The Grants iron ore project lies 8 km south of the Barrier Highway and the Transcontinental Railway, and one hour drive west of Broken Hill. A substantial magnetite-hematite iron ore deposit was defined in 2012 as the result of drilling laterite capped hills following discovery of subtle iron ore outcrop by Havilah geologists.
The deposit contains a JORC Inferred Resource of 304 million tonnes of 24% Fe at a cut-off grade of 18% Fe, with considerable remaining exploration upside potential.
Havilah’s drilling and 3D modelling has shown that the deposit forms a homogeneous hull-shaped body of iron ore up to 180 metres thick from surface and covering approximately 130 hectares, with minimal internal waste and almost no overburden. These factors highlight the extremely favourable open pit mining characteristics of the Grants iron ore deposit.
The iron ore appears to be geologically and mineralogically similar to Havilah’s nearby Maldorky iron ore deposit and other Braemar region iron ore deposits. This, combined with the favourable logistics and deposit mining geometry, means the deposit is well suited to a low cost open pit mining operation.
In a recent development SIMEC Mining (an affiliate of the GFG Alliance) has commenced due diligence on Havilah’s Maldorky and Grants iron ore projects, with the objective of evaluating the commercialisation potential. The Grants project lies only 8 km south of a continuous, heavy duty rail link to GFG Alliance’s existing operations at Whyalla.
Through a series of transactions Havilah secured 100% ownership of the entire Grants Basin iron ore prospect (see aeromagnetic image below). A 14 hole drilling program at the western end of the Grants Basin, sponsored by SIMEC Mining, has identified an Exploration Target of 3.5-3.8 billion tonnes of 24-28% iron (noting that the Exploration Target is conceptual in nature and there has been insufficient exploration to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource).