- Fe (FEL) executes storage and export contracts for iron ore from its JWD Project in WA
- FEL has penned a 12-month port access and services agreement with the Mid West Port Authority to export 800,000 tonnes per annum of product from Geraldton Port
- The company has also secured a licence deal with a subsidiary of Mount Gibson Iron for the use of its port-side storage facilities
- FEL’s crush and screen plant at the JWD Project is up and running with finished product ready for haulage to port imminently.
- Shares in Fe closed at 5.9 cents apiece on July 8, 2021
Emerging iron ore producer Fe (FEL) has executed contracts for the storage and export of product from its part-owned JWD Iron Ore Project in Western Australia.
It follows the company securing a haulage deal with David Campbell Transport earlier this week, which will see a minimum of 1200 tonnes of ore transported from the project each day.
FEL advised investors this morning it had since penned a port access and services agreement with the Mid West Port Authority (MWPA) for Geraldton Port.
Under an initial 12-month term, with two further 12-month options, the deal enables the company to in-load and out-load 800,000 tonnes of JWD product per annum from Geraldton Port.
It complements Fe’s newly signed licence agreement with Mount Gibson Iron (MGI) subsidiary, Geraldton Bulk Handling (GBH), for the use of its iron ore storage facilities at the port.
The 12-month licence gives FEL non-exclusive access to the sheds, which can store up to 75,000 tonnes of JWD ore at any one time.
GBH will also provide product handling services within the facilities.
Fe Executive Chairman Tony Sage thanked MWPA and MGI for their part in finalising the company’s port arrangements.
“We look forward to working with them as we build towards our first export of JWD product. With final product ready to go at the mine we anticipate commencement of haulage imminently,” he said.
Meanwhile, the JWD Project’s crush and screen plant is reportedly operational with final product already accumulating, ready for haulage to port.
The company said its most recent contracts had enabled the FEL board and JWD joint venture to formalise their decisions to mine.
At present, Fe owns 60 per cent of the JWD Project with joint venture partner and ASX lister GWR Group (GWR) holding the remaining 40 per cent stake.
Shares in Fe closed at 5.9 cents apiece on July 8, 2021.