Strategic Minerals plc (AIM: SML) is a UK registered resources company focused on the development and supply of iron ore – in particular magnetite - to the world’s industrial markets. The Company seeks a balance between near term marketable magnetite production assets and the significant capital gains growth associated with the exploration and development of prospective deposits.
Shipments can now be made from the Cobre Mine and the company expects to start shipping commercial quantities of ore over the next 90 days.
Strategic’s chief executive Paul Harrison said: “We are delighted that this milestone in the development of the Cobre mine has now been completed.
“It will allow us to accelerate the supply of our high quality magnetite ore to commercial customers and build up our revenues significantly.
“To date we have only been able to truck haul a limited amount of product from the mine site to US domestic customers.”
The upgrade, which cost US$3.5 million, will see the magnetite transported 900 km to the Port of Guaymas in Mexico, where it will be loaded for export to China.
At full capacity, the rail facility will see 50,000 dry metric tonnes of ore pass along it every month.
Back in February, the firm said it had earned its first revenue from Cobre with shipments of up to 1,200 tonnes of ore made to an agricultural business and a concrete manufacturer, both in the US.