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GWR Group (ASX:GWR) hits production milestone at C4

Materials
ASX:GWR      MCAP $32.12M
21 December 2020 15:00 (AEST)

GWR Group (GWR) has achieved a production milestone at its WA-based C4 Iron Deposit after executing a crucial road transport contract.

A haulage contract secured between Alliance partner Pilbara Resource Group (PRG) and QEM Group Australia will facilitate the transport of ore from the C4 mine site in Wiluna to the Port of Geraldton.

The procurement cost has not been disclosed, however, GWR advises that the figure is aligned with internal company estimates. 

High-grade ore is currently being stockpiled at the site, with GWR expecting imminent transport of the ore to Port Geraldton.

The company says Port Geraldton has sufficient truck unloading and storage facilities to accept and store the ore ahead of shipment. 

Mining operations commenced at C4 on December 3, with Pilbara Resource Group engaged for stage one of the C4 mining operations.

The initial stage covers the first one million tonnes of C4’s 21.6 million tonnes mineral resource estimate at 60.7 per cent iron.

Assessment and modelling are currently underway to increase production tonnage on stage one.

GWR says ore vessel charters will commence in January through the Port of Geraldton once sales contracts have been executed.

GWR shares are trading in the grey at 30 cents apiece at 12:02 AEDT. 

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