Karara Phase 2 involves expanding concentrate production at Karara Mining to 16 Mtpa (Phase 1 capacity is 8Mtpa) in the Midwest region of Western Australia. The mine is located 200 kilometres east of Geraldton and is a joint venture between China's Ansteel and ASX listed Gindalbie. Ansteel is conducting a review of Karara Mining and may withdraw funding for the joint venture, which could lead to its closure. Because of the financial uncertainty surrounding Karara Mining there is no possiblity that Karara Phase 2 will be developed and we classify it as inactive. This analysis was last updated in June 2017 and will not be re-updated unless development of the project is re-started.