Buckland is an iron ore development project located in the West Pilbara region of Western Australia, comprising potential mines at Bungaroo South and Kumina, and a proposed 20Mtpa Cape Preston East Port facility.
The Kumina tenements comprise three granted exploration licences covering an area of approximately 480km2 located approximately 100km south of Karratha. The tenements, which were acquired in September 2017, host numerous channel iron deposit (“CID”) targets and higher grade bedded iron deposit (“BID”) targets with associated detrital iron deposit (“DID”) mineralisation. Minimal previous iron ore exploration has been conducted on the tenements.
BCI has undertaken several drilling programmes and has defined a maiden Mineral Resource estimate at the Kumina A (CID) and Kumina E and J (BID/DID) deposits of 78.3Mt at 59.1% Fe at a 57% Fe cut-off, or 115.2Mt at 58.0% Fe at a 53% Fe cut-off.
Drilling to date has focused on targets which were identified from first past reconnaissance on the tenements and contained significant outcropping mineralisation. Kumina therefore remains highly prospective for further iron ore discoveries. Other existing high priority targets for the next phase of drilling include target I, a complex faulted and folded area with widespread mapped BID and DID mineralisation supported by positive rock chip results (refer to ASX announcement dated 19 February 2018), as well as targets G and H, which comprise areas of outcropping BID/DID mineralisation which potentially extend undercover.
Detailed geophysical and structural work is planned over coming months with the aim of firming up existing drill targets and identifying new areas of interest.
Kumina could potentially be developed as part of a larger Buckland Project development, but also has potential to be a lower cost standalone operation. Discussions are underway on partnership and funding solutions, including with parties with existing or planned infrastructure solutions who are seeking additional tonnes and/or higher-grade ore for blending. BCI’s aim is to secure an arrangement that minimises future expenditure on its iron ore assets and creates additional low risk iron ore earnings.
Bungaroo South and its satellite deposits have a total Mineral Resource of 283.3Mt at 56.5% Fe and an Ore Reserve of 134.3Mt at 57.6% Fe (refer here for more details).
A feasibility study was completed in 2014 on an 8Mtpa development case, and all primary approvals are in place for the Bungaroo South mine, road and port. This includes an executed Construction Works Lease and Licence with the Pilbara Ports Authority for a 20Mtpa transhipment port at Cape Preston East for an initial term of 20 years.