good or bad , page-34

more of the same but with a slight positive spin, from Miningnews


SHARES in would-be iron ore miner Cazaly Resources have come off the boil today after its plan B development for its Parker Range property in Western Australia?s Yilgarn was scuppered by Transport Minister Troy Buswell and Premier Colin Barnett.

It effectively pulls the plug on Cazaly?s initial plan to export 1.4 million tonnes of iron ore through Fremantle port from March next year before a subsequent switch to the Esperance port at an expanded rate of 4.6Mtpa, some 12 months later.

Both Buswell and Barnett have rejected the Fremantle proposal.

?The proposal to ship bulk iron ore through the Fremantle Inner Harbour is not supported by the government,? Buswell said in a statement.

Only last week Cazaly?s original proposal to export through the Kwinana bulk terminal was taken off the table when Fremantle Ports allocated available new capacity to rival iron ore miner Mineral Resources.

Cazaly?s plan to utilise the Esperance port in year two of its operations was thrown a life line when Buswell confirmed the government was currently working with the Esperance Port Authority on options to expand its iron ore capacity, and with the department of transport to quantify the potential to expand the bulk handling facilities in the Kwinana area, including at the proposed James Point site.

?It is anticipated that these developments will allow Cazaly and other mining exporters the opportunity to activate their mineral assets,? Buswell said.

?It is entirely appropriate that the state government, as owner of ports, makes strategic decisions about what goes through Western Australian ports.

?This is not the first time that we?ve had discussions with government-owned ports in relation to the composition of their export cargo, and I don?t expect it will be the last.

?For example, we had discussions with the Port of Albany ruling out live sheep exports and the Port of Bunbury which wanted to export wheat, which will also not go ahead.?

MiningNews.net contacted Cazaly for additional comment on the matter and was awaiting a response at the time of deadline.

Cazaly previously estimated the cost of utilising the Esperance port at $104.4 million.

Shares in Cazaly were down 8.57%, or A3c, in afternoon trade to 32c.