Sundance Resources has entered into an agreement with Core Mining for the provision and use of future infrastructure facilities that would service its Mbalam/Nabeba Iron Ore project.
West African iron ore developer Core owns the Avima project, located 65km west of Sundance’s Nabeba deposit.
Investors in Core include Glencore International and the Russian resources company Severstal.
A definitive feasibility study on Sundance’s Mbalam/Nabeba project was completed in March last year.
The project is designed to produce 35 million tonnes a year of direct shipping ore – quality Hematite for ten years after which the development and production of the Itabirite deposits will be carried out.
Sundance currently plans to transport the products from the deposits in the Republic of Congo and Cameroon through a rail line to a custom-built iron ore export terminal at the Port of Lolabe in Cameroon, both of which are proposed to be constructed by Sundance.
Core is working towards finalising the resource definition phase of the Avima Project and is looking at a similar production capacity to Sundance’s Mbalam/Nabeba Project.
Both the parties will also advance discussions regarding the potential for Core to access the Mbalam infrastructure by way of direct investment or alternatively by a haulage services agreement including other possible infrastructure solutions.
