Australian Sundance Resources says the Mbalam-Nabeba iron ore project still remains strong

SYDNEY (Scrap Monster) : The Australia-based mining major Sundance Resources stated that the South East Cameroon’s Mbalam iron-ore project still remains strong despite the exit by China -headquartered Hanlong Group.

According to the company’s Chairman, they are still interested in exploring the project and is in negotiations with interested parties towards implementing rail solutions. The details of the negotiations were not disclosed as they were confidential. According to him, some of the talks are in very advanced stages. With Hanlong Group, pulling out of the project, Sundance is now in the look out of a new partner to develop the project.

The Mbalam-Nabeba Iron Ore Project straddles the border of the central African countries Cameroon and the Republic of Congo. The project scope will be to mine 35 million tonnes per annum from iron deposits in both Cameroon and Congo, construction of a 510km rail line from the Mbarga mine in Cameroon and a 70km rail spur line connecting the Nabeba mine in Congo dedicated to the transport of iron ore to the Cameroon coast, and the construction of a new deep water iron ore export terminal at Kribi, which will be capable of taking bulk iron ore carriers in size of up to 300,000 DWT.

A two stage development of a mine, railway and port for the cross border iron ore deposits in Cameroon and Congo is estimated to cost $US7.7b.