:: Mount Gibson in Magnetite Negotiations

Mount Gibson Iron Ltd has entered into negotiations which are expected to lead to the development of its magnetite resources in the Midwest region of Western Australia.

While hematite bearing iron ores found at Tallering Peak and Mt Gibson will be crushed and screened to produce direct shipping grade ore, magnetite bearing iron requires beneficiation by fine grinding and magnetic separation to produce an iron rich magnetite concentrate containing between 65 percent and 70 percent iron.

Mount Gibson Iron Managing Director Brian Johnson said he had recently visited China and would return again next week to advance negotiations to supply 2.5 mega tonne per annum of magnetite concentrate for a period of 15 years, to a group of new iron pellet producers.