program at the Iron Ridge Project in WA.
The mineral resource was reported above a cut-off grade of 58% iron and selected on the grade–tonnage curve, which indicated that 58% was most appropriate for reporting a premium, high-grade iron product.
Following the finalisation of the mineral resource estimate, the company has started the process of conducting preliminary open pit plans and geotechnical work with a view to begin a feasibility study.
“We are very pleased with this significant increase”
Fenix executive director Rob Brierley said: “We are very pleased with this significant increase in mineral resource at Iron Ridge and the fact that 72% of the total mineral resource is in the indicated category.
“The grade of the deposit is a strong point of differentiation and we believe that we may be able to apply a capital-light development plan to bring the project into production within a tight timeframe.
“We will now progress Iron Ridge by commencing pit designs and environmental permitting while simultaneously engaging with service providers that could potentially deliver mining, crushing, screening, bulk road haulage and port handling as well as potential offtake and financing partners.”
Mineral resource results
The mineral resource is categorised into indicated and inferred mineral resources as shown in table 1 below:
Iron Ridge mineral resource estimate reports more than a 58% iron cut off grade
Additionally, the mineral resource has been categorised depending on stratigraphy with the main banded iron formation being the thicker, higher-grade iron mineralised unit as show in the table below:
Next steps
Product offtake discussions are taking place with assay results from the latest drill program and the mineral resource estimate reinforcing the high-grade and low deleterious element nature of the product.