Magnetite Mines (ASX:MGT) increases global resource following Muster Dam MRE

• Magnetite Mines (MGT) completes a JORC 2012-compliant mineral resource estimate (MRE) for its Muster Dam iron ore project in South Australia
• The inferred MRE reads 1.55 billion tonnes at 18.7 per cent iron and a 15.2 per cent mass recovery, increasing the company’s global MRE to 5.74 billion tonnes
• The updated resource comes a few months after MGT secured Muster Dam which it considered to be a “natural complement” to its nearby Razorback project
• Magnetite Mines plans to conduct exploration at Muster Dam while it continues developing Razorback
• Company shares are up 6.25 per cent to trade at 1.7 cents at 2:30 pm AEDT

Magnetite Mines (MGT) has delivered a JORC 2012-compliant mineral resource estimate (MRE) for its Muster Dam iron ore project in South Australia.

The inferred MRE reads 1.55 billion tonnes at 18.7 per cent iron and a 15.2 per cent mass recovery.

The completed MRE increases Magnetite Mines’ global inferred and indicated mineral resources from 4.19 billion tonnes to 5.74 billion tonnes, making it the holder of the largest mineral resource in the Braemar Iron Formation.

Magnetite Mines secured the Muster Dam tenement in May this year, as it is near the company’s Razorback iron ore project and has similar geophysical and geochemical characteristics.

The company considered the tenement to be an important opportunity as well as a “natural complement” to the Razorback project which lies 110 kilometres away.

Muster Dam is made up of the Muster Dam, Surrender Dam, Duffields and Peaked Hill prospects, however the company prefaced that the updated MRE applied to the Muster Dam prospect within the EL6746 tenement only.

Magnetite Mines said the Peaked Hill, Duffields and Surrender Dam prospects have shown “significant prospectivity” from previous drilling and geophysical surveys.

Moving forward, the company intends to prioritise exploration at these areas while it continues to develop its Razorback project.

Company shares were up 6.25 per cent to trade at 1.7 cents at 2:30 pm AEDT.