Iron-ore search in East

The Australian mining firm has set up a local subsidiary called Navakun Mining, which is waiting for a licence from the Primary Industries and Mines Department to explore 300,000 rai of land in Chon Buri, Rayong and Chachoengsao provinces.

The move is due partly to the government's policy of promoting upstream steel smelters.

Peter Albert, executive general manager for Asia, yesterday said it would supply steel smelters here as well as in China, which has considerable demand for iron ore.

"Australia exports a huge amount of iron ore to China. If our exploration [in Thailand] is successful, we will take advantage of the closer location to the large market in China," he said.

It plans to spend 2 million to 5 million Australian dollars (Bt62.1 million to Bt155 million) on exploration in the first year and if successful will double or triple the investment in the following years.