Australia’s Atlas Iron discovers new DSO deposits at Abydos

Australian iron ore producer Atlas Iron has announced the discovery of four additional direct shipping iron ore (DSO) deposits at its Pilbara-based Abydos DSO Project, located 120 kilometers south-south east of Port Hedland, the world's largest multi-user iron ore port.
 
To date, 120 holes for 5,272 m have been drilled across four deposits. Results returned for 90 holes indicate strong potential for highly saleable ore with excellent iron grades and low levels of contaminants. Results from the balance of the holes are due from the assay lab during January 2009 and are expected to provide further information on deposit geometry and tonnage potential.
 
Previously, Atlas Iron reported a resource of 15.13 million mt at 56.9 percent Fe and a probable reserve of 7.428 million mt at 58.1 percent Fe at its Abydos DSO Project.
 
 As regards the future, Atlas Iron plans to export one million mt during its first 12 months of operations at its Pardoo DSO Project, growing to three million mt in the second year. With additional export tonnages from its Abydos DSO Project, the company is targeting exports at a rate of six million mt per year by 2010, growing to 12 million mt by 2012.