ASX- and JSE-listed Tawana Resources on Tuesday reported it had found a significant iron-ore deposit at its Mofi Creek licence area in Liberia, next to the traditionally mined Bomi Hills area, containing iron concentrations of up to 64.8%.
The company said it is targeting a 30 km strike of high-grade direct shipping ore magnetite mineralisation and weathered, easily beneficiated ‘soft’ iron formation for high-grade beneficiated fines.
Both styles of mineralisation have been confirmed in the licence area and Tawana has already started detailed field mapping and rock-chip sampling to better define contacts and distribution of mineralisation types.
On the basis of the initial mapping and sampling results, the company will review flying a detailed aeromagnetics survey to better define mineralisation distribution and continuity below areas of thick vegetation and weathering.
“There is significant potential for this project to provide a rapid development timeframe, with low capital intensity using the extensive existing infrastructure and close proximity to major deep-water ports and transshipment solutions,” the company said in a statement.
Tawana reported that it recently undertook a one-day field reconnaissance site visit during mid-November that produced encouraging results.
Subject to further detailed geological confirmation, a conceptual target is to quickly develop a high-margin, low-tonnage operation that could generate significant cash flows for the company.
The licence area is about 100 km from Monrovia on well-maintained sealed roads, 20 km from an historic heavy-haul iron-ore railway from the Bomi Hills mine, close to a deep-sea port and 25 km from the coast.
Historic production at Bomi Hills is poorly documented; however estimated historic production by the government of Liberia was 50-million tons of high-grade magnetite.