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This is what ROY say about their SA deposit on their website:The...

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    This is what ROY say about their SA deposit on their website:

    The Razorback Iron Ore Project is potentially a very large magnetite deposit that is owned 100% by Royal. The project has access to existing open-user rail and port infrastructure and occurs in a major emerging iron district in South Australia.

    Royal has secured over 1,450 square kilometres of exploration tenement through either outright ownership (EL4267) or an exclusive option over the iron rights (EL3927 and EL3997). These tenements cover in excess of 110 kilometres of strike of as yet untested Braemar Iron Formation. Collectively, EL4267 and EL3997 constitute the Red Dragon Project, while EL3927 is referred to as the Pualco Project.

    The Razorback Ridge Deposit, with the Red Dragon Project, contains an Inferred Resource of 277Mt at 26% Fe contained in a strike length of three kilometres (announced on 24th August 2010). Royal is undertaking resource definition drilling to the east and west of this open-ended resource and is currently targeting 500 to 1,000 million tonnes of magnetite mineralisation at grades of 25% to 45% Fe[1] over a strike length of approximately eight kilometres. Royal intends to fast track the deposit to feasibility study and production once resource definition work is completed and the proposed operation shown to be economically and technically viable.

    Recent magnetic modelling has shown that the entire project area has a potential target size of 4.8 to 8.0Bt at grades of 18 to 45% Fe.[2]

    The Razorback area has the advantage of being close to existing and available rail and port infrastructure, hosting readily beneficial mineralisation resulting in low contaminant magnetite concentrate, is likely to be low cost compared to its peers due to very low stripping ratio, and easy grinding, and is located in a resource-supportive regulatory jurisdiction with reduced, environmental, social and Native Title risks.

    [1] ASX announcement by Royal, 16 Sept 2009.

    [2] The potential quantity and grade of the exploration target is conceptual in nature, there has been insufficient exploration to define a Mineral Resource and it is uncertain if further exploration will result in the determination of a Mineral Resource.

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