Cornish Metals Inc (AIM:CUSN, TSX-V:CUSN, OTC:SBWFF) continues to make good progress in the establishment of a dewatering operation at the famous South Crofty tin mine in Cornwall.
The company is targeting production in 2026, at a time when deficits in tin supply are projected.
South Crofty is the fourth highest grade tin resource globally, with a grade of 1.6% tin.
The project possesses a mine permit valid to 2071, full surface planning permission to construct a mine water treatment plant, new processing facilities, all necessary site infrastructure, and an environmental permit to dewater the mine.
"We have made very good progress over the last eight months, building an experienced and highly motivated team at South Crofty,” said Richard Williams, the chief executive of Cornish Metals.
“The company remains on track to commission the mine water treatment plant in June this year, with the objective of commencing full scale dewatering operations in July. Construction costs for the mine water treatment plant remain in line with previous guidance of £6.5mln-to-£7mln. In addition to the mine dewatering programme, ongoing metallurgical, feasibility study and exploration work will provide news flow for Cornish Metals through 2023."
The company completed a £40.5 million funding in May 2022, and this money will be used to construct the mine water treatment plant, dewater the mine, and to complete a feasibility study.
The mine water treatment plant is designed to treat 25,000 cubic metres of mine water per day. At this rate, mine dewatering is estimated to take 18 months, through to the end of 2024.
Treated mine water will be discharged into the Red River via the Dolcoath Deep Adit. Since South Crofty closed in 1998, untreated mine water has directly entered the river, so dewatering the mine and treating the water will have a positive effect on the Red River water quality.
The concrete foundation pad for the MWTP was completed in November 2022, and the first reaction tanks were installed in December 2022. The plant comprises nine reaction tanks, all of which are now installed.
Additional studies related to mine development and processing work are also taking place.
Fairport Engineering has been engaged to design the process plant and estimate capital and operating costs.