New Iron Ore Project is Confirmed Feasible in Bahia

Tombador Iron, listed on the Australian stock exchange, announced the Pre-Feasibility Study (PFS) results of its Tombador iron ore project, in the municipality of Sento Sé, in the state of Bahia, controlled by its subsidiary Tombador Iron Mineração.

The PFS, which was prepared by the consultancy GE21, confirms the project’s ability to produce high-grade ore and generate strong returns over the mine’s lifetime, according to the company. According to the study, ore reserves amount to 5.590mt of ore with 65.5%Fe, which would allow the production of 1.2mt/y over five years.

“PFS confirms that we have a great project, capable of delivering strong financial returns,” said Gabriel Oliva, CEO of Tombador Iron. He also added that the company’s current focus is “to increase sales volumes in the domestic and export markets to have sales compatible with the desired production volumes,” which are based solely on proven and probable reserves. C1 cost (FOB) is expected to be $56.94. The PFS was calculated using an iron ore price of US$100.31/dmt (dry metric ton), resulting in a revenue of US$39.2 million per year.

The project includes an open-pit mine with crushing and screening circuits. The planned Capex investments total US$ 13.1 million, of which US$ 5.7 million in the pre-production phase and US$ 7.4 during the mine’s useful life.

Sourec: Brasil Mineral

To read the full original article, please see:

https://www.brasilmineral.com.br/noticias/confirmada-viabilidade-de-novo-projeto-na-bahia

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