Sherwin Iron Limited and the Northern Land
Council have reached an agreement on the terms under which Sherwin may mine the
Roper River Iron Ore Project.
The agreement, ratified at a full council
meeting of the NLC today, is a critical milestone in securing the future of the
mine as well as providing substantial benefits to the traditional owners and
native title holders of the mine.
The Roper River Iron Ore Project, which is 500km
south east of Darwin, has a current resource of 488 million tonnes. The project
includes several major deposits including Hodgson Downs, Mount Fisher, Sherwin
Creek, Mount Scott and Yumanji.
The NLC agreement is subject to Ministerial
approval.
The agreement covers mining and exploration
over all Sherwin tenements and includes royalty payments and Indigenous
employment targets.
Sherwin Iron Executive Chairman Barry Coulter
paid tribute to the NLC and traditional owners for their commitment to the
project.
“There has been a real spirit of openness and
trust throughout the negotiations,” Mr Coulter said.
“We are all committed to achieving an outcome
that brings benefits to the traditional owners, local people and the broader
Territory community.”
Up to 200 people will be employed during
construction of the mine, with 400 jobs created once fully operational. At
least 200 million tonnes of ore will be produced over the mine life, including
initial 40 million tonnes of high value Direct Shipping Ore.
Direct investment in the mine is estimated to
be $800 million over the life of the project, which includes mine
infrastructure, beneficiation facilities, camp, transport infrastructure and
environmental control processes.
In broader Territory terms, assessment by
Perth-based Prime Research estimates a boost of between $2,500 million and
$2,900 million to the economy over the next eight years.
Sherwin Iron is currently moving through
environmental assessment and community consultation ahead of lodging a Notice
of Intent with the Northern Territory Government later this month.
The
project was granted Major Project Status by the Northern Territory Government
earlier this year. Work is continuing on completing an Environmental Impact
Statement and working towards receiving regulatory approval.
