Fenix Resources secures 30-year iron ore mining rights for the Weld Range project

Australian mining company Fenix Resources Ltd has announced the signing of a binding mining rights agreement with Sinosteel Midwest Corporation Limited (SMC), a subsidiary of China Baowu Steel Group, granting Fenix an exclusive 30-year right to extract and export iron ore from the Weld Range hematite project in Western Australia.

Located adjacent to the existing Fenix Iron Ridge iron ore mine, the Weld Range project is home to a number of high-quality ore deposits, including the Beebyn-W11 iron ore mine.

Main details of the "Range of Welds" project

The Hematite Iron Ore Weld Range project has a total mineral resource estimate of 290 million tons with an average iron content of 56.8 percent. This makes it one of the largest high-quality deposits in the region.

The main component of the project is the Beebyn-W11 deposit, which itself contains 20.5 million tons of ore with a content of 61.3% Fe. This field is already covered by the previously announced 10 million ton production agreement between Fenix and SMC.

Thanks to the combination of the Mine Right Agreement (RTMA) and the Beebyn-W11 RTMA, Fenix Resources now holds the exclusive rights to extract and export all iron ore from the Weld Range project.

Financial obligations and profit sharing

The financial details of the agreement are as follows:

Monetary reward: 60 million USD for 24 months

• $20 million in advance
• $20