Hawsons Iron Limited has completed key process optimisation activities, including promising dry grinding tests that suggest significant energy and cost savings. The company is finalising a Project Study and attracting new investor interest following recent industry engagements.
- Successful completion of process optimisation with simplified, de-risked flow sheet
- Dry grinding tests indicate ~17% energy savings and potential 25-30% operating cost reduction
- Project Study assessing dry grinding viability and costs nearing completion
- Pilot plant trial planned for second half of 2025 at GEBR Pfeiffer in Germany
- New investor interest generated from Green Steel Summit and strategic briefings
Process Optimisation Delivers Technical and Cost Advantages
Hawsons Iron Limited has reported significant progress in its March 2025 quarterly activities, successfully completing a series of process optimisation initiatives focused on dry grinding technology. The optimisation has simplified the processing flow sheet, reducing project risk by adopting proven technical methods, albeit new to magnetite ore treatment. Key test work conducted by the University of Queensland’s JKTech and Core Resources confirmed that Hawsons’ ore is among the softest in their database, with natural fines generation contributing to low energy requirements for comminution.
Dry grinding tests using High-Pressure-Grinding-Roll (HPGR) technology demonstrated a total circuit specific energy of approximately 4.9 kWh/t, about 17% lower than previous wet grinding campaigns. This finding supports the potential for substantial energy savings and aligns with the company’s evaluation of Vertical Roller Mill (VRM) technology for full-scale production, which could reduce capital expenditure by around 30% and operating costs by 25-30%.
Project Study Nears Completion Amid Strategic Industry Engagement
Building on these technical advances, Hawsons has engaged Stantec Australia Pty Ltd to prepare a comprehensive Project Study. This study aims to validate the viability of the dry grinding circuit, assess capital and operating costs at a production scale of up to 100 million tonnes per annum, and identify opportunities for optimisation and growth. The study is expected to be finalised shortly, providing critical data to support commercial negotiations with strategic investors.
In March, CEO Tom Revy visited GEBR Pfeiffer’s manufacturing facility in Kaiserslautern, Germany, to review pilot plant capabilities. A large-scale pilot plant trial is targeted for completion in the second half of 2025, which will be pivotal in confirming the dry milling technology’s scalability and performance.
Investor Interest and Financial Position
Hawsons’ presence at the Green Steel Summit 2025 in Dusseldorf generated formal approaches from several new potential investors, reflecting growing market interest in green steel initiatives and low-carbon iron ore processing. The company also engaged with the NSW Resource Minister at an AMEC event, discussing regulatory and environmental matters pertinent to project advancement.
Financially, Hawsons ended the quarter with $1.03 million in cash reserves, operating cash outflows of $0.28 million, and investing outflows of $0.36 million. The company continues to manage overheads tightly to prioritise project investment. Additionally, Hawsons maintains an unused $1.53 million financing facility through a Put Option Agreement with LDA Capital Limited, providing a buffer to support ongoing activities.
Notably, no mining production or development occurred during the quarter, with efforts concentrated on resource modelling, metallurgical testing, and process optimisation. The company’s capital structure includes over 1 billion shares and approximately 208 million options, positioning it for potential capital raises aligned with project milestones.
Outlook and Strategic Next Steps
With the Project Study nearing completion and pilot plant trials on the horizon, Hawsons is poised to further de-risk its flagship iron ore project and strengthen its appeal to strategic investors. The coming months will be critical in translating technical advances into commercial viability and securing the funding necessary to progress towards production.
Bottom Line?
Hawsons Iron’s technical progress and investor engagement set the stage for a pivotal phase as the Project Study concludes and pilot trials commence.
Questions in the middle?
- Will the upcoming Project Study confirm the anticipated capital and operating cost savings from dry grinding technology?
- How will pilot plant trial results influence Hawsons’ final processing design and investor negotiations?
- What is the timeline and likelihood for Hawsons to secure binding commitments from strategic investors following the updated data room release?