Date: Saturday, November 2, 2024 – Category: Economy
Algiers – A strategic agreement was signed on Saturday for the construction of the Tala Hamza-Oued Amizour zinc and lead mine and its associated processing plant in Béjaïa. The contract, binding Algerian-Australian joint venture “Western Mediterranean Zinc” (WMZ) and Chinese partner “Sinosteel,” aims to expedite completion under close oversight from Algeria’s highest authorities, including President Abdelmadjid Tebboune.
The WMZ joint venture involves Algeria’s national non-ferrous minerals company, the National Geological and Mining Research Office, and Australian company Terramin. As per the contract signed at Sonarem headquarters, Sinosteel will manage the construction of the mine, the processing plant, and other project facilities.
During the signing, Minister of Energy and Mines Mohamed Arqab congratulated the leadership teams of Sonarem, Terramin, and Sinosteel, reiterating the economic importance of this project and urging strict adherence to the timeline, with production slated to begin by July 2026.
Terramin CEO Fang Chang and Sinosteel CEO Hua Guangming both affirmed their commitment to completing the project to world-class standards, aiming to make it a benchmark in responsible mining practices. The project will be implemented following strict environmental and safety protocols, with a strong emphasis on supporting regional economic and social development and creating local jobs through continuous training programs.
The Oued Amizour mine contains one of the world’s largest zinc and lead reserves, with an estimated 54 million tons, 34 million tons of which are viable for 20 years of extraction. Targeted output includes 170,000 tons of zinc concentrate and 30,000 tons of lead annually.
The ministry anticipates that once operational, the project will generate $215 million in annual revenue, with net profits estimated at $60 million. The project is expected to create approximately 1,000 direct jobs and 4,000 indirect positions.
With a budget of $471 million, the mine development will span 23.4 hectares, following a three-phase implementation plan: Phase one will focus on construction, phase two on the 19-year operational phase, and phase three on decommissioning and site rehabilitation over five years.
The mining sector, a high-priority area of focus for President Tebboune, is set to play a critical role in Algeria’s economic diversification. During a recent Cabinet meeting on October 7, President Tebboune stressed the need to accelerate the pace of key mining projects, particularly the Oued Amizour zinc and lead mine, the phosphate mine at Bled El Hadba, and the iron mine at Gara Djebilet, given their significant impact on Algeria’s national economy.
Sonarem recently announced a streamlined execution plan for the Oued Amizour zinc and lead project, following a series of meetings on October 29-30 with Sinosteel’s representatives to optimize project timelines. The formal agreement signed today reflects a renewed commitment to bringing this plan to fruition.
Oued Amizour zinc and lead mine project
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Author: nor-eleslam
