11/05/2011 - 11:53

Sundance, Legend to look at sharing rail

11/05/2011 - 11:53

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Sundance Resources and Legend Mining have announced an agreement to evaluate sharing rail and port infrastructure under construction as part of the Mbalam iron ore project on the Cameroon and Congo border.

Sundance Resources and Legend Mining have announced an agreement to evaluate sharing rail and port infrastructure under construction as part of the Mbalam iron ore project on the Cameroon and Congo border.

The two Perth-based miners signed a non-binding letter of intent to examine how Sundance's proposed infrastructure at Mbalam may offer rail and port haulage to Legend's Ngovoyang project.

Sundance's proposed 510 kilometre rail route linking its Mbalam mine to the Cameroon coast passes in close proximity to the southern boundary of Ngovoyang.

The rail line is scheduled to commence construction later this year, pending government approvals and finance.

Sundance managing director Giulio Casello said the company viewed it as very important to work in a spirit of cooperation with neighbouring resources companies for the mutual benefit of all stakeholders including the Government and people of Cameroon.

"We believe it makes a lot of sense for our two Australian-listed companies that operate near each other in West Africa to demonstrate our mutual belief and to endorse cooperation in order to bring to fruition the development of a new world-class iron ore region," Mr Casello said.

"We think the long term potential of this region could reach up to 100 million tonnes per year - or more - but for this to be achieved, the fundamental requirement will be the access to dedicated, heavy haulage infrastructure for the export of iron ore."

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