Terramin Australia Limited announced that final regulatory approval of the Tala Hamza Zinc Project (Tala Hamza) can now proceed following the formal endorsement of Tala Hamza by Terramin's Algerian joint venture partners. In 2020, Terramin completed an optimisation study in respect of Tala Hamza and presented this study to its Algerian joint venture partners, Enterprise Nationale des Produits Miniers Non-Ferreux et des Substances Utiles Spa (ENOF) and Office National de Recherché Géologique et Minière (ORGM). At a recent joint venture meeting, the joint venture partners endorsed this study and agreed to advance the project towards development (`Decision to Mine').

The `Decision to Mine' clears the path for the issue of the mining permit which will be issued by the Algerian mining regulator. Terramin understands that this process is well advanced. In recent commercial discussions with its joint venture partners, Terramin has agreed to transfer 16% of its interest to its joint venture partners to ensure that the partnership conforms to Algerian government regulations in regard to the ownership of strategic assets.

The new ownership structure of the joint venture will enable the project to receive significant commercial concessions, including provision of land access and substantial corporate taxation exemptions. Terramin will retain a 49% interest in Tala Hamza and will have management rights over the project. Tala Hamza is located on the Mediterranean coast of Algeria approximately 15 kilometres from the port city of Bejaia.

Bejaia has a population of over 300,000 people with an export deep water port facility and an international airport. The project is close to major rail, road and energy infrastructure. Tala Hamza is one of the largest undeveloped zinc & lead deposits in the world containing 3.5 million tonnes of zinc plus with a resource of 53.0 million tonnes at 6.6% zinc plus lead.

Terramin will retain a 49% interest in the project through the Algerian joint venture company, Western Mediterranean Zinc SPA.