India’s Tata Steel and New Millennium Capital Corporation are to develop the LabMag and KeMag iron ore deposits to be known collectively as the Taconite Project in eastern Canada.
Tata Steel will participate in a $51.5M feasibility study, entering into a joint venture agreement on successful completion of the study and opting to develop one or both deposits. Tata Steel will hold an 80% stake in the jv, and New Millennium Capital the remainder.
Together, the two deposits hold 9bnt of reserves that will potentially produce 22Mt/y of concentrate, with a potential mine life of 100 years.
Tata Steel in September 2010 said it was exercising its option to acquire an 80% stake in a projected 4 million dry t/y direct shipping iron ore (DSO) project.
LabMag contains 3.5bnt of reserves at a grade of 29.6% Fe plus 1bnt of measured and indicated resources at an average grade of 29.5% Fe and 1.2bnt of inferred resources at an average grade of 29.3% Fe, according to New Millennium Capital.
KeMag contains 2.1bnt of reserves at an average grade of 31.3% Fe, 300Mt of measured and indicated resources at an average grade of 31.3% Fe and 1bnt of inferred resources.