Citronen mine life extended
PERTH (miningweekly.com) – A bankable feasibility study (BFS) into the Citronen zinc/lead project, in Greenland, has increased the expected mine life by 50%, to 20 years compared with the 2017 feasibility study while also improving the mine design.
ASX-listed Ironbark Zinc on Monday reported that the BFS estimated that the project would require a capital investment of $654-million, an increase from the $514-million estimated in 2017.
The 3.3-million-tonne-a-year operation is expected to deliver 2.5-million tonnes of zinc metal over a mine life of 20 years, or at an average of 130 000 t/y, with life-of-mine costs estimated at $0.76/lb.
The BFS estimated a post tax net present value of $363-million and an internal rate of return of 15.2%.
“The 2021 BFS update is the culmination of an intensive reassessment of the development plan for the Citronen project. It is a pragmatic and grounded view of the asset that highlights the potential for Citronen to be developed into a significant producer of zinc metal over multiple pricing levels,” said Ironbark MD Michael Jardine.
“This study worked through several challenges that required creative thinking, disciplined decision-making in terms of trade-offs and a willingness to reconsider some long-standing assumptions about the project. For those reasons, I am much more confident today than I was 12 months ago about the depth of understanding we have, and the solutions that are proposed.”
Jardine noted that given the project’s strategic location and potential position within the zinc value chain, funding solutions were actively progressed in parallel with the BFS workstream, resulting in a preliminary dialogue with US EXIM Bank to provide substantial debt support linked to US content.
These discussions are now expected to advance with the completion of the BFS.
Comments
The
content
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation