Arrium Mining

Arrium's Mining business was established in 2007 following the commercialisation of the company’s hematite iron ore reserves under Project Magnet.  The business includes iron ore mines located in the Middleback Ranges of South Australia, approximately 60 kms from Whyalla, and its Southern Iron operation in northern South Australia.  Arrium Mining owns its export port facilities at Whyalla with current sales capacity of 6+ million tonnes per annum.  Work is underway to expand these port facilities to approximately 12 million tonnes per annum by mid-2013 with iron ore sales of 11 mtpa by that time, which enables Arrium Mining to be one of Australia’s largest exporters of iron ore outside the three majors.

Arrium Mining’s Southern Iron assets were acquired in 2011 from WPG Resources Ltd. They include the Peculiar Knob high-grade DSO hematite project (located approximately 90kms from Coober Pedy and 600kms from Whyalla), the Buzzard and Tui DSO hematite and magnetite deposits at Hawks Nest, as well as other exploration tenements in the region. First sales from Peculiar Knob are expected in the fourth quarter of the 2012 calendar year.