Magna Mining (ASX: MAN) is currently looking at some very interesting opportunities in eastern Russia, after recently receiving word that gold, copper and tin tailings in the region have now been released for economic exploitation.
Magna has now signed a deal to conduct due diligence over the Khinganolovo Tailings Project with Troygold Investments Pty Ltd, which is another step towards reaching the company's goal to build a regional mineral portfolio in the Khabarovski Krai area.
The due diligence process will include drilling, assays, metallurgical assessment and cash flow assessments, to be completed by 1 July 2012, which would also allow the company to identify the appropriate processing methodology for the recovery of cassiterite from the tailings and middlings material.
Magna's corporate strategy is on developing projects with simple metallurgy, which do not require high capital investment.
About the project
The project is located 150 kilometres from Birobidzhan, the capital of the Jewish Autonomous District, and 320 kilometres from Khabarovsk, which is the administrative centre of Khabarovsk Krai.
Importantly, local access is via regional roads, many of which have been upgraded to service past mining.
The Khinganolovo deposit was discovered in 1944 and the development of the mine started the following year in 1945, with production commencing three years later until production ceased after over 8 million tonnes of ore were mined.