Feasibility study projects moving mega-tonnes of chromite out of Far North
A delegation of KWG Resources and Marten Falls First Nation (MFFN), one of the communities near the Ring of Fire deposits, completed a trip to China to lay the foundation for a Far North railway and project financing.
A June 1 KWG release said the group was provided with an overview of the feasibility study began last year, when they most recently visited with their project partner, China Railway First Survey & Design Institute Group (FSDI), at its headquarters in Xian, China on May 15.
The company was advised by its Chinese partners that the study had concluded that the route which traverses the Marten Falls’ traditional territory was a viable alignment for the construction of a chromite ore-haul railroad.
The study estimates that at a capital cost of US$1.965 billion such a railroad could be constructed to transport 10 million tonnes of chromite annually by 2030, potentially growing to a yearly volume of up to 24 million tonnes by 2040.
KWG has a 30 per cent stake in the Big Daddy chromite deposit in a joint venture it shares with Noront Resources. The company is also holding a 50 per cent stake in the Black Horse chromite deposit in another agreement with Bold Ventures. As a proponent of a north-south railroad, the Toronto-based chromite developer is looking to source financing and secure supply agreements from within the Chinese stainless industry.
For the rest of this article, click here: https://www.northernontariobusiness.com/industry-news/mining/chinese-railroaders-like-the-route-to-the-ring-of-fire-632921