La Zarza is a large polymetallic deposit containing copper, gold and zinc resources. It is located in the Iberian Pyrite Belt, the home to well-known large-scale mining operations including Rio Tinto, Neves Corvo, Las Cruces and Aguas Teñidas. Historically, La Zarza was a significant open-pit and underground pyrite mining operation until closure in the early 1990s.
Previous investment in La Zarza by Ormonde Mining was through a joint venture with the owner of the La Zarza mining concessions. Ormonde Mining conducted major drilling programmes and metallurgical studies on the La Zarza deposit, culminating in a 2008 feasibility study for an underground mining operation based on a JORC (2004) Indicated Mineral Resource Estimate of 9.9 million tonnes grading 1.0% copper, 3.0% zinc, 1.6 g/t gold and 39 g/t silver.
The feasibility study highlighted the need for a larger resource base to justify proceeding with development, and a joint venture with Antofagasta Minerals S.A. in 2009-2010 established the potential for a larger, low grade copper resource base.
Ormonde Mining’s La Zarza assets comprise:
• the critical landholding over the La Zarza deposit (210 hectares);
• data assets including the drillhole database, JORC resource block models and all feasibility study testwork, designs and models; and
• 24 kilometres of diamond drill core.
The mining concessions for the project are held by Ormonde Mining’s former joint venture partner.
Ormonde Mining has held discussions with several parties with a view to unlocking value for Ormonde Mining shareholders at a time of positive trends in copper and gold price forecasts.
Location: Andalucía, Spain
Metal: Polymetallic base metals