Fenix Resources is making strides to strengthen its iron ore footprint in Western Australia’s Weld Range region. The miner has announced the acquisition of two significant tenements, including Spartan Resources’ historic Beebynganna Hills project. These assets align with Fenix’s goal of increasing production and enhancing its regional presence.
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Key Acquisitions to Bolster Regional Growth
Fenix Resources now owns the Beebynganna Hills project and an exploration tenement near the Beebyn-W11 mine. The exploration project is awaiting funding approval. Both tenements are strategically located near Fenix’s flagship Iron Ridge mine, which has delivered consistent results since production began in 2020.
John Welborn, Fenix executive chair, expressed excitement about the acquisitions and their strategic value.
“Fenix has demonstrated the extraordinary value that we can unlock from the iron ore deposits of the Weld Range,” Welborn said.
Since 2020, Fenix has mined more than six million tonnes of high-grade iron ore, generating $800 million in revenue. The new tenements, according to Welborn, will provide seamless opportunities for expansion.
Iron Ridge: A Strong Foundation for Growth
Fenix’s Iron Ridge mine has been a cornerstone of its operations. The mine produces 1.4 million tonnes of iron ore annually and has set a high standard for mining efficiency. Welborn highlighted the company’s integrated operations.
“The fully integrated mining, logistics and port operations we have established in the Mid-West continue to demonstrate we can unlock value from previously stranded ore bodies and deliver exceptional cashflows, profits, and outstanding return on investment,” Welborn said.
The Beebynganna Hills project is expected to further this success. Previous exploration identified hematite deposits with grades of up to 65 per cent iron, offering high potential for future production.
Plans to Scale Up Production by 2025
Fenix plans to triple its production volume to four million tonnes annually by 2025. Welborn confirmed that the company’s infrastructure has the capacity to support this ambitious growth.
“In 2025 we expect to increase annualised production from 1.3 million tonnes to four million tonnes and have confidence our excellent regional infrastructure has significant capacity to support further growth,” Welborn said.
The acquisitions will be key to meeting this goal. Fenix aims to expand its footprint in the Weld Range, an area rich with untapped iron ore deposits.
“Historic exploration activity in the Weld Range has identified numerous high-quality iron ore deposits, and the expansion of Fenix’s regional footprint is a priority to support our plans to continue to grow production volumes,” Welborn added.
Sustainability in Steelmaking: A New Era
Western Australia remains the world’s largest exporter of iron ore, with its resources playing a pivotal role in the global steel industry. However, the industry generates about eight per cent of global carbon emissions.
Efforts to reduce emissions in steelmaking are gaining momentum. Recently, BHP and Rio Tinto announced plans for an Australian-first steelmaking plant in Kwinana. This facility will test electric smelting technology, eliminating the need for metallurgical coal and significantly reducing emissions.
The plant, expected to become operational in 2028, could offer Fenix a sustainable avenue to process and export environmentally friendly iron ore.
Unlocking Value in the Weld Range
The Weld Range region is known for its high-quality iron ore deposits. Fenix’s strategic acquisitions, combined with its existing infrastructure, position the company to maximise the region’s potential.
Welborn emphasised the company’s commitment to delivering value for stakeholders.
“We are committed to unlocking the full potential of the region’s iron ore assets for the benefit of all our stakeholders,” he said.
The acquisitions mark an important step for Fenix Resources as it scales operations and prepares to meet the growing demand for sustainable steel production.
Looking Ahead
Fenix Resources has laid the groundwork for long-term success in the Weld Range. With its integrated operations, strategic acquisitions, and commitment to sustainability, the company is well-positioned to lead the next phase of Western Australia’s iron ore boom.
As Fenix continues to expand, its efforts will contribute to the region’s economic growth while supporting global sustainability initiatives in steelmaking.