Ironbark Zinc's Citronen project licence renewal

Ironbark Zinc Limited (ASX: $IBG) has successfully renewed its licence with the Government of Greenland for the Citronen project. The key dates related to the financing and commencement of production at Citronen have been extended to the end of 2024 and 2026 respectively, representing the maximum allowable extension under the current licence terms. The Government has also requested the company to deposit additional funds into an escrow account by the end of 2024 to cover the potential rehabilitation of the Citronen exploration camp, with the final amount and precise timeline of payments yet to be fully agreed.

IBG Managing Director Michael Jardine's comments on the licence renewal

These deadlines essentially comprise the 'Use it or Lose it' provisions within the Greenlandic Mining Act and Ironbark has successfully navigated several of these extensions in the past. We are pleased to have done so once again, albeit we are, for now, in a position whereby rolling 12-month negotiations will be necessary. Whilst not ideal, and a substantially longer extension was requested by the Company in this instance, Ironbark understands that the Government is very open to this in the future provided there is demonstrable progress at the Project. We have been in a difficult position with respect to seeking new investors in Citronen whilst these issues were being worked through but with tenure now secured we will be considering all options, including full or part project divestment, spinning out the asset, further Offtake sales, Royalty financing and so on, to make sure Citronen is funded and able to progress in what is a more bullish zinc market than has been seen in some time.

Summary of Ironbark Zinc's Citronen project licence renewal

Ironbark Zinc Limited (ASX: $IBG) has successfully secured the renewal of its licence for the Citronen project with the Government of Greenland. The extension of key dates related to financing and production commencement provides the company with an extended timeline to plan and execute its asset investment strategy. The Government's request for additional funds to cover potential rehabilitation indicates the ongoing commitment to environmental responsibility. IBG Managing Director Michael Jardine's comments reflect the company's determination to explore various funding options to ensure the progress of the Citronen project in a favorable zinc market. Ironbark's successful navigation of the licence renewal underscores its commitment to the project's advancement and its ability to address regulatory requirements effectively.