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Heron Resources Ltd. Awards Concentrate Logistics Contract

21.06.2018  |  GlobeNewswire
Sydney, June 21, 2018 - Heron Resources Ltd. (ASX:HRR, “Heron” or the “Company”) is pleased to announce the award of a sigificant transportation services contract with Crawfords Freightlines Pty Ltd (“Crawfords”) for its wholly owned Woodlawn Zinc-Copper Project in New South Wales, Australia.

  • Award of Goulburn-based road and rail services contract to Crawfords Freightlines Pty Ltd
  • Provides a cost-effective, safe and efficient logistics solution between the Woodlawn Mine and export ports
  • Brings community and employment benefits through use of Goulburn intermodal facility
  • Use of rail reduces up to 6,000 annual road movements between Goulburn and export ports

Heron’s Woodlawn Project is due to commence commissioning in the fourth quarter of 2018 and will produce three separate mineral concentrates (zinc, copper and lead) which will be exported via Port Kembla and Port Botany. The concentrate is moved between the mine site and the ports using a dedicated fleet of sealed containers for overland transport.

Heron had initially planned to move the containers entirely by road haulage to the ports. In evaluating the opportunities for transportation, Heron identified an attractive and cost-effective opportunity to utilise a rail yard in Goulburn (approximately 50km from the mine site) to undertake a transfer from road to rail. Use of this intermodal has the advantages of reducing the annual road movements and eliminating truck movements through Goulburn. It also brings benefits to the local communities through expanded employment opportunities.

The domestic logistics chain for Woodlawn concentrate export will now comprise a small fleet of semi-trailers moving containers between Goulburn and the mine site, the use of a container storage facility in Goulburn, and the transfer of containers on to rail services running between Goulburn, Port Botany and Port Kembla.

Figure 1: Rail Container Transport Services. http://www.heronresources.com/tsximages/20180621/20180621_fig1.jpg

Heron estimates that the use of rail eliminates up to 6,000 annual B-double truck movements along the Hume Highway to the ports, as well as being aligned with the goals of the Roads & Maritime Services and the NSW government to move transportation from road to rail where this is feasible. Heron assesses that the use of rail will also significantly reduce the operating risks associated with concentrate movements to port.

Crawfords is a private company which operates road and rail transport services from sites including Newcastle and Goulburn. Crawfords employs more than 200 staff over five sites, own their own rail equipment, and have more than 100 prime movers and 260 trailers in their road transportation fleet.

Heron’s Managing Director, Mr Wayne Taylor commented: “Heron is pleased to have arrived at a safe and efficient solution for the transport of mineral concentrates, which also offers tangible benefits to the local communities around Woodlawn.”

Figure 2: Road Container Transport Services. http://www.heronresources.com/tsximages/20180621/20180621_fig2.jpg

About Heron Resources Limited:

Heron’s primary focus is the development of its 100% owned, high grade Woodlawn Zinc-Copper Project located 250km southwest of Sydney, New South Wales, Australia.



For further information, please visit www.heronresources.com.au or contact:
Australia:
Mr Wayne Taylor, Managing Director and Chief Executive Officer
Tel: +61 2 9119 8111 or +61 8 6500 9200
Email: heron@heronresources.com.au

Jon Snowball
FTI Consulting
+61 2 8298 6100
jon.snowball@fticonsulting.com

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