Blacksmith Project
project overview
Red Hawk Mining is focussed on developing its 100% owned Blacksmith Iron Ore Project in the Pilbara region of Western Australia. The Pilbara hosts many world-class iron ore mines and is the world’s largest producing region of seaborne iron ore. With its close proximity to major iron ore markets, including China, Japan, South Korea and India, iron ore exports from the Pilbara exceeded 750 million tonnes in 2022.
The Blacksmith Project is located approximately 70km north-west of Tom Price and consists of mining lease M47/1451 (112km2). Blacksmith is nestled amongst many major iron ore projects, including Mt Tom Price, Brockman, Solomon and Eliwana. In addition to major iron ore deposits and projects, the region contains significant associated road, rail and power infrastructure.
Red Hawk is focused on ‘right sizing’ the Blacksmith Project to develop a lower tonnage, higher grade project which will provide sufficient direct shipping ore (DSO) for a robust mining operation. We are able to draw on the extensive work completed for previous alternatives of the Project including State and Federal approvals, Native Title agreements and over 200,000 metres of drilling.
highlights
Recent Scoping Study demonstrated the viability of a 3Mtpa direct shipping ore (DSO) project with robust economics
Over 200,000 metres of drilling has defined the largest DSO resource of any ASX-listed junior iron ore company (excluding magnetite) with 174Mt at 60.0% Fe
Focused on minimising capital expenditure with contract mining, crushing and trucking, and utilising public roads and third-party ports
Targeting first ore to market in 2025, subject to completion of economic studies, regulatory and third-party approvals, and financing
Significant exploration has been undertaken at Blacksmith since 2008 with over 200,000 metres of reverse circulation, diamond and sonic drilling completed. The drilling programs have defined iron ore resources in seven shallow deposits: Ajax, Badger, Blackjack, Champion, Delta, Eagle and Paragon.
The potentially economic mineralisation types at the Blacksmith Project comprise canga (hematite) and Dales Gorge Member hardcap (goethite), with minor contribution from detrital materials. The hematite-dominant canga ore generally has iron content above 60% Fe. The Dales Gorge Member underlies the canga and is predominantly goethite.
The Blacksmith Project is underpinned by a substantial deposit knowledge base, including over 200,000m of historical drilling, assays, geological modelling, metallurgical testwork and geophysical data. This knowledge base has been re-interpreted by CSA Global to improve the geological characterisation and lithological domaining of the deposits.
Blacksmith DSO Mineral Resource Estimate (57.5% Fe cut-off) M47/14511
| JORC Classification | Tonnage Mt | Fe % | P % | SiO2 % | AL2O3 % | LOI % |
|---|---|---|---|---|---|---|
| Indicated | 165.2 | 60.0 | 0.085 | 5.11 | 3.24 | 4.86 |
| Inferred | 8.6 | 59.8 | 0.102 | 4.12 | 2.54 | 6.98 |
| Total | 173.8 | 60.0 | 0.086 | 5.06 | 3.20 | 4.97 |
1 The Blacksmith Mineral Resources includes the Ajax, Badger, Blackjack, Champion, Delta, Eagle and Paragon deposits. All the estimates making up the Blacksmith Mineral Resource are reported to JORC 2012 standards.
Proposed Development
Red Hawk released a Mineral Resource Estimate (MRE) for the Delta and Paragon deposits in September 2023 which confirmed sufficient +60% Fe mineralisation with low deleterious elements to potentially build a robust mining operation. The Delta and Paragon deposits formed the basis of a Scoping Study which was released in October 2023 and confirmed the significant value in developing high quality direct shipping ore (DSO) resources.
Following the positive outcomes of the Scoping Study, a Preliminary Feasibility Study (PFS) is underway. The PFS will extend the Project’s scope to include the updated Mineral Resource Estimate from Champion and Blackjack which was released in October 2023 and increased the total Blacksmith DSO resource base to over 170Mt of iron ore, providing a catalyst for considering ways to increase annual production from Blacksmith without impacting on mine life. The PFS is expected to be released in 1Q 2024.
Key highlights of the Scoping Study include:
Competent Person Statement
The information in this report that relates to Exploration Results is based on, and fairly reflects, information compiled by Mr Mark Pudovskis. Mr Mark Pudovskis, a Competent Person who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Pudovskis is a consultant to Red Hawk, employed by CSA Global Pty Ltd, independent mining industry consultants. Mr Pudovskis has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as Competent Person as defined in the 2012 Edition of the Australasian Code for the Reporting of Exploration Results, Mineral Resources, and Ore Reserves (JORC Code). Mr Pudovskis consents to the disclosure of the information in this report in the form and context in which it appears.
The information in this report that relates to Mineral Resources is based on, and fairly reflects, information compiled by Mr Aaron Meakin, a Competent Person who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Meakin is a consultant to Red Hawk, employed by CSA Global Pty Ltd, independent mining industry consultants. Mr Meakin has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as Competent Person as defined in the 2012 edition of the Australasian Code for the Reporting of Exploration Results, Mineral Resources, and Ore Reserves (JORC Code). Mr Meakin consents to the disclosure of the information in this report in the form and context in which it appears.
Photo Gallery
