OREZONE ENTERS INTO LIFE OF MINE LNG AND SOLAR POWER CONTRACT FOR BOMBORÉ AND PROVIDES DEVELOPMENT UPDATE Bomboré will be Burkina Faso’s First Mine to use LNG as the Main Power Source
OREZONE GOLD CORPORATION
910-1111 Melville Street
Vancouver, BC, V6E 3V6
T: 778-945-8977
OREZONE ENTERS INTO LIFE OF MINE LNG AND SOLAR POWER CONTRACT FOR BOMBORÉ
AND PROVIDES DEVELOPMENT UPDATE
Bomboré will be Burkina Faso’s First Mine to use LNG as the Main Power Source
June 2, 2021 – Vancouver, BC - Orezone Gold Corporation (TSX.V: ORE, OTCQX: ORZCF) (the “Company”
or “Orezone”) is very pleased to announce that it has signed a Power Purchase Agreement (“PPA”) with
Genser Energy Burkina S.A. (“Genser”) for the supply of clean energy electrical power for its Bomboré
Gold Project, located in Burkina Faso.
PPA Highlights
• Genser will use liquefied natural gas (“LNG”) as its main fuel, augmented with a staged solar plant.
The Bomboré project will be the first mine in Burkina Faso to use LNG to power its operations.
• Fixed rate energy tariff will apply over the life-of-mine (“LOM”) oxide operation with a fixed rate
tariff to be negotiated for the additional energy demand upon commissioning of the sulphide
processing circuit expected in Year 3 of commercial production.
• The Power Plant will consist of 6 (six) 2.5MW LNG generators with 4 (four) 2.6MW diesel back-up
units. This configuration is sized for the initial oxide operation and the planned sulphide
expansion.
• A Solar Photovoltaic Plant up to 14MWp to be installed in stages with an 11kV powerline to
connect the gas and backup diesel generators, and solar plant.
• Genser will design, permit, finance, and install all power generating equipment and associated
infrastructure including LNG storage and diesel storage terminals.
• Genser will be the operator and owner of the power plant facility.
Mr. Patrick Downey, President & CEO stated, “ We are extremely excited to be the first mine in Burkina
Faso to use a LNG and solar hybrid power supply. Besides being an excellent cost-effective choice for
Bomboré, we also see this new power solution as being a very positive step for the Burkina Faso mining
and electricity generating sectors. LNG power systems, coupled with solar, will enable energy intensive
industries such as mining to reduce fuel consumption, decrease energy costs, and significantly cut
greenhouse gas emissions. We are very pleased to partner with Genser, an internationally recognized
power provider, in this landmark arrangement. We would also like to thank the Go vernment of Burkina
Faso and the Minister of Mines and Energy for their guidance and assistance in this process.
This LOM fixed cost agreement for clean energy from Genser provides power cost certainty over LOM
oxide production at Bomboré and provides an excellent platform for project expansion and growth.”
The Honourable Dr. Bachir Ismael Ouedraogo, The Minister of Mines and Energy for Burkina Faso stated,
“Having the first LNG plant at a mining operation is a great step forward for the indust ry and we
congratulate Orezone in this regard. As a government, we continue to support clean energy alternatives
that provides a platform for sustainable growth and benefits our communities.”
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Development Update
Significant progress has been made during Q1 and Q2 of 2021. Engineering is now approximately 30%
complete and on schedule. Design and bulk quantities from this work are trending favorably against the
quantity estimates used in the 2019 feasibility study.
Procurement is well-advanced with firm orders placed for most mechanical and electrical equipment with
purchase costs generally below budget estimates.
Bulk materials including concrete reinforcing bar and embeds, CIL tank platework, structural steel and
platework, HDPE liner, and overland piping have also been ordered with costs also trending within budget.
Off-channel reservoir mining, e arthworks for the plant site area and tailings storage facility are rapidly
advancing, and the award of the contracts for concrete installation and CIL tank erection and overland
piping are imminent. The project remains on track for first gold pour in Q3-2022.
Development Update Pictures:
Figure 1: Off-Channel Reservoir Mining
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Figure 2: Construction Water Storage Facility
Figure 3: Ball Mill –fabrication in progress
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Figure 4: Main Haul Road and Nobsin River Bridge
Figure 5: Process Plant Area Clearing and Grubbing
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Figure 6: Camp accommodation blocks
About Genser
Genser Energy Holdings Ltd. is an energy solutions provider based in the USA with operations in Ghana
and early -stage projects in Burkina Faso. Genser build, own , and operate distributed generation
installations and natural gas distribution infrastructure, selling power and natural gas to mines, industries,
and utilities. Genser Energy Burkina S.A. is a wholly owned subsidiary of Genser Energy Holdings Ltd.
About Orezone Gold Corporation
Orezone Gold Corporation (TSX.V: ORE OTCQX: ORZCF) is a Canadian development company which owns
a 90% interest in Bomboré, one of the largest undeveloped gold deposits in Burkina Faso.
The 2019 feasibility study highlights Bomboré as an attractive shovel -ready gold project with forecasted
annual gold production of 118,000 ounces over a 13+ year mine life at an All -In Sustaining Cost of
US$730/ounce with an after-tax payback period of 2.5 years at an assumed gold price of US$1,300/ounce.
Bomboré is underpinned by a mineral resource base in excess of 5 million go ld ounces and possesses
significant expansion potential. Orezone is fully funded to bring Bomboré into production with the first
gold pour scheduled for Q3-2022.
Patrick Downey
President and Chief Executive Officer
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Vanessa Pickering
Manager, Investor Relations
Tel: 1 778 945 8977 / Toll Free: 1 888 673 0663
[email protected] / www.orezone.com
Qualified Person
Ian Chang, P. Eng., VP Projects, is the Qualified Person who has approved the technical information in this
news release.
For further information please contact Orezone at +1 (778) 945-8977 or visit the Company’s website at
www.orezone.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of
the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements
This press release contains certain information that may constitute “forward -looking information” within the
meaning of applicable Canadian Securities laws and “forward-looking statements” within the meaning of applicable
U.S. securities laws (together, “forward -looking statements”). Forward -looking statements are frequently
characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "potential",
"possible" and other similar words, or statements that certain events or conditions "may", "will", "could", or "should"
occur. Forward-looking statements in this press release include, but are not limited to, statements with respect to
mineral resources, life of mine LNG and solar power for Bomboré, the Bomboré Project being the first mine in Burkina
Faso to use LNG, the Bomboré project being fully funded to production and projected first gold by Q3-2022.
All such forward-looking statements are based on certain assumptions and analyses made by management in light
of their experience and perception of historical trends, current conditions and expected future developments, as well
as other factors management and the qualified persons believe are appropriate in the circumstances.
All forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause
actual events or results to differ materially from those projected in the forward-looking statements including, but not
limited to, delays caused by the COVID-19 pandemic, terrorist or other violent attacks, the failure of parties to contracts to
honour contractual commitments, unexpected changes in laws, rules or regulations, or their enforcement by
applicable authorities; the failur e of parties to contracts to perform as agreed; social or labour unrest; changes in
commodity prices; unexpected failure or inadequacy of infrastructure, the possibility of project cost overruns or
unanticipated costs and expenses, accidents and equipment breakdowns, political risk, unanticipated changes in key
management personnel and general economic, market or business conditions, the failure of exploration programs,
including drilling programs, to deliver anticipated results and the failure of ongoing and uncertainties relating to the
availability and costs of financing needed in the future, and other factors described in the Company's most recent
annual information form and management discussion and analysis filed on SEDAR on www.sedar.com. Readers are
cautioned not to place undue reliance on forward-looking statements.
Although the forward -looking statements contained in this press release are based upon what management of the
Company believes are reasonable assumptions, the Company cannot assure investors that actual results will be
consistent with these forward-looking statements. These forward-looking statements are made as of the date of this
press release and are expressly qualified in their entirety by this cautionary statement. Subject to applicable securities
laws, the Company does not assume any obligation to update or revise the forward -looking statements contained
herein to reflect events or circumstances occurring after the date of this press release.
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