Join our daily newsletter At The Bell to receive exclusive market insights
- Macarthur Minerals (MIO) advises it has secured an order of shipping containers for its Direct Shipping Operation to Kwinana’s bulk terminal
- The company has signed on for 190 half-height containers which will support its recently signed rail haulage agreement with Aurizon
- MIO will transport 500,000 tonnes of iron ore per annum between Kalgoorlie and Kwinana, as it looks to secure logistics for its own project
- The mining stock is transporting GWR Group’s (GWR) iron ore once mining operations resume at the partner’s site
- Shares in Macarthur Minerals ended Friday steady at 47 cents each
Macarthur Minerals (MIO) has secured an order of shipping containers for its Direct Shipping Operation to Kwinana’s bulk terminal.
This is agreement is representative of MIO’s broader efforts to shore up its logistics and transport routes for its own Lake Giles Iron Ore Project.
Under this latest deal, the company will take control of 190 half-height containers, supporting its wider DSO rail haulage services to the terminal in Perth’s south.
Macarthur recently signed a rail haulage agreement with Aurizon to transport iron ore between West Kalgoorlie and Kwinana.
MIO will transport GWR Group’s ore under the agreement, after the two companies signed a mine-gate sales agreement.
GWR has temporarily paused its mining operations due to volatility in the market, but when operations recommence MIO said it would begin transporting the products.
Commenting on the significance of the recent agreements, MIO CEO Andrew Bruton said he was pleased to have secured access to the rail.
“In the current tight freight market, access to suitable shipping containers that are constructed to allow end-tipping of iron ore onto stockpiles is challenging,” Mr Bruton said.
“The reservation of containers will provide an opportunity for Macarthur to continue to target early revenue generation by commencing shipments of DSO secured from GWR Group under the recently announced mine-gate sale agreement subject to finalisation of port capacity and stabilisation of iron ore prices through Q4 2021 and into Q1 2022.
“At the same time, the Company continues to simultaneously advance plans to bring its Ularring project into operation.”
Shares in Macarthur Minerals ended Friday steady at 47 cents each.
