Magnum Mining and Exploration (ASX:MGU) and Midmetal of Saudi Arabia agree to jointly fund a feasibility study on producing zero-carbon pig iron
Both companies will work together on the study, which will investigate the development of a Hismelt facility in Saudi Arabia
The facility will be fed with magnetite concentrate from Magnum’s Buena Vista project in Nevada, USA, and steel mill waste
Magnum and Midmetals are in discussions about project funding and pig iron offtake, with the aim of fast-tracking the feasibility study for completion by the year’s end
MGU shares are up 13 per cent, trading at 2.6 cents at 11:34 am AEDT
Magnum Mining and Exploration (ASX:MGU) and Midmetal of Saudi Arabia have agreed to jointly fund a feasibility study on producing zero-carbon pig iron.
The two companies will work together on the study, which will investigate the development of a Hismelt facility in Saudi Arabia, on a 50/50 basis.
The facility will be fed with magnetite concentrate from Magnum’s Bena Vista project in Nevada, USA, and steel mill waste.
The green materials will be smelted to produce green, high-quality pig iron. The feasibility study will also include the production and supply of renewable biochar to certify that the materials have a net zero carbon dioxide footprint.
“Midmetal’s involvement has the potential to accelerate the development of Magnum’s Buena Vista Iron Project in Nevada, USA, and catapult Magnum into green pig iron production ahead of the majors,” MGU CEO Neil Goodman said.
Magnum and Midmetals are in discussions about project funding and pig iron offtake, with the aim of fast-tracking the feasibility study for completion by the end of 2023.
MGU shares were up 13 per cent, trading at 2.6 cents at 11:34 am AEDT.
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