Tertiary Minerals (LON:TYM) gave further details of its recently awarded mining permit for its Storuman project in Sweden.
Before any mine can be built, an environmental permit process must be carried out, the fluorspar firm noted.
The concession area does not include the processing plant, tailings facility and associated infrastructure, all of which will will be dealt with through such a permit.
A preliminary feasibility study is currently underway and technical and economic information from this will be used to prepare the application for the environmental permit.
The mining permit covers 184.13 hectares and is valid for 25 years from February 18 this year.
Prior to the mining permit, work at the site included drilling, a scoping study and a JORC resource estimate. That showed nearly 28mln tonnes at 10.21% with 25mln tonnes in the indicated category
A previous scoping study six years ago showed a base-case project NPV (net present value) of US$33 million, and an internal rate of return (IRR) of 24% at a US$303/tonne mine gate fluorspar price and a capital pay-back of less than three years.