Cape Alumina Limited announced that it had finalized access agreements with Western Cape York Aboriginal land owners in the Company’s proposed Bauxite Hills mine and port project area, clearing the way for a large scale exploration and drilling program to begin later this year.
Exploration Consent and the Conduct and Compensation Agreements were signed between Cape Alumina and the Apudthama Land Trust in Bamaga, Cape York Peninsula, Queensland late last week. These were the final access agreements required for the project’s exploration and drilling phase, which is on track to commence during the 2011 dry season.
The Bauxite Hills project area is 95 kilometers north of Weipa on Queensland’s Cape York Peninsula and 5 kilometers South East of the port at Skardon River. A concept study completed earlier this year showed that the Bauxite Hills project was robust and could potentially yield 50 million tonnes to 100 million tonnes of dry product bauxite which would viably sustain 15 year export operation.
Mr Neville Conway acting CEO of Cape Alumina said that the signing of these agreements was a major milestone in the project’s development and further evidence of the positive relationship that exists between Cape Alumina and the Aboriginal people of western Cape York. We are extremely pleased that these agreements with the Apudthama Land Trust have been finalized and that the Bauxite Hills project can now progress to the next stages of development.
Mr Conway said that the negotiations were conducted in a friendly and cooperative manner with a view that the development of the Bauxite Hills project will have significant benefits for all parties. Starting later this year we will undertake an advanced exploration and drilling program to establish a JORC resource and commence environmental studies of the area before moving to the feasibility stage of the project. Over the years, Cape Alumina has successfully developed a very strong relationship with the Traditional Land Owners and Aboriginal people of western Cape York within the areas of our operations. We have employed Traditional Land Owners to assist us in our field operations and we will continue to do so at the Bauxite Hills project area.
He said that the Bauxite Hills mine and port project could generate more than USD 1 billion of economic activity in Queensland and produce significant social benefits for the indigenous people of western Cape York. This project has the potential to be a significant economic asset not only for Queensland but for the entire country and would give a much needed boost to the Western Cape York region. Our project would boost business development and employment in the area and has the potential to give local people the chance to develop their skills while also enhancing regional centers like Cairns as an important base for the fly in, fly out component of our workforce.
