Astra Resources has signed a memorandum of understanding (MoU) with Cagayan River Construction & Development (CRCDC) to form a joint venture (JV).
The JV will manage and develop the iron sand deposits in the Cagayan River Delta located in the Cagayan Valley region in the Luzon, the Philippines.
According to geological studies and extensive sampling, the Cagayan River Delta has reserves of more than nine billion tonnes of iron sands at a depth of 14m.
Under the agreement signed by CRCDC and the Province of Cagayan, the JV will start dredging and extending a small part of this area as soon as the mining licence is granted.
Astra Resources managing director Silvana De Cianni said that the operation would be fully mechanised, and supported by commercial dredging equipment as well as suction and discharge to barges.