Genesee & Wyoming Australia (GWA) and TNG have signed a binding heads of agreement (HoA) to transport magnetite concentrate by rail from the Mount Peake mine to TNG’s processing facility in Darwin. At the destination facility, TNG will produce vanadium pentoxide, titanium pigment and iron ore fines.
TNG plans to leverage GWA’s majority-owned Tarcoola-to-Darwin rail line to transport magnetite concentrate to the processing facility in Darwin, about 1,100 km away from the Mount Peake site. The magnetite concentrate will be loaded at the Adnera rail siding at Tarcoola, around 85 kilometres from Mount Peake, it will be transported by rail to the facility, and then the final product will be loaded for transportation to Darwin Port.
GWA will also supply locomotives, wagons, vans and fuelling equipment for the process. The company will become part of TNG’s network involved in the development and operation at Mount Peake, already including McMahon Services and SMS Group amongst others.
In 2017, it was estimated that within five years the Mount Peake production would turn 24.3 metric tonnes of magnetic concentrate into 10.6 metric tonnes iron oxide and 243,000 tonnes of vanadium oxide, for a total capital expenditure of A$853m (about $617m).
Source: International Mining
