Aus Tin Mining has received regulatory approval to start mining at the Taronga tin project in New South Wales.
Taronga, the world’s fifth largest undeveloped tin reserve, is forecast to treat 2.5 million tonnes of ore a year, producing an annual average of 2800 tonnes of contained tin over a nine-year mine life.
The stage one operation is now fully permitted. It is expected to start before the end of June, beginning with site establishment and initial mining.
Aus Tin is also progressing discussions with potential offtake buyers and exploring opportunities for project funding.
Taronga sits within the second-quartile of global cash cost, according to Aus Tin.
“Final approval for Taronga stage one represents a major milestone for the company,” Aus Tin chairman Brian Moller said.
“An enormous amount of work has historically been completed on the Taronga project by groups such as BHP and Newmont, but Aus Tin Mining’s exciting program including large scale trial mining and pilot processing will aim to demonstrate the proof of concept that will enable the development of large-scale tin mining operations within one of the Australia’s more productive tin fields.”
Aus Tin will fund the stage one project through private placement and share purchase plan, with the majority of expenditure for the second half of 2019 “to coincide” with the expected cashflows from the company’s Granville tin project.
The approval from the New South Wales Department of Planning and Environment is the culmination of a process that began in May 2015.