The Blacksmith iron ore project, located in Western Australia’s Pilbara region, is set to be developed as a direct shipping ore (DSO) operation. Led by Red Hawk Mining, the project aims to commence production with a significant investment and extensive infrastructure.
Project overview
The Blacksmith project’s scoping study was completed in October 2023, followed by a pre-feasibility study (PFS) in May 2024. The project is projected to produce five million tonnes per annum (mtpa) of iron ore and has an estimated mine life of 23 years. Initial production is anticipated for Q4 2025, with a capital investment around A$217 million (US$141 million).
Location and geology
The project is situated approximately 70 km northwest of Tom Price and spans around 112 km². Located in the Hamersley province, the area features Late Archaean to Palaeo-Proterozoic rocks from the Mount Bruce Supergroup. Mineralisation includes hematite with over 60% iron content, underlain by goethite and minor detrital materials.
Reserves and mining method
As of May 2024, the Blacksmith project holds a probable reserve of 46 million tonnes grading 60.5% iron. Mining will use conventional open-pit methods with a planned maximum material movement of 16 mtpa. Operations will begin at the Delta deposit and transition through Paragon, Blackjack, and Champion deposits. The final product will be a DSO fines product with an average grade of 60.5% Fe.
Processing and infrastructure
Ore processing involves a primary crusher followed by screening and secondary/tertiary crushing stages. The processed ore will be stockpiled and loaded out as DSO. Transportation will utilize private and public roads to the Utah Point bulk handling facility in Port Hedland, with a staging facility at Whim Creek.
Site facilities and logistics
A 23 km access route will connect the mine site to the Manuwarra Red Dog highway, leading to Port Hedland. Accommodation facilities will be constructed at Blacksmith and Whim Creek for up to 270 personnel. Power will be supplied by diesel generators, and water will be sourced from local bore fields.
