Aus Tin Mining Releases Operations Update

Australian tin company Aus Tin (ASX:ANW) has released an operations and development update for its Taronga and Granville projects.

As quoted from the press release:

Taronga Stage 1 Project

The company has appointed Townes Contracting to undertake an initial program of mining, crushing and civil works associated the Taronga Stage 1 Project. The contract, anticipated to take three months, provides for site establishment, initial mining of approximately 50,000 tonnes of ore and waste (refer Figure 1), crushing of ore and the construction of an 8ML water dam. Townes Contracting are based in Tenterfield (NSW) and have significant experience with quarrying and crushing operations, and with the construction of tailings dams for mining projects. Townes Contracting own all the equipment proposed to be utilised for the contract.

The initial program of work will provide several important outcomes including a provisional metal reconciliation, with the average grade of ore mined to be compared with the respective mining blocks estimated in the 2014 Probable Ore Reserve1 . The initial program of work will also provide contractor productivity and cost data that may be used to optimise pricing for the remainder of the Stage 1 Project, and material for additional metallurgical test work planned prior to the commencement of Stage 1 pilot plant operations. Significantly, the initial program of work of mining and crushing only will reduce water demand at a time when northern NSW is experiencing severe drought conditions.

The remainder of the Stage 1 Project, including the expanded mine and pilot plant operations are targeted to commence late 2019, and it is intended the Stage 1 Project will provide the opportunity to evaluate potential upside on feed grade and tin recovery. However, the results of the above‐mentioned provisional metal reconciliation and metallurgical test work may provide early results that could be used to accelerate elements of the next stage feasibility work.

Click here to read the full announcement