Australasian Resources said its Balmoral South iron ore project has received final state government environmental approval.

The Balmoral project has a projected 25-year life span and can mine up to two billion tons of magnetite iron ore at a rate of up to 80mtpa and produce pellets and concentrate for export at a rate of up to 24mtpa.

Its subsidiary International Minerals currently has the contractual rights to mine one billion tons of magnetite ore from which it plans to produce 12mtpa of high-grade concentrate and pellets.

The Balmoral deposit, the world’s largest undeveloped magnetite resource, has the potential to host 60 to 100 billion tons of magnetic banded iron formation.

The company has already completed a feasibility study on the project, located south-west of the town of Karratha, Australia.