London Mining has received scoping study results for its Isua project, located 150km northeast of Nuuk in Greenland.
According to the study, the estimated capital expenditure of the project is $2bn, with iron capacity of 15 million tons per annum and initial mine life of 15 years.
The study was conducted by Canadian engineering firm SNC Lavalin.
London Mining plans to complete a full bankable feasibility study by the end of 2011, so construction can begin in 2012 and first production can commence in 2015.
The firm is selling a minor stake at project level to fund the bank feasibility study, and plans to introduce a strategic partner to provide funding for construction.