Northern Iron Corporation and Danieli Centro Metallics have entered into a joint venture to develop the Griffith Iron Ore mine, which has been a big producer in the past.
Northern Iron, the Canadian junior miner has enlisted Danieli, the plant and equipment supplier for the steel industry, as its technological partner for marketing and promoting the project to possible partners, financiers and final product off-takers. The aim is to generate the funding to cover the expenses up to and including a bankable feasibility study. The scope of the agreement also includes the possible installation of a fully integrated operation to produce Hot Briquetted Iron (HBI) comprising a concentration plant, pelletizing plant, an Energiron direct reduction plant, briquetting plant and related auxiliary systems.
Basil Botha, President and CEO of Northern said, “By completing this agreement we have aligned ourselves with one of the world’s leading direct reduction technology providers and plant equipment suppliers to the steel industry. Danieli’s ‘take or pay’ off-take commitment is a huge vote of confidence in the quality of product that was produced historically prior to mine closure in 1986. Overall, the agreement with Danieli is a strong commitment that they believe in the potential of the past producing Griffith mine.”