Red Hawk hopeful after study results

Cheryl Edwardes-chaired Red Hawk Mining has high hopes over its Blacksmith iron ore project in the Pilbara after completing a preliminary feasibility study.

Red Hawk Mining released the results of its preliminary feasibility study on the market this morning, finding economic viability of its 5Mtpa direct shipping ore (DSO) project.

In its study, Red Hawk claims it is well placed to become a new iron ore producer through the development of the Blacksmith project, based on the positive outcomes.

The West Perth junior miner said the study incorporated four deposits with a combined mineral resource estimate of 174Mt and found the resources delivered almost 100Mt of economically mineable material.

“I am extremely proud of the Red Hawk team along with the technical and commercial consultants who have delivered an outstanding pre-feasibility study for the Blacksmith project,” Ms Edwardes said.

“The increase in scope to 5Mtpa and continued optimisation of mining, process and haulage has created a technically robust and financially attractive project.

“Red Hawk remains committed to delivering first ore on ship in late 2025 and will move rapidly onto preparation of a definitive feasibility study with all workstreams driven by this goal.”

Red Hawk managing director Steven Michael said the Blacksmith project could deliver 5Mtpa of DSO product for more than 20 years, with a high degree of certainty.

“Since releasing the positive results from the Blacksmith scoping study in October 2023, the team at Red Hawk has been focused on enhancing the value and robustness of the project by incrementally improving the technical and commercial accuracy of all components of the pre-feasibility study,” he said.

The study covers four deposits being Delta, Paragon, Blackjack and Champion, Mr Michael said.

“The Delta ore reserve provides over 86 per cent of ore for the first 13 years of production, adding further geological and commercial certainty to the project economics,” he said.

In its study, Red Hawk said it intended to complete a definitive feasibility study to be a step closer to executing the project and support funding activities.

The company said the Blacksmith venture was a low-risk project producing 5Mtpa of more than 60 per cent iron with low capital costs, attractive operating costs and a life of mine spanning more than 20 years.