Orezone Gold Signs Relocation Deals with Bombore Locals

Orezone Gold Corporation (TSX:ORE) announced during it’s town hall meetings with all the communities that will be affected by a producing mine at Bombore has resulted in signed protocols with respect to the various aspects of their relocation and land use compensation. The final outcome results in a socio-economic budget that is within 10% of the total capital expenditures itemized in the project feasibility study released in April 2015.
As quoted in the press release:

Bombore Resettlement Action Plan (RAP)
Orezone, together with a group of local consultants (BEGE, SOCREGE, ARCHI CONSULT) completed an extensive inventory assessment of the assets owned by the people affected by the project as part of the Resettlement Action Plan (“RAP”) required for the Environmental and Social Impact Assessment (“ESIA”). The inventory has been reviewed and validated by those located in the northern half of the project that will be relocated during the initial phase of development. The RAP Committee, which includes representatives from all stakeholders, has been provided an update of the ESIA as well as the Company’s proposed RAP compensation package. Formal (final) agreements have been ratified by the community representatives from each village and artisanal mine site. The agreements have been appended to updated versions of the RAP and ESIA and submitted to the Ministry of Environment in Burkina Faso as part of the review and approval process to obtain a mining permit.
Permitting / Development Timetable
The Company has been exploring many alternatives to fund the complete construction of the project and anticipates all government permit approvals by Q1 2016. Initial discussions with potential lenders indicate that the project will bear a significant level of debt (up to $150M) as a result of the robust economics, however the equity markets and gold price will need to improve before a complete financing package can be completed on accretive terms for Orezone shareholders. The estimated time to construct the Bombore operation (pre-production) is 21 months.
Bondi Project – Hounde Belt – New High Grade discovery
The Bondi exploration project, situated in the same belt and south of Semafo’s Mana mine, Roxgold’s Yaramoko mine, and Endeavor’s Hounde Property has been granted an exceptional three-year extension (official permit document pending). Recent activity by artisanal miners has uncovered a new and very high-grade target. The Company hopes to drill the target after the rainy season and the artisanal miners have left the property, expected by Q1 2016. The target is situated 1km east of the main zone and appears to be more flat lying as opposed to the sub-vertical orientation of the main zone resources. The shallow dip towards the main zone and the higher grades represent an exciting new open-pittable target that could add significant upside to the current resource base.
The current qualified resource at Bondi is composed of four open-pittable zones with Measured resources of 0.9Mt at 2.1 g/t for 64,000 oz., Indicated resources of 3.2 Mt at 2.1 g/t for 218,000 oz. and an Inferred resource of 2.5Mt at 1.8 g/t for 149,700 oz. Approximately 50% of the resources are oxidized. Initial metallurgical test results indicate high gold recoveries at reasonable grind sizes for the oxidized and fresh rock mineralization. Orezone holds a 100% interest in the project and the project is accessible via a paved road with a local power grid and access to water year round.

Connect with Orezone Gold Corporation (TSX:ORE) to receive an Investor Kit