Stellar granted Heemskirk mining permit
PERTH (miningweekly.com) – Metals developer Stellar Resources has been awarded a mining permit for its Heemskirk tin project, in Tasmania.
MD Peter Blight said on Tuesday that the granting of the mining lease was a major step for the Heemskirk project, as well as mining in Tasmania.
“The mining lease reflects the Tasmanian government’s confidence in Stellar’s tin development proposal and provides the company with secure tenure over tin and other metallic minerals for a minimum of 12 years. The long-dated nature of tenure is also important in attracting finance for the project.”
The Heemskirk project is expected to produce some 4 527 t/y of tin in concentrate over a mine life of nearly seven years, based on a mining inventory of 3.95-million tonnes, grading 1.06% tin.
However, under a fast-start strategy, first tin is expected within six to nine months of decline commencement. Ore processing will be undertaken in a standalone modular plant.
This strategy provided the opportunity to start production at low capital cost, said Blight, and the modular nature of the processing plant will allow for subsequent expansion, depending on the rate of mine development.
Under the fast-start scenario, the project will employ up to 70 people, expanding to 180 staff on full expansion of the mine.
Subject to securing funding, Stellar will advance the project through a definitive feasibility study (DFS) work programme, including 9 000 m of diamond drilling to convert resource to reserve, metallurgical testing, completing the development proposal and environmental management plan, and completing the mining and plant studies.
The DFS programme is expected to be complete within 15 months.
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