QUEBEC and LABRADOR - Calgary's NEW MILLENNIUM CAPITAL has plans to begin mining direct shipping ore from its DSO properties near Schefferville in 2010. The company hopes that the early start of the DSO project will help fund its larger KeMag project near Lac Harris, QC.
New Millennium holds 27 deposits that were previously owned by the IRON ORE COMPANY OF CANADA in Quebec and Labrador. Historically, the deposits are thought to contain 100 million tonnes of iron ore grading perhaps 60% Fe. New Millennium has yet to produce a NI-43-101-compliant resource estimate.
The DSO are sub-divided into four areas designated Area 1, Area 2, Area 3 and Area 4. The company's conceptual plan is to consider mining these areas in two phases.
The first phase of development, which represents about 20% of the estimated resources, includes Area 2 and Area 3. These areas have semi-developed infrastructure which will permit rapid construction. The conceptual plan is to transport the crude ore by truck from the 10 open pit deposits in Area 2 (10 km north of Schefferville) and Area 3 (20 km north of Schefferville) to a wash plant to be built and installed in Area 3. The wash plant is expected to produce two products, a lump ore and a fines product. It is planned to transport these products by rail to a marshalling yard near Schefferville prior to shipment on the main line to Sept Iles.
The second phase, including about 75% of historical estimated resources, will entail mining in Area 4. This area, which is about 50 km north of Schefferville has no infrastructure and will take longer to develop than Area 2 and Area 3. The conceptual mining plan is to transport the crude ore by haulage truck from the nine open pit deposits in Area 4 to an overland conveyor for transport to the wash plant in Area 3, then via the phase 1 infrastructure to the Port of Sept-Iles.
New Millennium anticipates the startup of its Phase 1 production in 2010 and its Phase 2 production in 2013. There are nine Area 1 open pit deposits seven of which are jointly owned with LABRADOR IRON.
Learn more about New Millennium's plans at www.NMLResources.com.
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