Cornish Metals Inc (AIM:CUSN, TSX-V:CUSN, OTC:SBWFF), a mineral exploration and development company focused on projects in Cornwall, has released its results for the nine months ended October 31, 2022, illustrating "an exciting period of change" at its South Crofty tin project.
In the results statement, Richard Williams, CEO of Cornish Metals, said: "Work is continuing at pace at South Crofty on all areas of the project which is a marked contrast to just six months ago. Enabling works for the construction of the water treatment plant are complete and erection of the plant itself will commence shortly. In the meantime, we are making good progress on the metallurgical drill programme, and the Feasibility Study is advancing its various workstreams.
"The pumps will be lowered into the mine shaft in early 2023 ahead of the expected commissioning of the water treatment plant and dewatering in early summer 2023. Planning is underway for the refurbishment of those parts of the mine workings to allow underground Mineral Resource drilling to commence as soon as water levels permit."
"It is an exciting period of change for South Crofty, and we are particularly pleased with the positive engagement and support of the local community and the wider population in Cornwall to the visible progress at South Crofty," Williams concluded
Highlights for the nine months period, and in the year to date, included the completion of 10,159 meters of drilling at the United Downs exploration project with assay results from the program confirming management's belief in the potential to develop a Mineral Resource in the United Downs project area subject to the availability of further funding.
Four main targets were drill-tested - UD Lode, United Mines, Mount Wellington and Trenares Lode - with all four targets returning results warranting further follow-up drilling, the company said
The company commenced an 8,000 to 12,000-meter drill program in July 2022 to collect samples for metallurgical testwork as part of the South Crofty Feasibility Study and key positions were appointed to the South Crofty project management team, with additional employees appointed to the mining team to support greater mining-related activities.
Construction of the water treatment plant is continuing including the completion of the installation of the treated water discharge duct and the pouring of the concrete foundations, which is nearing completion. Detailed design of the water treatment plant is substantially completed and all major components of the water treatment plant have been ordered in anticipation of planned commissioning in June 2023 at a cost estimated to be between £6.5mln and £7.0mln, Cornish Metals said.
Initial work on the South Crofty Feasibility Study is underway with completion planned by the end of 2024, it added.
Cornish Metals also completed a financing in the period for gross proceeds of £40.5mln (around $65.1mln), including a strategic investment by Vision Blue Resources of £25.0mln ($40.1mln), to advance the South Crofty project to a construction decision.
Looking at the nine-month financials, the company reported total operating expenses of £2,616,299 against £2,396,849 a year earlier, with its loss for the period £3,557,556 versus £2,052,403 a year earlier.
Cornish Metals had cash as of October 30, 2022, of £57,840,129, up from £7,887,537 at the same stage in 2021.