Name and Location
Perkoa zinc project, Burkina Faso.

Client
The project is a joint venture between Blackthorn Resources (39.9%) and GlencoreXstrata (50.1%), with the remainder being held by the government of Burkina Faso (10%).

Project Description
The project involves the development of the first zinc mine in West Africa.

The project is located within the Proterozoic Boromo greenstone belt, about 120 km west of Burkina Faso’s capital, Ouagadougou, and has a Joint Ore Reserves Committee-compliant probable ore reserve of 6.3-million tonnes at a mine head grade of 13.9% zinc (at a 9% zinc cutoff), equating to 873 400 t of contained zinc metal.

The project includes:
• the extraction of silver and lead concentrate in a separate processing circuit by bulk mining the hanging-wall zone of the deposit;
• opencut mining of near-surface mineralisation, situated along strike and adjacent to the underground mining area; and
• increased throughput of the processing plant from 720 000 t/y to 1-million tonnes a year.

Value
$260-million.

Duration
The official opening ceremony of the Perkoa zinc project was held on site on January 19, 2013.

Latest Developments
In the quarter ended September 30, 2013, first deliveries of saleable product were made to the Port of Abidjan, in Côte d’Ivoire, as part of the process of testing the logistics chain from mine to port, before embarking on the full-scale transportation of concentrates.

Ore throughput and concentrate quality have been in line with design specifications for a single ball mill operation. The second ball mill is in transit, but has yet to be delivered to the mine.

Installation and commissioning have, therefore, been delayed and a revised installation target date will be communicated to the market once an updated schedule has been received from Glencore.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
The cost of the project has escalated from $140-million to $180-million.

Contact Details for Project Information
Blackthorn Resources, tel +226 50 31 66 35, fax +226 50 31 70 97 or email info@blackthornresources.com.au, or MD Scott Lowe, tel +61 2 9357 9000.
Glencore Xstrata, tel +41 41 709 2000 or fax +41 41 709 3000.