Territory moves into production
Territory Resources has commenced first production of iron ore from its FrancesCreek project in the Northern Territory.Territory Resources Chairman, Michael Kiernan said the development timeline was on track with railing of iron ore to the Port of Darwin in July and the first shipment planned for the third quarter this year. “Territory Resources has now moved to producer status – this is great news for our shareholders,” Mr Kiernan said. “Achieving producer status is a result of a fantastic team effort from the enthusiastic Territory Resources workforce.”The 100 percent-owned 1.5mtpa Frances Creek project is located north of the regional town of Pine Creek on the Stuart Highway, 190km south of Darwin, with the existing Alice Springs to Darwin rail line running within 15km of the project. “Territory Resources has the significant benefit of having rail and port infrastructure in place, mitigating project risk and enabling the company to simply focus on digging and delivering,” Mr Kiernan said.“From this base, our intention is to aggressively explore other iron ore deposits on our project leases, targeting both a doubling of production and reserves within 18 months of shipping our first ore to China,” he said. Mr Kiernan said Territory had marketing arrangements in place with Hong Kong based Noble Group for its iron ore production. Noble plays a key role as intermediary in the supply chain of iron ore into China from India, Australia and Brazil.Territory Resources, which recently changed its name from Territory Iron, has a strategy of leveraging its iron ore projects to develop into a diversified carbon steel materials producer.