OREANDA-NEWS. December 08, 2011. Sichuan private firm Taifen Group was permitted by FIRB to pay 3.3 billion yuan for a 24 percent stake in Australian Ferrowest Limited, which holds 66.7 percent of the Yalgoo Mine whose potential magnetite reserves amount to 1.2 billion tons.

40 percent of the investment will come from the groupбпs working capital and the remaining 60 percent will be raised through bank loans. China Development Bank and several commercial banks have exhibited interests in this project.

The first vessel carrying hematite produced from the mine is expected to head for China at the end of next year. When fully completed in the next three years, the project will be able to produce 4.5 million tons of 67 percent Fe content magnetite and 1.5 million tons of hematite grading 58 percent per year.

Taifenбпs latest move followed its venture into Australiaбпs IMX Resources (at a cost of A\\$47.10 million) as early as December 2009 and the acquisition this February of a copper mine owned by CSE of Australia.