Aim-listed AfriTin Mining has raised £3.8-million through the issue of unsecured loan notes as it continues with the development of its flagship Uis tin mine, in Namibia, which is in the commissioning phase.
The notes have been placed with a strategic African tin trading group, AfriMet Resources, as part of a collaborative partnership to identify further opportunities for the company, as well as with existing shareholders.
The net proceeds will be used for general working capital purposes relating to the progression of the project towards feasibility studies for the Phase 2 expansion and initial testwork on the recently announced lithium discovery within the pegmatite orebody.
Meanwhile, Phase 1 mining operations are performing well and about two months of stockpiled ore have been delivered to the plant.
The construction of the grid power connection has been completed and energised. There was a slight delay to the original time frame, mainly owed to the procurement processes of the Namibian Power Corporation.
This has resulted in some plant availability issues which are now expected to be resolved.
At the processing plant, the crushing circuit has been performing in line with the company's expectations.
The final outstanding commissioning and ramp-up activities are focused on the concentrator circuit, which has required a series of refinements to balance the material flows and dewatering of the ore. Good progress has been made in fine-tuning these circuits and ramp-up is progressing week after week.
The final product is delivering a saleable tin concentrate with low contaminant values. Accordingly, AfriTin is preparing to make a proportionate first shipment of tin concentrate towards the end of this month.
Future shipments will upscale in size as the ramp-up of Phase 1 production continues.
The ramp-up of Phase 1 is progressing well, overall, but full nameplate capacity of 60 t/y is now expected to extend into 2020 post commissioning completion.