World class Citronen deposit gains mining licence
A world class zinc deposit in northern Greenland has been granted a mining licence.
Australian based Ironbark Zinc Limited announced that it had been awarded the mining licence, providing the company a 30-year right to mine, at its flagship project – the Citronen Zinc Lead deposit.
Ironbark Managing Director Jonathan Downes commented:
“We are proud and delighted to have been awarded the Mining Permit for the World Class Citronen Zinc- Lead Project. This is a milestone and achievement of great importance to the Company and our plans to develop the project into one of the world’s largest zinc mining operations. We will now move to advance project development and funding without delay. The award of Mining Permit is the culmination of many years of effort by all of the Ironbark team, and I take this opportunity to thank them and our loyal shareholders for their commitment over this period.”
Here’s what you need to know about the Citronen Project:
There is over 13 billion pounds of Zinc and Lead JORC defined at the Project – one of the world largest undeveloped zinc-lead resources.
Located in northern Greenland, a self-governed part of the Kingdom of Denmark. Due to its location, Citronen presents a low sovereign risk.
The Citronen Project is the largest zinc endowment held by an ASX listed company
Around $50m has been invested to date in the project
Following a completed feasibility study, Citronen has been recognised as one of the Future Top 6 Global zinc mines in the world
The Mining Permit, granted by the Government of Greenland, provides Ironbark with the right to exploit its wholly owned, world class Citronen Zinc-Lead Project for a period of 30 years.
Through the mining permit, Ironbark has entered into a net smelter royalty agreement with the Government of Greenland that commences in the first and second year of production at a rate of 1percent and rises to 1.5percent in the third year, 2percent in the fourth year and 2.5percent thereafter in accordance with the Mining Act. The royalty is offset against corporate and dividend withholding tax, the 1percent rate in the early mine life was granted to assist Ironbark in the ramp up period of the operation.
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