Why Choose the Arabian Nubian Shield?
- +1,000 recorded ancient copper and gold mines.
- +6,000 Prospects and Occurrences.
- Only a handful are currently in production or, under development for mining.
- Multiple deposit styles already demonstrated (Porphyry, Orogenic, VMS, Epithermal ).
Comparison to Canadian & Australian Shields
- The Canadian and Australian ‘Shields’ host a number of world class ‘mining camps’ of varying mineral types (base metals, precious metals, diamonds, uranium, rare earth elements)
- This implies the Arabian-Nubian Shield (ANS) is under explored and has many world class discoveries to be made
Why Choose Eritrea in the Arabian Nubian Shield?
- Eritrea is developing momentum compared to the other countries in the Arabian-Nubian Shield with a pipeline of new Mines in development and a stable political environment.
- Special status for Miners and Explorers.
- Eritrean ‘risk’ diminishing, as Bisha and Zara Mines are in production and Asmara/Colluli Projects in development for mining with Mining Licenses granted.
- Agreeable Mining Act based on West Australian Act that encourages foreign investment in the mineral exploration and mining industry.
Advanced Projects in Eritrea
First modern Mine
(Bisha/Harena – VMS/Gold)
Zijin Mining (Formerly Nevsun Resources) 60%, ERITREAN GOVT 40%
- Bisha Mining Share Company is JV company (Zijin/Eritrea Govt) operating Bisha Mine
- 31 Dec 2015 Reserve (607,666oz gold), (34.1moz silver), (552mlb copper), (2,582mlb zinc)
- Commenced commercial gold production in February 2011 – on budget and on time
- Commenced copper production in Q4 2013 – under budget and on time
- Zinc expansion commenced in mid-2016
Second modern Mine
(Zara – Gold)
– China SFECO Group (FORMERLY CHALICE GOLD MINE LIMITED) 60%, ERITREAN GOVT 40%
- 2014 Probable Reserve (0.76moz @ 5.1g/t gold)
- Feasibility Study completed with positive conclusion for mining
- Mining Lease granted and Mine construction commenced in 2013
- Production commenced in 2016
Likely 3rd Mine
(Asmara Project – VMS/Gold)
– SRBM Group 60%,
Eritrea Govt 40%
- Reserves (1,130,000t zinc) (580,000t copper) (415,000ozs gold) (11moz silver)
- Bankable Feasibility Study completed on 4 deposits, positive for mining
- Mining License granted in late 2015
- Due to commence Mine construction in 2022
- Large new copper gold discovery at Adi Rassi expected to be 5th deposit
Likely 4th Mine
(Colluli – Potash)
– Danakali 50%,
Eritrean Govt 50%
- >70 year mine life
- Nov 2015 Resource estimate 1.289Bt @ 11% K2O
- Nov 2015 Reserve estimate 1.113Bt @ 10% K2O
- Definitive Feasibility Study completed in Nov 2015 utilises a modular development
- Phase I expected to produce ~425ktpa of premium SOP product
- Phase 1 commissioning currently targeted for 2023
LOCATION OF ADVANCED MINING PROJECTS IN ERITREA
Eritrea (officially the ‘State of Eritrea’) is a country in the Horn of Africa. It is bordered by Sudan in the west and north, Ethiopia in the south, and Djibouti in the southeast. The east and northeast of the country have an extensive coastline on the Red Sea, directly across from Saudi Arabia and Yemen. The Dahlak Archipelago and several of the Hanish Islands are part of Eritrea. The capital city is Asmara.
After independence from Ethiopia in 1993, Eritrea went through a prosperous period with significant growth. The war with Ethiopia from 1998-2000, put an end to this growth and the country has struggled economically since. Eritrea has a command economy under the control of the sole political party, the People’s Front for Democracy and Justice (PFDJ). Like the economies of many African nations, the economy is largely based on subsistence agriculture, with 80% of the population involved in farming and herding. The first modern Mine ‘Bisha’ (gold rich VMS) commenced production in February 2011 and has already had a significant impact on GDP. A second Mine ‘Zara’ (orogenic gold) commenced production in late 2016, while a further two Projects (Asmara gold rich VMS/orogenic gold Project and Colluli potash Project) are expected to be in production by the end of 2023.
Climate: Hot, dry desert strip along Red Sea coast; cooler, wetter in the central highlands and semiarid in western hills and lowlands
Terrain: Lowest point: near Kulul within the Danakil Depression (-75 m), highest point: Soira (3,018 m)
Resources: Gold, potash, zinc, copper, salt, possibly oil and natural gas, fish
Population: 5,647,168 (July 2009 est.)
Religions: Muslim, Coptic Christian, Roman Catholic, Protestant
GDP by Sector: Agriculture: 11.6% Industry: 30.6% Services: 57.8% (2012 est.)
LOCATION OF ERITREA IN NORTHEAST AFRICA