New PHIC member Red Hawk mining has outlined its vision to be the Pilbara’s next iron ore producer, aiming to truck its product to Utah Point at Port Hedland for export.

Managing Director and Chief Executive Officer Steven Michael outlined the company’s plans at the August meeting of PHIC’s Community Industry Forum.

Red Hawk  is focused on developing its 100 per cent-owned Blacksmith Iron Ore Project about 170km west of Tom Price.

Blacksmith sits among many major iron ore projects, including Mt Tom Price, Brockman, Solomon and Eliwana.

The company is right sizing the Blacksmith operation to develop a lower tonnage, higher grade project which will provide sufficient direct shipping ore for a robust mining operation.

The board includes former Liberal MP and government minister Cheryl Edwardes as its non-executive chair and former WA National Party leader and government minister Brendon Grylls as the chair of its Pilbara Advisory Committee.

Mr Michael said Port Hedland was important to its operation because Utah Point was the only bulk commodity port that would handle product by trucks.

A previous iteration of the project included building a railway from Blacksmith to near Whim Creek and out through a port, which would have been a multi-billion-dollar development that could not be justified.

A recent Pre-Feasibility Study demonstrated the economic viability of developing a 5Mtpa direct shipping ore (DSO) project.

Mr Michael said the company was working with Pilbara Ports to unlock greater capacity.

“Our is a sizeable deposit. We have a resource of about 250 million tonnes of direct shipping iron ore,” he said.

“We’ve got a really healthy project for a junior company. We’re targeting a 60.5 per cent iron grade for the life of the mine, which means that we should be resilient throughout the price cycle because we will have a quality product, and our cash operating costs are around US$50.”

Work was continuing with the Main Roads Department on the transport plan and contributing to infrastructure upgrades where necessary.

Red Hawk has a strategic alliance with MGM Bulk, which will provide the trucks and personnel for transportation.

“From a standing start 18 months ago, we’re in a position now where we about to launch into a definitive feasibility study,” Mr Michael said.

“We’ve had very good response from both the equity markets and the investors but also from the offtake market and potential financiers as well as contractors.

“We think we’ll be in a position to have this project at the final investment decision by the first quarter of next year and then we have a short development timetable to build a haul road, camp and small plant.

“All going well, we want to be up and running by the end of 2025 and first ore on ship in early 2026.”