An expanded drilling programme has started at Lincoln Minerals Gum Flat iron ore project in the southern Eyre Peninsula of South Australia.

On the Barns Prospect, a parallel reverse circulation and diamond core drilling programme has begun where a small hematite direct shipping ore inferred resource was earlier outlined based on one drill holes line.

The Barns inferred resource is 0.6Mt at 55.7% Fe using a 50% Fe cut off, 3.3 density and 100m strike length.

The schedule’s initial exploration target is 500m long and consists of 2Mt to 3Mt of hematite DSO at 55%-60% Fe, the company said.

The Gum Flat project is located near a railway line and is 20km from Port Lincoln which has been approved for iron ore export from the Wilgerup hematite deposit on central Eyre Peninsula.

The approval might allow Lincoln iron ore consignments to access the port as Barns DSO is similar in composition to Wilgerup DSO mineralisation.

Drilling work is likely to continue up to the first quarter of next year.

A metallurgical and scoping study is currently underway at the project site.

Operation of the project is managed through a joint venture with Indian iron ore company Mineral Enterprises.