StockMarketWire.com - Exploration group Alien Metals said a scoping study at the Hancock iron ore prospect in Australia demonstrated 'exceptionally strong' returns were possible from a potential development.

Optimisations completed using an iron ore price of $100 a tonne resulted in the design pits extracting all of the initial resources identified to date.

Initial life-of-mine studies showed the current resource would sustain an eight-year life based on parameters including a mining rate of 1.25 million tonnes per annum.

'Given the exceptional results from the scoping study, the company has begun planning the next stages of development with the appointment of a highly experienced iron ore operations manager to commence the permitting process,' Alien Metals said.

'The company is also in the final stages of planning the next phase of drilling, which is targeting extensions to the Ridges resources, where substantial resource growth potential exists.'


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