Canadian miner Cerrado Gold recently announced updates and anticipated changes to its Mont Sorcier high-purity magnetite project in Quebec, including production expansion, capital expenditure adjustments, and progress on environmental impact assessments and permitting procedures. 

Currently, the Mont Sorcier project is in the late stages of its feasibility study and is expected to be completed in the second quarter of 2026.

According to the latest metallurgical testing results, Mont Sorcier can produce a 67% grade iron concentrate with a total silica and alumina of less than 2.3%, which can be used in Direct Reduction Iron (DRI) processes or as feedstock for pelletizing, contributing to the decarbonization and sustainability goals of the steel industry.

Furthermore, to meet strong market demand for high-grade iron concentrate and reduce initial capital costs, the project's annual capacity has been increased from the original 5 million tons to 8 million tons. The first phase will have an initial capacity of 4 million tons per year, and the second phase will add another 4 million tons per year in approximately the third year of operation, bringing the total annual capacity to 8 million tons per year.

The company noted that the capital costs for the first phase will increase by 30% to 40% due to design adjustments, infrastructure construction, and inflationary pressures. The costs for the second phase are expected to decrease significantly, as major infrastructure projects such as tailings, railroads, offices, and public facilities have already been completed in the first phase.

Cerrado Gold believes that Mont Sorcier's high-grade, low-impurity minerals, suitable for carbon reduction steelmaking, combined with the economies of scale after expansion, will make it a crucial source of mineral supply for North America.