Massive new iron ore discovery

Fortescue Metals Group has announced an estimate of Inferred Resources....

  Fortescue Metals Group has announced an estimate of Inferred Resources of iron ore totalling in excess of one billion tonnes for the Serenity area, comprising the western one-third of its Solomon Project area.A total of 1,014 billion tonnes averaging 56 percent Fe has been defined as an Inferred Resource in accordance with the JORC Code. Within this deposit, Fortescue has defined 337 million tonnes of channel iron deposit averaging 56.7 percent Fe.Fortescue said it is continuing to drill equally prospective targets in the eastern portion of the Solomon Project area and expects to announce additional resources in that area before Christmas. Serenity is located about 60km north-northwest of Tom Price in the Pilbara region of Western Australia.This discovery is a result of a drilling program by Fortescue aimed at providing sufficient resource with its Chichester deposits to support its planned production expansion to 200 million tonnes per annum. This initial mineralisation comes from the Serenity area, which represents one third of Fortescue’s total tenements in the Solomon area.The company has commenced metallurgical test work, with preliminary results suggesting that mineralisation is responding positively, but further work is required to determine detailed process flow sheets, expected recoveries and product characteristics. This work is ongoing