Iron ore company Magnetite Mines has obtained a new iron ore tenement after a competitive process run by South Australia’s Department for Energy and Mining.

The award of the Muster Dam tenement to Magnetite Mines (ASX:MGT) adds to its existing Razorback high grade iron ore project also in South Australia’s Braemar iron formation.

“We believe market conditions are ideal to advance high-grade iron ore projects in regions endowed with extensive infrastructure such as the Braemar iron formation,” chairman, Peter Schubert, said.

The company was delighted to have been selected by the South Australian government to progress the Muster Dam project and further increase its footprint in the Braemar ore province, he added.

Muster Dam tenement contains an inferred resource for iron ore of 1.5 billion tonnes and is situated 110km to the northeast of the company’s Razorback project.

The explorer said it intends to review all available exploration and technical data for Muster Dam and develop exploration targets for a drilling program.

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