Private company Cockatoo Island Mining is on track for its first iron ore shipment this year after signing a land use agreement with the area’s traditional owners.
Cockatoo Island Mining is on track for its first iron ore shipment this year after signing a land use agreement with the area’s traditional owners.
The privately owned mining company signed an agreement this week with Dambimangari Aboriginal Corporation.
The Cockatoo Island Co-Existence Indigenous Land Use Agreement was registered on the Register of Indigenous Land Use Agreements on January 24.
It provides for a range of benefits to the traditional owners, including monetary payments, and establishes principles for the employment of Indigenous people in the mine’s operations, respect of traditional culture, and protection of the environment.
“Conclusion of the ILUA is a major milestone in CIM’s plans to re-establish mining operations at Cockatoo Island, and I am encouraged by the cooperative approach of the traditional owners to assist us to achieve our plans,” managing director Fanpeng Meng said.
He told Business News that CIM was currently working on its loading facility and was on target to complete the first iron ore shipment this year.
CIM was advised on the agreement by Pragma Lawyers, House Legal and Hall Chadwick WA.
It bought the mine out of receivership in 2020 and since then has been preparing for a resumption of operations from its seawall pit.
Cockatoo Island, 140 kilometres north of Derby, had been used for iron ore mining since 1951.
The mine had been mothballed for several years prior CIM’s purchase.
Its main attraction is the very high grade of ore.
ASX company Pearl Gull Iron is aiming to develop an iron ore mining operation on a separate part of the island.
Pearl Gull is in the process of topping up its cash balances with an underwritten $2 million placement and entitlement offer.
Low take-up of the entitlement offer means the underwriter – Malekula Projects, an entity associated with Perth executive James Bahen – will likely end up with a significant stake in the company.
