"An advantage of building a rail network between Kaunisvaara and Svappavaara is, primarily, to provide better transport facilities for already existing mines. However, introducing location of potential mineral deposits to the planning process will add a huge benefit for the development of additional minerals and mining industry in the region," [GeoVista] said.
"In addition to the vast iron ore deposits in the area, there is also potential for the extraction of around 600m tonnes of dolomite and limestone, possibly also extraction of quartzite and graphite would become of interest." GeoVista told IM.
"The uncertainties that exist in the material relate especially to the [limestone and dolomite] carbonates. The potential of the carbonates is great but there are stringent requirements for product quality and the level of knowledge of the deposits is today too low," GeoVista added. "Worth remembering is the importance of infrastructure in financing early stages of exploration and evaluation. If a decision is taken to commence construction of this railway in an area of high mineral potential, in a region of good mineral legislation and low political risk, this is an important signal to the financial markets," GeoVista told IM.
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