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Strike Resources (ASX:SRK) gets green tick for Paulsens East mine

Mining
ASX:SRK      MCAP $14.47M
02 August 2021 11:20 (AEST)

Paulsens East Hematite Ridge. Source: Strike Resources

Strike Resources (SRK) has been given the green tick for its mining proposal at its Paulsens East Iron Ore Project in Pilbara, Western Australia.

The approval was from the Department of Mines, Industry, Regulation and Safety (DMIRS). The company for its planned 1.5-million-tonne-per-annum iron ore production.

The permit allows pre-mining site works to commence.

Strike is now focusing on finalising a port from which to export the iron ore, with discussions expected to rapidly advance now the approval is in hand. The company is aiming to export the first shipment early next year.

Notably, a final investment decision is expected once offtake arrangements are completed and an export port is allocated.

Managing Director William Johnson says this is a key milestone.

“With the key permits for the Paulsens East Mine now received, Strike is focussing on securing the necessary port allocation to confirm export capacity for its iron ore, prior to making a final investment decision and targeting first shipment of ore in early 2022,” he said.

“With the Mining Proposal now approved, we will move as fast as possible to commence production at Paulsens East to take advantage of buoyant market conditions in the iron ore sector.”

On the market this afternoon, Strike is down 7.14 per cent, trading at 26 cents per share at 12:44 pm AEST.

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