Mining company says goodbye to Yilgarn Hub

Mineral Resources (MinRes) has recently completed the sale of its Yilgarn iron ore hub situated in Western Australia to Yilgarn Iron Investments. This transaction also includes the acquisition of all shares in Yilgarn Iron, as well as various tenements, land interests, approvals, licenses, entitlements, and fixed assets across the Yilgarn Hub. It is noteworthy that MinRes has opted to retain all gold and lithium rights on the tenements within the Yilgarn Hub, where applicable.

The decision to sell the Yilgarn operations was formally announced by MinRes in January, citing reasons such as limited remaining mine life, substantial capital cost, and lead time required for developing new resources. Consequently, MinRes discontinued exports from the Yilgarn Hub at the end of 2024, resulting in the relocation of around 800 employees to other MinRes operations, including Onslow Iron.

Regarding the sale, MinRes Managing Director, Chris Ellison expressed pride in the accomplishments of the MinRes team in the region over the past 14 years. He emphasized that this transaction secures the continuity of these mines, supporting jobs and benefiting the economy for years to come, which reflects the company’s commitment to the region and Western Australia.

Despite maintaining confidentiality about the specific commercial terms of the transaction, MinRes highlighted that their main focus was selecting a party capable of sustaining these almost 80-year-old operations for the greater good of the region and community. This strategic move ensures the preservation of livelihoods and economic contributions, demonstrating a responsible approach towards ensuring long-term benefits for the region.

With the finalization of the sale, MinRes looks forward to shifting its focus towards other projects like the Onslow Iron, which is one of the largest iron ore developments currently in progress in Australia. This project is anticipated to unlock significant iron ore deposits in the west Pilbara region, marking a significant step towards harnessing the region’s mineral wealth.

In addition to the Onslow Iron project, MinRes possesses other key iron ore mines such as Wonmunna and Iron Valley in the Pilbara region of Western Australia. By diversifying its strategic investments in the mining sector, MinRes is aligning its business operations with the evolving needs of the industry, driving growth, and contributing to the economy.

Through this divestment and reallocation of resources, MinRes remains steadfast in its commitment to sustainable practices and prudent business decisions. The sale of the Yilgarn iron ore hub reflects the company’s strategic vision and dedication to fostering long-term economic prosperity in the region, all while continuing to uphold its values of responsible mining practices and community support.