- Shares in Reedy Lagoon (RLC) have soared as the mineral explorer enters an agreement to pursue “green iron” production in Western Australia
- Despite being light on details, the surge was triggered by a deal struck between RLC, Dinsdale Consultants and Smelt Tech Consulting
- Under the agreement, the trio plan to pursue a commercial objective of establishing “green iron” production in the state
- There have been no finer details regarding next steps, costs or a breakdown of the agreement at this stage, however, RLC says the qualities of its Burracoppin magnetite deposit are well suited to producing the proposed “green pig iron”
- Reedy Lagoon shares are up a stellar 171 per cent, trading at 4.6 cents each at 3:51 pm AEDT
Shares in Reedy Lagoon (RLC) have soared as the mineral explorer enters an agreement to pursue “green iron” production in Western Australia.
Reedy Lagoon shares have more than doubled in value since market open, flying past the 4-cent mark after starting the day at around 1.7 cents per share.
The surge follows the news of an agreement struck between Dinsdale Consultants and Smelt Tech Consulting in a bid to pursue a commercial objective of establishing a cleaner “green iron” in the state.
It is hoped this will be achieved by using HIsmelt Technology, which was developed in Australia and is used commercially in China.
The HIsmelt process smelts iron ore into pig iron, with lower environmental emissions than conventional technologies by using charcoal or, biochar, in lieu of coal for the reductant.
Reedy Lagoon says establishing “green iron” production in the state has potential to establish a pathway to commercialising the explorer’s Burracoppin magnetite deposit, by processing the magnetite to pig iron as opposed to selling it as a concentrate on the iron ore market.
While no mineral resource has yet been defined at Burracoppin, RLC says the
qualities of the Burracoppin magnetite are well suited to producing the proposed “green pig iron.”
There have been no finer details regarding next steps, costs or a breakdown of the agreement at this stage.
Dinsdale Principal Neil Goodman led the Rio Tinto team that developed the initial HIsmelt technology in Kwinana, Western Australia.
Reedy Lagoon shares are up a stellar 171 per cent, trading at 4.6 cents each at 3:51 pm AEDT.