Akora Resources Ltd (ASX:AKO) is poised to play a pivotal role in the dash for green steel with its high-grade iron ore projects in Madagascar favourably timed and positioned in the global transformation towards reduced carbon emissions.
At the heart of Akora's contribution to the decarbonisation movement are its three prospective exploration target areas comprising some 308 square kilometres of iron ore tenements in Madagascar, Africa.
Akora's flagship 100%-owned Bekisopa Iron Ore Project boasts a high-grade in excess of 65% lump iron ore suitable for direct ship ore (DSO), while the Tratramarina and Ambodilafa projects on the east coast have the potential for a sizable upgradable iron ore resource.
Staged development
Bekisopa, with its widespread outcrop and significant drilling success, has yielded a maiden resource of 194.7 million tonnes at 38.7% iron, of which 4.4 million tonnes at 61% iron are in the indicated category.
Significantly, 34 million tonnes at 45% iron are categorised as “green steel resource”, which can be upgraded to 69% iron.
Its premium iron concentrate, at more than 68% high-grade iron content with low impurities, is what the iron and steel industry requires to achieve its goal of reducing carbon emissions.
Akora's "green steel resource" area in the southeastern zone.
Moreover, the company has achieved direct reduced iron (DRI) pellet feed with a coarse 75-micron grind, and expects to produce even finer grinds to deliver higher iron content and further reduce impurities from its solar-powered production site.
Its high head grade and direct-to-reserve (DTR) process also mean fewer mined tonnes per tonne of concentrate, resulting in lower capital and operational expenditures.
Unexplored potential
Some 40 kilometers southwest of Bekisopa in an area called Satrokala are unexplored tenements with a known magnetic anomaly potentially 10 kilometres to more than 30 kilometres in length.
Sixty-six rock chips sampled along a 10-kilometre strike averaged 64.5% iron, making the area a compelling case for exploration.
To view the company's presentation on the development of its flagship Madagascar project, click here.
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