Magnetite Iron Ore Projects

Bullfinch North Project (Mayfield)

The Bullfinch North Project contains a number of DSO and magnetite iron prospects, with the most significant being Mayfield and Fish Hook, and lies 80km north-west of Southern Cross.

The Mayfield deposit has been drilled by previous explorers and was the subject of a scoping study completed in 2005. The mineralisation consists of high grade magnetite ore (45-50% Fe) covered by relatively shallow horizon of potentially direct shipping hematite-goethite iron ore.

A target resource potential of 70-90Mt has been estimated and metallurgical test work suggests the potential for high grade concentrates in excess of 69% Fe with low silica, alumina and phosphorous.

A recent rationalisation of the prospect ownership and the significant increases in iron ore prices since the scoping study was completed provide encouragement that the project is now viable – particularly given that infrastructure can be shared with the YIOP nearby to the east.

Active exploration has commenced with mapping and sampling with drilling scheduled for later in the year. Metallurgical testwork is planned to better characterise the deposit to assist in marketing studies for both the untreated and upgraded ores.

It is planned to assess the deposit for both direct shipment of the high grade magnetite and DSO ores and to evaluate the potential for simple coarse crushing and beneficiation of the magnetite ores.

Other potential resources in the area such as Fish Hook will also be evaluated.