The Magnetite Strategy, released at the South Australian Exploration and Mining Conference today, seeks to expand South Australia’s output of magnetite iron ore to 50 million tonnes a year by 2030. In 2016, the state produced about three million tonnes.
Mineral Resources and Energy Minister Tom Koutsantonis said South Australia had 44 per cent of Australia’s magnetite resources, meaning there was an opportunity to broaden production to new areas in the state’s Far North, Mid North and Eyre Peninsula.
He said there was an increasing global demand for energy efficient, high-grade magnetite, which is sought after by steelmakers.
“South Australia already has two magnetite exporters and this strategy will enable us to more than double that by encouraging investment in several world-class projects,” Koutsantonis said.
The strategy aims to attract $10 billion in investment to develop magnetite assets.
It also aims to maximise the benefits of investment to the broader community. The strategy includes the creation of a Central Eyre Iron Project Task Force, designed to ensure third parties benefit from company Iron Road’s proposed $4.5 billion magnetite mine on the Eyre Peninsula, which would include a rail link to a new deep-water port on Spencer Gulf.
The Government released a draft strategy for community and industry comment in January this year.
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