Magnetite Mines Limited is a mineral exploration company exploring for magnetite - iron ore in South Australia.

Our main focus is the Razorback Iron Project, a very large magnetite province located 240km NNE of Adelaide, South Australia - 100% owned and operated by Magnetite Mines Limited. The project has a JORC 2004 compliant resource of over 2.7 Billion tonnes (Indicated and Inferred) at the Razorback Ridge Deposit (Razorback) with an additional 1.2 Billion tonnes (Inferred) in the nearby Ironback Hill deposit for a total of 3.9Bt (Indicated and Inferred)1. The Razorback Iron project occurs in an infrastructure rich area that has access to nearby existing open user rail, port, power, gas, heavy engineering and dormitory towns.

Strategy

Magnetite Mines Limited is funded by its shareholders and asset sales. The company's strategy is to pursue mineral commodities, in particular Iron Ore, that it believes can return shareholder value through development into a mining operation. Where project development post exploration is not deemed viable under the company's criteria, the project is sold to enable the company to focus on those that are likely to succeed.

Business Objectives

With the finalisation of resource definition and Pre-feasibility Study, Magnetite Mines Limited objective is to now find a strategic, financing partner to develop it into a magnetite concentrate producer. This will be done by offering direct ownership in the project through funding of the Feasibility Study and committing to debt funding for project construction. Iron ore pricing and, more significantly, views on economic growth and therefore iron ore demand, will impact on Magnetite Mines Limited ability to secure that partner.

Magnetite Mines will continue to pursue other opportunities, including additional magnetite prospects in the Braemar Iron Province and surrounding areas.

Over the next year, Magnetite Mines expects to focus principally on the promotion and financing of the Razorback Iron Project while optimising and progressing low-cost metallurgical and exploration studies.

  1. The Mineral Resource information for the project was prepared and first disclosed under the JORC Code 2004 and the information has not been updated since to comply with the JORC Code 2012 on the basis the information has not materially changed since it was last reported.