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Citronen lead/zinc development, Greenland

10th August 2018

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

     

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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 signed a memorandum of understanding with mining contractor Byrnecut Offshore over the Citronen zinc/lead project.

The companies will now work on a commercial agreement for underground contract mining services, underground mine cost modelling and the provision of the underground mining fleet.

Ironbark is working to remove key capital items from the capital cost of the Citronen project, with the company having identified several opportunities to reduce the capital cost.

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.

 

 

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