Australian Green Iron Tracker

About

IEEFA’s Australian Green Iron Tracker is an interactive dataset that allows users to visualise current projects in Australia’s low-emissions iron production value chain. It is built by compiling data from a range of sources, including Magnetite South Australia, Geoscience Australia and companies’ publicly available data. 

This dataset provides a list of operating and proposed, pilot and commercial-scale facilities for iron production across Australia. It aims to capture the full value chain of low-emissions ironmaking, with a particular emphasis on projects utilising direct reduction technologies, and on magnetite mining. The dataset is intended to support industry monitoring and research into the development of Australia’s emerging green iron sector.

^{Note: Using an updated internet browser will help to ensure all graphics on this page display correctly. For any issues, contact us.}

Key Findings

Ironmaking in Australia

Australia is the world’s largest producer and exporter of iron ore, primarily supplying Asian markets dominated by blast furnace-basic oxygen furnace (BF-BOF) steelmaking, which relies on lower-grade iron ore. This long-standing relationship with Asian steelmakers has shaped Australia’s iron ore industry around hematite-based direct shipping ore (DSO) mining. As a result, Australia has largely operated under a “dig and ship” model, exporting raw iron ore with minimal processing.

However, as the global steel industry faces growing pressure to decarbonise, there is increasing focus on production of low-emissions iron as a future export commodity in its own right, beyond raw iron ore. Decoupling ironmaking from steelmaking is not a new concept, but it has gained renewed attention in recent years. Producing iron from ore using currently available commercial technologies, mostly focused on the direct reduction (DR) pathway, will require the development of new infrastructure and processing setups.

Globally, the race to produce low-emissions iron as a precursor to low-carbon steel is intensifying. Australia is not alone in this pursuit. The countries it is in competition with each bring different advantages to the table. Some possess higher-quality iron ore, others enjoy access to low-cost clean energy. While a few nations already produce DR-grade concentrate and pellets or direct reduced iron (DRI) at scale, others are only beginning to develop the capability.

Current efforts to establish iron production in Australia can be broadly divided into two main categories:

Enhancing feedstock supply for conventional DRI production 
These projects focus on expanding the availability of high-grade iron ore concentrate and pellets (based on magnetite ores) suitable for use in DR shaft furnaces. 

Developing solutions for low- to mid-grade iron ore usage in the DR pathway
This group is exploring innovative technologies to upgrade Australia’s abundant but lower-grade resources. These approaches often involve processes that have yet to be demonstrated at commercial scale and will likely require significant technological breakthroughs.

Back to top

With the exception of two pilot-scale DRI/hot briquetted iron (HBI) projects currently under construction, none of the large-scale projects in the pipeline have reached final investment decision (FID). The majority remain in early planning phases, such as scoping or pre-feasibility studies.

The current project pipeline, based on stage of development (from initial to advanced), is as follows:

Back to top

Australia’s magnetite iron ore deposits

While Australia’s iron ore sector is dominated by DSO from Western Australia’s hematite mines, this type of ore is generally not suitable for DRI production due to its lower iron content and higher impurities. In contrast, Australia’s abundant magnetite resources have the potential to be a game changer for supplying high-grade feedstock suitable for low-emissions steelmaking.

This dataset compiles publicly available information on 83 magnetite deposits across Australia. For the majority of these deposits, general studies such as mineral resource estimates and concentration test results (primarily based on the Davis Tube Recovery (DTR) test) are available. However, for some deposits, reliable, up-to-date data could not be sourced. Where available, data on iron ore resources, reserves and concentrate test results are provided with appropriate references. For Western Australian deposits, a link to the MINEDEX database is provided, while deposits located in South Australia include references to the SARIG where applicable.

Resources and reserves

Australia’s magnetite iron ore resources have long remained outside the spotlight, despite the country’s substantial endowment. 

Under the JORC code [the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves], iron ore resources in Australia are reported in three categories: Inferred, Indicated, and Measured – reflecting increasing levels of geological certainty. Reserves, on the other hand, are categorised as Probable and Proved, which additionally reflect the level of technical and economic evaluation supporting mine development. With more advanced geological and technical assessments, many of these resources could be reclassified as reserves in the future. 

Currently, Australia holds an estimated 66 billion tonnes of magnetite iron ore resources. However, approximately 38 billion tonnes (58%) is classified as Inferred, indicating lower geological confidence. In comparison, Indicated resources account for around 22 billion tonnes (33%), and Measured resources make up just 6 billion tonnes (9%), highlighting the need for further exploration and study to increase classification confidence. Australia’s magnetite reserves stand at approximately 10.5 billion tonnes, with the majority – nearly 99% – concentrated in South Australia (5.7 billion tonnes, 54%) and Western Australia (4.8 billion tonnes, 45%). 

Although Western Australia holds a larger share of total resources, South Australia accounts for a greater portion of magnetite reserves, primarily due to two major deposits: the Central Eyre Iron Project (CEIP); and Magnetite Mines’ Razorback and Iron Peak project.

Back to top

Magnetite iron ore in-situ characteristics

Magnetite ore typically contains a lower in-situ iron (Fe) content compared with hematite, but its magnetic properties allow for efficient physical separation from non-magnetic materials through a process known as beneficiation. This separation method makes magnetite an attractive source of high-purity iron when processed effectively. 

The Fe content in Australian magnetite deposits ranges from around 17% up to 50.9%, with deposits such as Nowa Nowa in Victoria at the higher end. However, most magnetite deposits have an in-situ Fe grade of approximately 30%, with about 65% of deposits falling between 25% and 35% Fe.

Silica (SiO₂) often accounts for 40–50% of the mined material and must be significantly reduced during processing. In addition to silica, magnetite ores often contain other impurities such as alumina (Al₂O₃), sulphur (S), and phosphorus (P), all of which must be removed to meet the specifications required for DR processes.

On average, Western Australian magnetite deposits contain >30% Fe, making them richer than those in South Australia, which on average have <26% Fe. However, the ability to efficiently remove impurities is more important than Fe head grade. Each deposit has a specific liberation profile, which influences the technical complexity and cost of beneficiation. 

Magnetite iron ore concentrate characteristics

Not all magnetite deposits are suitable for producing DR-grade pellets, as many contain high levels of impurities that remain even after processing. In such cases, an additional smelting step may be required to reduce impurities to acceptable levels before steelmaking.

The iron ore concentrate results are based on the DTR test, an industry-standard method for evaluating magnetite concentrate quality and the ore’s amenability to beneficiation. For a concentrate to be suitable for DRI production, each element must fall within a specific range. Products meeting these stricter criteria are classified as DR-grade, while those with higher impurity levels require melting in blast furnaces, so are designated as BF-grade. 

The Fastmarkets MB-IRO-0188 index (see the table below) was used as a reference for DR-grade pellet feed quality, as it aligns closely with the limits defined by technology providers. Other indices are available for comparison in an Excel file of this dataset, available in the Appendix below. 

Applying thresholds of Fe content above 66% (the minimum applied for iron) and combined SiO₂+Al₂O₃ below 3.5% significantly narrows the number of deposits that meet DR-grade standards to only 16 deposits Australia-wide. Sulphur levels often exceed acceptable limits, though some reports suggest they can be reduced through additional flotation. Other impurities are generally well controlled in the final concentrate.

Out of 83 deposits across Australia, only four meet all the baseline criteria for DR-grade feedstock: Muster Dam, Olary Flats, and Snaefell in South Australia, and Irvine Island in Western Australia.

Among those that qualify, South Australian magnetite deposits generally offer higher iron grades, lower impurities and much higher iron ore resources than their counterparts in Western Australia. This makes them inherently more suitable for DR-grade processing. That said, many deposits across Australia are close to the threshold and, even if not strictly DR-grade, could still be used to produce BF-grade pellets. These may become viable for use in DRI-melter pathways as technologies advance and commercial processing becomes more flexible.

While many of the deposits on the list may not appear suitable for DRI production based on DTR test results, these thresholds are not absolute. There is often a grey area, and additional processing techniques, such as flotation, can be employed to further reduce impurities. Each deposit may require more detailed evaluation before being definitively deemed suitable or unsuitable for DRI applications.

Development stages in magnetite mining

Magnetite mining has traditionally played a minor role in Australia’s iron ore sector. However, several magnetite operations are now active, and a growing number of projects are advancing toward development. While some of Australia’s largest magnetite mines have been in production for years, their output is generally better suited for BF applications rather than DR processes.

The journey from initial exploration to full-scale production can span many years. To better understand the progress of magnetite projects, particularly those aiming to supply feedstock for low-emissions ironmaking, each deposit has been classified according to one of seven key development stages, with each stage representing a major milestone along the path to production. While the progression and regulatory requirements may vary by project and by state, this framework provides a consistent way to assess the maturity of each project.

Currently, no magnetite project in the pipeline has reached FID. Among the many deposits under development, only a small number have advanced to the Mining Lease stage. Of these, two projects stand out due to their high-grade ore, large-scale resources, and committed development teams:

• CEIP in South Australia

• Hawsons Iron Project in New South Wales

Razorback & Iron Peak, in South Australia, also submitted a Mining Lease Proposal on 26 March 2025.

Together, these three projects account for nearly 25% of Australia’s known undeveloped magnetite resources.

Although many projects have completed studies and feasibility assessments to varying degrees in recent years, only a few are actively progressing along the development pathway. 

Beyond the eight magnetite mines that are either currently producing or are in care and maintenance, the remaining pipeline of projects can be broken down by stage of development (from initial to advanced) as follows: