It is reported that construction work began on the Wushan Taohua iron ore project in the county of Wushan, Chongqing, China. The project in question is a joint investment of Chinese steelmaker Chongqing Iron and Steel and the local government.

The Wushan Taohua iron ore mine covers an area of 28.75 square kilometers with total explored reserves reaching around 87 million tonnes of iron ore mainly consisting of hematite with an average grade of 44.72% Fe but also reaching as high as 56.8% Fe.

Commissioning of the first phase of the project is planned to start in 2012 with an estimated investment of CNY 800 million. The project also involves the building of the second largest steel production base in southwestern China. By 2015, a total of CNY 1.1 billion will be invested in the project.

Upon completion, the project is expected to have an annual production capacity of 1.2 million tonnes of raw ore, 500,000 tonnes of ore concentrate and 100,000 tonnes of cast iron, with an overall annual production value of CNY 1.5 billion.

(Sourced from SteelOrbis)
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