China's Shandong identifies 100-mln t high-grade iron ore deposit

"The iron ore drilled here can be directly attracted by a magnet, a clear testament to its high grade," said Shen Lijun, an official from the Shandong Institute of Coal Geology and Exploration Engineering, on January 23 at the drilling site of the Yangquan Iron Mine survey project in Yucheng, East China's Shandong province.

In October 2024, the Department of Natural Resources of Shandong announced significant breakthroughs in the iron ore exploration in the province's Qihe-Yucheng region, identifying reserves of 104 million tonnes of high-grade iron ore in the region. The deposit has an average iron grade of 55.27%, with the ore body thickness ranging from 7.7-119.7 meters, as released.

However, when the iron-rich deposit was explored in 2023, its proven iron ore reserves were only around 14 million tonnes, as Mysteel Global reported. Over the past two years, the local exploration team has innovated its methods, extending detection depths to over 2,000 meters underground, which significantly improved exploration efficiency and led to major breakthroughs, Shen explained.

The Qihe-Yucheng deposit now is the first high-grade iron ore resource base exceeding 100 million tonnes since China launched the new round of strategic mineral exploration in 2021, Mysteel Global notes.

The deposit's high-grade quality and substantial volume are expected to bolster China's domestic iron ore supply in the future, reducing reliance on imports and strengthening the country's strategic mineral reserves, according to industry insiders.

Written by Anthea Shi, shihui@myteel.com

Edited by Alyssa Ren, rentingting@mysteel.com