Indo Mines commences Scoping Study on ironsands project

ASX-listed firm Indo Mines Limited announced Tuesday it had appointed Promet Engineers Pty. Ltd. to undertake Scoping Study of its Jogyakarta ironsands project in Jogyakarta, central Java.

According to the company, the Scope of Work will cover mine design and capital expenditure, beneficiation and reduction plants, infrastructure, materials supply, environmental and project development timetable.

The Scoping Study follows on form the completion of JORC-compliant resource estimate in 2006, where the company reported global resources of 605 million tonnes of magnetite bearing sediment grading 10.8% Fe, which equates to an equivalent contained iron of 65 million tonnes.

?The iron sands mineralization is located on the surface, allowing for cost resource estimation and mining. The deposits are located close to key infrastructure, which are expected to reduce the capital costs of a potential development and shorten overall construction time,? the company said.

Indo Mines owns a 30 percent interest in the project with an additional 40 percent interest to be earned upon completion of the bankable FS. (alex)