The first shipment of 200,000 tons iron ore from the Simandou project in Guinea arrived at Majishan port in Shengsi, East China's Zhejiang province, on Jan 17, according to China Baowu Steel Group.

The arrival is expected to significantly enhance the long-term iron ore supply for Chinese steel producers.

After unloading, the first 24,000 tons of iron ore will be transported via river to the base of China Baowu, the world's largest steel producer, in Shanghai's Baoshan district.

Simandou, located in southeastern Guinea, is home to one of the world's largest open-pit iron ore mines, with proven reserves of 4.4 billion tons.

The project  began operations in November. It produces high-grade ore with an iron content of about 65 percent.

Once the Simandou project reaches its full production capacity, its output will account for 5 percent of the global iron ore supply, equivalent to nearly 10 percent of China's iron ore imports in 2024.

In the same year, China's iron ore imports reached 1.237 billion tons, with Australia and Brazil accounting for over 80 percent of the total.

The potential of the Simandou project is of great importance for China who attempts to diversify its supply by expanding domestic output and investing in overseas mines.

Source: Jiefang Daily