This report is an economic appraisal of the viability of mining the low grade deposits of iron ore occurring in the Warramboo area (including Kopi and Kyancutta) and at Greenpatch. The former is located in central Eyre Peninsula, 123 miles by railway from Port Lincoln, and the latter is in the Lincoln Uplands 15 miles by railway from Port Lincoln. The basis of the estimate is the preparation of an annual quantity of 500,000 tons of high grade pellets containing 64% Fe for overseas shipment. The appraisal must be considered as preliminary because of incomplete knowledge of the nature of the orebodies. A critical factor will be the provision of an adequate water supply. An FOB price of A₤5.17.0 per ton of pellets grade 64% Fe is adopted. Based on preliminary metallurgical test work leading to an 85% recovery from Greenpatch ore using flotation, and a 60% recovery from Warramboo ore using magnetic separation, and on other assumptions considered to be reasonable, the conclusion is reached that a 20-year operation at Greenpatch on a scale of 1,300,000 tons per annum should break even. It is also concluded that an operation at Warramboo utilizing ore of any grade could not be payable unless there were a substantial increase in pellet price or a decrease in costs ? e.g. railage which has been estimated to amount to 36s/6d per ton of pellets; or unless the operation at Warramboo followed the one at Greenpatch, and capital charges were levied only on the additional money needed to move and rehabilitate plants and buildings. In this case a scale of operation of 1,300,000 tons per annum grading 42% Fe might break even. Additional capital required would amount to ₤4,500,000. Details of the estimates with relevant tables, figures and a map are appended.