Blackthorn divests Perkoa project stake to Glencore Xstrata

Under the agreement, Blackthorn will also sell the Northern Tenement exploration licenses, consisting of the Poa, Guido, Seboun and Sepaogo licences adjacent to the Perkoa project.

Perkoa zinc mine is located at Sanguie, 120km away from Burkina Faso’s capital city Ouagadougo, and is said to be the first large-scale base metal mine in the country.

The mine is being developed by a joint venture of Glencore Xstrata, Blackthorn Resources and the Burkina Faso Government.
Glencore Xstrata holds a 62.7% share in the project, while 27.3% is held by Blackthorn Resources and the remaining 10% by the Burkina Faso Government.

Blackthorn Resources CEO Mark Mitchell said: "Our immediate focus remains on progressing the development of the Kitumba copper project in Zambia, which will continue with the benefit of the additional funds provided by the Perkoa settlement. Also, beyond Kitumba, we now have the means to consider new opportunities."

As consideration for the sale, Blackthorn will receive up to $12m cash, $10m for Perkoa and up to $2m for the exploration tenements.