Name of the Project
Citronen lead/zinc development.

Location
The Citronen Fjord zinc/lead deposit is located within the Lower Palaeozoic Franklinian basin of northern Greenland.

Client
Ironbark Zinc.

Project Description
The project represents one of the world’s largest undeveloped zinc/lead resources.

An updated feasibility study on the project envisages a mine rate of 3.3-million tonnes a year, with a production rate of up to 200 000 t/y of zinc metal.

The project is a relatively simple, predominantly underground room-and-pillar mining operation that will concentrate ore through industry-proven dense-media separation (DMS) and flotation techniques to produce saleable separate zinc and lead concentrates for the world markets.

The life-of-mine is estimated at 14 years (open ended and with further inferred resources that could be converted to reserves).

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $1.03-billion and an internal rate of return of 36%.

Value
The project has an estimated capital cost of $514.21-million.

Duration
Not stated.

Latest Developments
Ironbark Zinc has completed a book build for a placement to institutional and sophisticated professional investors to raise up to $6-million at an issue price of $0.062 apiece.

The placement will include the issue of up to 96.77-million new shares, pursuant to the company's capacity.

The funds raised will be used primarily to fund the further development of Citronen and advance financing, as well as for general working capital.

Ironbark has said there is strong demand for the placement, which reflects the market interest in the development of the project.

The company said in September that it would appoint a financing adviser to assist in establishing a debt facility to fund the construction of the project. It is also working with China NonFerrous under an existing memorandum of understanding to deliver an engineering, procurement and construction fixed-price contract, and to assist with project financing.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Ironbark Zinc, tel +61 8 6461 6350, fax +61 8 6210 1872 or email admin@ironbark.gl.