Midwest port and rail infrastructure viable: study finds

<p>Junior iron ore miner Murchison Metals said an infrastructure study released this week had confirmed the viability of plans for a new deepwater at Oakajee and associated heavy rail.</p> <p>The Western Australian company hopes that the study will support the case for the State Government to move ahead with plans for a 45mtpa iron ore port 22 km north of Geraldton and a standard-gauge track which would be at least 380 km long.</p> <p>The new port would include two cape class berths, with the possibility of expansion to 100mtpa and the addition of a narrow gauge link to Geraldton in future.</p> <p>The completion of the study will fuel Murchison’s confidence in pushing ahead with mining of its Jack Hills project, 380 km northeast of Geraldton, which is expected to produce 25mtpa by 2010&#4711.</p> <p>Murchison said the Oakajee Iron Ore and Rail Project Multi User Baseline Study, completed this week, confirmed that there was an economic case to develop the new rail infrastructure and the $1.5bn port at Oakajee.</p> <p>Executive chairman Paul Kopejtka said it was another major step for both the infrastructure development and Murchison’s mining plans.</p> <p>"We are now on track to be the first company to complete a full detailed feasibility study into the development of the new infrastructure for submission to the state government in the first quarter of 2008, well ahead of other infrastructure proponents," Mr Kopejtka said in a statement to the Australian Stock Exchange.</p> <br />