It is reported that the bold venture to build Australia biggest magnetite iron ore mine and a linked port facility from scratch is finally taking shape in the Pilbara as its Chinese owners attempt to put the project difficulties behind them.

As loaders stockpile mined ore at the Sino Iron project 100 kilometres south-west of Karratha, the development mammoth processing plant and power station are in advanced stages of construction as a workforce of about 3500 endeavours to meet the latest completion deadline.

Owner Citic Pacific insists its mid-2012 target for first shipment will be met, 18 months later than the original schedule. The magnetite process involves crushing the mined ore to a fine powder and mixing it with water to create slurry to be piped to the new Cape Preston port which includes a desalination plant.

The project's 457 megawatt gas fired power station will be mostly supplied by Apache Energy nearby Devil Creek processing plant.

Mr John King construction manager said "The logistics of not just the power station but everything out here in the deserts of Western Australia is something else."

While the processing is energy hungry, Mr King said the dual cycle turbines would deliver 40% efficiency savings.

Mr Rob Cory Citic Pacific Mining spokesman said getting the complex central processing plant and the first two mill lines operational were the key priorities.

As per report, at full capacity the mine is expected to deliver 25 million tonnes per annum to China steel mills over an estimated life of 25 years. The project construction price tag could hit USD 6.1 billion compared with an original budget of USD 3.5 billion.

After 50 jobs were made redundant this month in an organizational restructure, Mr Cory said an ongoing review of operations would not affect the headcount.

(Sourced from thewest.com.au)