CSE:PSE - CAD | FRA:PNX 0.0650 EUR | Zinc: $1.16/lb USD

Pinargozu Zinc Mine


Bid Size:
Note: Bid Size and Ask Size fields are displayed in boardlots
Bid Price:
Ask Price:
Ask Size:
Last Price:
Net Change:
52 Week High:
52 Week Low:

Stay updated!

Pinargozu Zinc Mine

View the Pinargozu 43-101 here


Pasinex, through its 50/50 Horzum Joint Venture, produces direct shipping zinc ore (DSO) at its Pinargozu Mine located in Adana Provence, southern Turkey. Mining began in May 2014 and as of September, 2016 the mine has produced and sold 22,890 dry tonnes of ore at an average zinc grade of over 35%. With the opening of the third adit at the 670 m level in August 2016 the Mine is now producing both DSO oxide (+25% zinc) and DSO sulfide (+45% zinc). As of November 2016 the operation employs 225 workers in Turkey and is producing at a rate of 120 tonnes/day from 3 adits. Pasinex is projecting total zinc sales of 30 million pounds for 2016 and 50 million pounds for 2017. Exploration drilling is successfully defining new zinc resources at the Pinargozu Mine and at targets along the Horzum Zinc Trend.

Adana Turkey

Horzum Joint Venture

In the province of Adana, south-central Turkey, there is a 80 kilometre-long corridor between the historical Horzum zinc mine in the south and the historical Ak cal/Belbasi zinc mines near Tufanbeyli in the north. This area is underlain by a northeast-southwest trending belt of carbonate-dominated rocks, the Horzum Zinc Trend (HZT), known to host Carbonate Replacement-type zinc-lead deposits. There are several known historical small high-grade oxide zinc deposits in these rocks but the HZT had never been systematically explored using modern, advanced exploration techniques and models. The potential is strong for discovery of new much larger oxide and sulphide zinc deposits.

Recognizing this potential, Pasinex began acquiring exploration properties in 2012. Late in 2012 Pasinex, through its wholly owned Turkish subsidiary, Pasinex Arama ve Madencilik AS, formed the 50/50 Horzum AS joint venture (JV) with Akmetal AS, a large Turkish mining company and historical operator of the Horzum Zinc Mine. The JV combined the technical expertise of the Pasinex team and the mining infrastructure capabilities of Akmetal AS. Pasinex transferred its exploration properties into the joint venture.

Horzum Joint Venture

The joint venture has a mandate to explore, develop and mine for zinc and lead mineralization in the provinces of Adana and Kayseri, Turkey. The key focus area is the JV properties concentrated along the HZT extending at least 20 kilometres to the north of Horzum Mine.

The Akmetal-owned Horzum Mine produced approximately 1.0 million tonnes of zinc oxide ore grading 20% to 30% Zn from 1974 – 2000. From 1985 to 1997 it produced approximately 420,000 tons of sulphide ore. Ore was shipped to the Kayseri zinc smelter for processing. The Horzum property is not part of the JV but Pasinex controls a 5% interest in the property in exchange for providing exploration, geological and metallurgical consulting services to Akmetal for this project.

The JV acquired the Pinargozu property in 2013 from a private Turkish party for the sum of US$250,000. The Pinargozu license lies immediately to the north and east of the Horzum Mine on the HZT. The property is easily accessible by a gravel road connecting to Highway 815. In 2015, the JV made it a priority focus to develop the Pinargozu Mine in order to use cash flow from the sale of mined ore for development of the mine and exploration.

In 2012 the JV acquired the Akkaya property, located 1.5 kilometre north of Pinargzou Mine along the HZT. In 2015 additional properties were acquired along the HZT.


Turkey’s geology is very complex and consists of several continental fragments (terranes) which were joined together into a single landmass in the late Tertiary. Turkey is geologically divided into three main tectonic units: the Pontides, the Anatolides-Taurides and the Arabian Platform. Several thousand meters of shallow marine carbonates were deposited over the Anatolide-Tauride terrane during the Mesozoic. The terrane was intensely deformed, partly metamorphosed and intruded by calc-alkaline magmatism during the Late Cretaceous Alpide orogeny.

Turkey Geology

The project area straddles both the Bozkir and Geyik Dagi Units of the Central Tauride Belt portion of the Tauride-Anatolian Terrane. Post-Devonian-age strata overlie these two units in places. All three rock packages are known to host zinc mineralization.

The joint venture properties lie within the 80 kilometre-long corridor between the historical Horzum zinc mine in the south and the historical Ak cal/Belbasi zinc mines near Tufanbeyli in the north. It is underlain by a northeast-southwest trending belt of carbonate-dominated rocks which range in age from Cambrian to Upper Cretaceous. These limestones host reef breccias (which control zinc deposition near Tufanbeyli) and are subject to faults and fractures, dissolution collapse breccias, and lithological transitions (which control zinc deposition at Horzum). These limestones are primary targets for Carbonate Replacement-type zinc-lead deposits.

Carbonate Replacement Deposits (CRD) are orebodies of metallic minerals formed by the replacement of sedimentary, usually carbonate, rock by hydrothermal metal-bearing solutions in the vicinity of igneous intrusions. The mineralogy changes with distance from the intrusive rock. Closest to the intrusion is the copper-gold zone; next is the lead-silver zone, then the zinc-manganese zone. Typically CRD deposits are much younger than their host carbonates. This is in contrast to Mississippi Valley Type (MVT) deposits typically occurring along passive tectonic margins where the ages of the mineralization and the host carbonate are very similar and the ore fluids are typically low temperature (100 °C-150 °C) and have the composition of basinal brines.

The shapes of CRD deposits are often strongly controlled by faults and fractures in the rocks through which the mineralizing fluids flowed resulting in deposit shapes including “chimneys” for deposits with vertical dispositions, and “mantos” for deposits with horizontal, blanket-like orientations. Chimney deposits are often formed closer to their igneous source while manto deposits often occur further away and are defined by a strict stratigraphic control on their distribution, generally within a porous formation within a structural trap site. The igneous link to manto deposit formation is usually not conclusively proven. CRD deposits are notoriously difficult to explore for as there is a sharp contact between high grade mineralization and barren host carbonate rock. Limestone just inches from the mineralization can appear fresh with no alteration or geochemical signature.
Geochemical characteristics of the Horzum and Pinargozu deposit strongly suggest that they are CRD deposits, rather than MVT. It is thought that Pinargozu is at the oxidized manto “top” of what they conjecture could be a larger CRD orebody at depth (see figure below).

Schematic of Carbonate Replacement Deposit

Skarn deposits are formed by direct reaction of intrusive rocks with carbonates and occur in contact with or within the igneous intrusions. No intrusive rocks have been mapped in the JV area to date. However the possibility exists for igneous bodies and skarn deposits at depth.

Pinargzou Mine Development

Small-scale mining of zinc oxide has taken place sporadically over the last 30 years in the Pinargozu license area from the same stratigraphy that hosts the mineralization at Horzum Mine. The old Pinargozu mine was a small scale zinc mine that included seven adits developed by artisanal miners seeking high grade zinc.

After acquiring the Pinargozu property in 2013, the JV applied for drilling permits. In preparation for underground percussion drilling, the JV refurbished two of the old adits. Rehabilitation of the 700 Level gallery to allow drill entry began in September 2013. While blasting a small expansion to the gallery to facilitate the changing of drill rods, massive high grade (>25%) zinc oxide mineralization was encountered. In order to assess this mineralization and its 3-dimensional disposition without compromising the planned drill setup position, a separate gallery was developed starting approximately seven metres away from the planned drill position. This gallery quickly encountered the massive mineralization which included massive accumulations of galena and sphalerite, with lesser barite, and abundant malachite staining, with some disseminated chalcopyrite.

Horzum JV received its drill permits in April 2014 and drilling began in May. The first results were announced in June with borehole PPU14-15 intersecting 16.80 metres of mixed oxide and sulphide ore grading 39.0% zinc, 1.6% lead and 85 grams per ton silver. This hole was drilled to test the depth extent of massive mixed oxide/sulphide Zn/Pb/Ag mineralization exposed on the 707 level in late 2013. The intercept indicated that the mineralization extends at least 20 metres below the 707 level.

By November 2014, an additional underground diamond borehole and fifty-two underground percussion boreholes had been completed. Borehole PPU14-16 was drilled close to drillhole PPU14-15 to evaluate close range continuity of mineralization grade and to guide mining. It returned 17.0 metres of 23.0% zinc, 0.12% lead and 33ppm silver (including 4.3 m of 43.0% zinc). Exploration development mining on level 677 encountered three metres of high grade mineralization some distance from existing production. The hole was targeting extensions of high grade ore encountered at level 707 and continuation of ore associated with the high grade oxide zinc mineralization found in a percussion borehole west of the newly mined ore zone.

In early 2015 three drill rigs were testing zinc targets from both surface and underground stations. The goal was to double production to 50 tpd and use the cash generated from sale of the zinc production to fund the on-going exploration required to build a resource at Pinargozu.

In March 2015, the JV released further drilling results with a very good intercept reported of 35.5 metres of 37% zinc which showed (together with some other intercepts) the emergence of an important mineralization trend to the northeast of the current mining area. The new mineralization is open in all directions and extended the known extent of high-grade zinc mineralization which is accessible from existing workings, significantly to the northeast.

Pasinex New Adit

In June 2016, results for 39 (PPS15-014 –PPS15-052) surface diamond drill holes for a total of 5,450 metres drilled during the second half of 2015 were released and demonstrated a continuation of high grade ore to the north. In July, results for a further 22 (PPU15-009–PPU15-030) underground diamond drill holes completed between May and September 2015 was announced extending the mineralized horizon deeper and to the east. Results announced in August confirm the zone of high-grade non-sulphide zinc mineralization which is deeper and to the east of the main zone. September results for 32 underground holes drilled between early March and mid-May 2016 clearly show zinc mineralization with high-grade sulphide roots, e.g. PPU16-030 intersected 34 metres at an average grade of 35% zinc. Bonanza grade zinc intersected in some drill holes approach the grade of pure sphalerite (zinc sulphide).

Summary Highlights of Drill Assay Results

Drill Hole #

Core Length

Interval Metres*

Zn Grade %** Core Recovery %*** From (metres)


9.8 49.4 58.2



8 55.6 84.7



4.9 62.5 90.8



8.6 40.8 65.1



3.3 54.7 79.7



10 54.4 78.4



6 62.3 88.5



34 35.1 58.7


PPU16-031 19.4 41.4 53.6


* True widths have yet to be determined.

** Zinc mineralization is predominantly a mix of non-sulphide (Smithsonite) and sulphide (Sphalerite) material.

*** Grades for intervals with poor core recovery may not truly represent the complete mineralised interval.

Drilling has continued at Pinargozu throughout the second quarter of 2016. For most of the period two drills were operating. One drill operated from an underground drill site, looking for deeper sulphide mineralization associated with the oxide mineralization currently being mined. A second drill operated from a couple of drill sites near Pinargozu mine, looking for step out manifestations of the oxidized manto mineralization.

In September 2016, a new third larger adit was opened. The new adit has a length of 120 m and allows access to deeper lying mineralization at the 670 m level and below. Future exploration and infill drilling programs will also make use of this new underground development, which is situated proximally to a number of high-priority exploration targets.

Pasinex' New Adit
New Adit: 670 m Level

The JV has set an internal (non-compliant) resource target of 1,000,000 tonnes of 30% Zn at Pinargozu and has focused its exploration on achieving this target mark by 2017. Drilling continues at Pinargozu specifically to build resource there.

Mining and Production

Rehabilitation of the “707 and 677” adits in September 2013 provided the opportunity for Horzum AS to start mining high grade (DSO) zinc ore. Beginning in May 2014 mineralization exposed during the rehabilitation was mined.

By September 2014, the operation was producing around 25 tonnes per day of zinc ore from the Pinargozu mine. The first stockpile of 570 tonnes of this material was transported 100 kilometres to the Akmetal warehouse in the city of Adana for sizing, sampling and assaying. This bulk sample returned an assay of 34% zinc plus 50 g/tonne silver.

In December 2014, the first shipment of 5,000 tonnes of DSO zinc ore was sold. The JV sells its product to Akmetal AS who act as traders and then sell this product to third parties. When Akmetal AS has completed a sale to third parties they move the product by truck from the Adana warehouse 80 kms to the port of Mersin on the Mediterranean coast. The product then moves from the port, via ship, to final destination(s).

Since then lot sales are made on a regular basis. (see production table below) Starting in April 2016, lots of mixed sulfide and oxide material are being shipped and sold. As of June, 2016 the mine has produced and sold 22,890 dry tonnes of ore at an average zinc grade of over 33%.

Horzum AS – Pinargozu Mine Production Sale Summary


Lot number

Date of sale Type Oxide
or Sulphide
Wet weight Moisture % Dry Weight Initial
Assay % Zn

Assay % Zn


First Half 2016


28/01/2016 Oxide 1,556.560 6.82690 1,450.295


2 02/03/2016 Oxide 1,842.500 7.81266




30/03/2016 Sulphide 716.200 1.64000 704.454 49.90



07/04/2016 Oxide 1,685.620 7.67590 1,556.234 32.00



12/05/2016 Oxide 1,264.080 7.74900 1,166.126 33.27



09/06/2016 Oxide 1,238.040 7.50930 1,145.071 31.50



08-17/06/2016 Oxide 995.780 7.50000 921.096 31.12



9,298.780 7.06% 8,641.827


Q3 2016


01/07/2016 Oxide 1,298.520 6.92850 1,208.550 31.19



21/07/2016 Oxide 1,095.000 7.50000 1,012.880 31.00



27/07/2016 Oxide 100.360 6.83000 93.510 25.33



28/07/2016 Oxide 201.600 6.83000 187.831 25.33



02/08/2016 Oxide 185.580 6.83000 172.905 25.33



04/08/2016 Oxide 100.100 6.83000 93.260 25.33



17/08/2016 Oxide 1,000.000 7.50000 925.000



26/08/2016 Oxide 2,000.000 7.50000 1,850.000



02/09/2016 Oxide 284.000 6.00000 266.960



08/09/2016 Oxide 416.125 6.00000 391.158



20/09/2016 Oxide 66.18 6.00000 62.209


Subtotal Q3

7,747.465 7.20% 7,189.262


Total 2016 YTD

17,046.245 7.13% 15,831.089


By December 2015, the mine production output was increased to 60 tonnes per day. In September 2016 a new third adit was opened. The new adit called the Turkman adit has a length of 120 m and allows access to deeper lying mineralization at the 670 m level and below. The new adit’s larger dimension can accommodate the use of bigger equipment. As a result, production at the mine has doubled from an average of around 60 tonnes tpd to an average of around 120 tpd in less then 12 months.

In November 2016, the JV announced the first sale of direct shipping high-grade zinc sulphide material: 991 tonnes averaging 46.82% zinc. The approximate value of the product realized was over US$700 per tonne.

Pasinex is projecting total zinc sales of 30 million pounds for 2016 and 50 million pounds for 2017.


In May 2012 Pasinex staked the Akkaya property, located 1.5 kilometres north of the Pinargozu Mine on the Horzum Zinc Trend (HZT), a known northeast trending zinc mineralized belt of carbonate-dominated sedimentary rocks in Adana.

Two significant zinc and lead geochemical anomalies, which coincide with the HZT were identified through analysis of structural geology, ground penetrating radar (“GPR”) and extensive soil and rock chip sampling. The larger of the two anomalies stretches 600 metres in length and 300 metres in width along the southern portion of the property. Results ranged from 15.35 – 949.62 ppm zinc and 6.18 – 4387.69 ppm lead.

Akkaya Turkey