Fenix Resources recommenced mining activities at its wholly-owned Shine iron ore mine in Western Australia.

The development follows a thorough review and optimisation of the project, with the board approving the Stage 1 mine plan. Fenix anticipates the first production from Shine in the December quarter.

The company has earmarked $7.4 million for pre-production capital expenditure, including camp upgrades and improved road access.

The Stage 1 operation will target iron ore at a grade of 60% Fe, with C1 cash costs anticipated at $67.50 per wet metric tonne. Plans for Stage 2 and 3 mine development at Shine will depend on further evaluations and necessary approvals.