Sinosteel shows interest in Grange

Tuesday, 28 February, 2006 - 17:11

China's second- largest iron ore trader, Sinosteel, is understood to be seeking a major stake in Perth-based Grange Resources Ltd's $1.5 billion dual Southdown iron ore project near Albany and Kemaman iron ore pellet operation in Malaysia.
Quoting Sinosteel Australia's managing director Xiaofei Cui, the Bloomberg news agency says Sinosteel is in initial talks to take up to 70 percent in the projects.
Grange is planning to mine 17.8 million tonnes a year to produce 6.6mt/year of magnetite concentrate over 23 years from its Southdown project, 90km north-east of Albany, beginning in 2008.