Low iron-ore prices suspend GRW production

22nd September 2021 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – Junior GWR has suspended mining operations at its C4 iron-ore mine, in Western Australia, for a period of 30 days as it reviews costs and iron-ore pricing.

The ASX-listed company said on Wednesday that the mine will be left in a production-ready state to take advantage of a recovery in iron-ore prices, with a total of 172 500 t of ore either on the run-of-mine pad or crushed and stockpiled, ready for transport.

A further 143 000 t of ore is broken and ready to be dug from the pit.

The company told shareholders that it was currently engaged with other iron-ore producers that had expressed interest in accessing the mined high-grade ore in order to blend with their own product.

While operations have been suspended, the GWR board and management will complete an assessment of project economics and review market sentiment and predictions for the iron-ore price for the remainder of 2021 and 2022.

“While it is disappointing that mining operations have temporarily ceased at the C4 iron-ore mine, it is important to note GWR remains in a strong positon to resume operations as the mine will be left in a production ready state in order to take advantage of a recovery in iron-ore prices,” said chairperson Gary Lyons.

“GWR is currently engaged with other iron-ore producers who have expressed interest in accessing. via minegate sale, the mined high grade ore in order to blend it with their product.

“I am extremely proud of the achievements our team has delivered, setting both a production and haulage operations record of 139 422 t of ore transported from site to the Port of Geraldton in August. It is evidence in the ability of our team to resume operations with improved iron-ore markets.”

Since February this year, GWR has shipped some 660 000 t of ore.