Perilya has 100 per cent ownership of the Beltana high grade zinc oxide mine, as part of the Flinders Project, near Leigh Creek in South Australia.
The Flinders project is robust for a wide range of zinc prices due to the direct shipping of ore to smelters. This is made possible by high grade deposits comparing favourably with the concentrate grade from other operations, hence obviating the need for concentrating the ore.
Total mineral resources, in all categories, in the project area currently stand at 972,000 tonnes at 29.8 per cent zinc metal, containing almost 300,000 tonnes zinc metal .
Development of the Beltana zinc mine at Flinders comprised a 12 month open mining and on-site crushing program. Mining operations commenced in March 2007, ahead of schedule and under budget, and concluded in February 2008. The project was internally funded.
The Beltana mine is the first phase of the Flinders Project, located 520 kilometres north of Adelaide in the Flinders Ranges, and involves direct shipment of high grade zinc oxide ore through Port Pirie to smelters in Asia.
A total of 316.400 tonnes of zinc silicate ore was mined and stockpiled at an approximate average grade of 32 per cent zinc, for a total of 101,385 tonnes of contained zinc.
Shipments of Beltana blended intermediate grade ore have been sold to China and on 24 January 2008, Perilya signed a two year agreement with Padaeng Industry Public Co. Ltd for the sale of approximately 60,000 tonnes of high grade ore and 50,000 tonnes (subject to further testing) of low grade ore from Beltana. This has established a solid marketing platform for intermediate grade ore. Sales of the stockpiled ore have now been completed.
A current exploration program is activley being pursued.