The Fortescue Island Iron Project covers 378 sq km in shallow waters (5 to 20 metres deep) approximately 70km west-southwest of the iron ore port of Dampier. The area is located less than 15km from the Balmoral South Magnetite Project (Australasian Resources) and the Sino Iron Project (Citic Resources Pacific) at Cape Preston.
Location of Fortescue Island Iron Project and neighbouring iron ore development projects
The Balmoral ore bodies are high-grade magnetites that have developed within the Joffre Member of the Brockman Iron Formation. These units are clearly identified as strong magnetic anomalies in airborne magnetic survey data.
Reprocessing of public domain aeromagnetic data clearly indicates the potential for bedrock iron resources hosted by the seaward extensions of the Brockman Iron Formation, the unit that hosts the extensive Balmoral deposit which reportedly has potential to host 60 to 100 billion tonnes of mineralisation with a grade of 30-31% Fe1.
Thrust repetition has resulted in a total strike length of 36 kilometres of highly magnetic Brockman Iron Formation BIF units within the De Grey tenement application area. These strong magnetic anomalies within the Fortescue Island Project represent a strong untested iron target with enormous tonnage potential.
De Grey retains the right to purchase a majority interest in the area from Geotech International Pty Ltd under an option-to-purchase agreement. Exploration will commence upon the grant of the exploration licence.
1According to section 18 of the JORC Code - reported by Hellman & Schofield Pty Ltd Oct 2005
Proposed Balmoral Project open pits and magnetic units of Brockman Iron Formation extending into the Fortescue Island Project area. Contours show water depth.