- Reedy Lagoon (RLC) has engaged CSIRO to research a method of determining a magnetite resource for its Burracoppin Iron Project in WA
- Over the past few months Reedy has focused on developing the project into a sustainable producer of green high-purity pig iron
- Part of this goal is establishing a JORC-compliant resource using alternative methods that reduce ground disturbance
- To do this, CSIRO and Reedy Lagoon will investigate ways to use geophysics which means less drilling would be required while also saving costs
- Company shares are up 57.6 per cent on the back of this news to trade at 2.6 cents
Reedy Lagoon (RLC) has engaged Commonwealth Scientific and Industrial Research Organisation (CSIRO) to conduct research for its WA-based deposit.
CSIRO will develop a method of determining magnetite resources using petrophysically constrained magnetic modelling at Reedy Lagoon’s Burracoppin Iron Project.
Reedy and CSIRO will collaborate to investigate and trial ways to determine resource estimates that rely more on geophysics rather than information taken solely from drill holes.
The pair will utilise drill core to determine the Burracoppin magnetite deposit’s physical properties and use those results to constrain a 3D magnetic model of mineralisation.
CSIRO Project Leader Dr Jim Austin said: “Magnetite resources are unlike any other metal in that the quantity of the resource present (ie. iron) has a linear relationship with both density and magnetisation. This means the total iron resource can theoretically be determined to relatively high precision using geophysical methods alone.”
If successful, the work could lead to a new method of estimating a JORC resource with less drilling required to reduce ground disturbance while also saving costs.
As announced in March this year, the company is hoping to develop the project into a sustainable producer of green high-purity pig iron (HPPI).
To make this happen, Reedy Lagoon is hoping to establish an indicated resource for the project of between 20 and 30 million tonnes iron concentrate so it can determine the financial projections for HPPI production.
Company shares are up 57.6 per cent on the back of this news to trade at 2.6 cents at 11:19 am AEST.