REG - Cornish Metals Inc. - CORNISH METALS INSTALLS SECOND SUBMERSIBLE PUMP

Cornish MetalsAnnouncement

19/07/2023 07:00

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RNS Number : 4381G  Cornish Metals Inc.  19 July 2023

 

CORNISH METALS INSTALLS SECOND SUBMERSIBLE PUMP, COMMENCES COMMISSIONING OF
VARIABLE SPEED DRIVES FOR THE PUMPS AND SIGNS 100% RENEWABLE POWER CONTRACT

 

Vancouver, July 18, 2023

Cornish Metals Inc. (TSX-V/AIM: CUSN) ("Cornish Metals" or the "Company"), a
mineral exploration and development company focused on its South Crofty tin
project in Cornwall, United Kingdom, is pleased to announce that the second
submersible pump has now been installed, commissioning of the Variable Speed
Drives ("VSDs") to operate the pumps has commenced, and that the Company has
entered into a contract for the supply of 100% renewably generated power for
the next 15 months.

Richard Williams, CEO and Director, stated "These are all significant
milestones for the project as we advance South Crofty towards a production
decision. The team at site has done an excellent job installing the second
pump ahead of the estimated timeframe. Also, securing a 100% renewable power
contract was important as we demonstrate our commitment to the reduction of
greenhouse gases from the project as much as possible."

Submersible Pump Installation and VSD Commissioning

 

The second submersible pump has been suspended in New Cooks Kitchen ("NCK")
shaft:

 

·    This pump is the second of two submersible pumps to be installed in
NCK shaft for Stage 1 of the two-stage mine dewatering programme;

·    The pumps are specialist high-head 950 kW vertical submersible pumps
manufactured by KSB in Germany, controlled by variable speed drives
manufactured by Schneider Electric and supplied through Siemag Tecberg UK, to
enable the 25,000 cubic metres (m(3)) per day pumping rate to the Mine Water
Treatment Plant ("MWTP") to be maintained as the water level drops and the
pumping head increases;

·    The pumps are located immediately below the 195 fathom level (360
metres below surface);

·    Schneider and Siemag Tecberg are now on site commissioning the VSDs
in advance of commissioning the MWTP;

·    The VSD commissioning is expected to take two weeks to complete;

·    Commissioning of the MWTP is scheduled to commence in August, with
dewatering of the mine expected to commence before the end of summer.

100% Renewable Power Contract

The Company has entered into a 15 month supply contract with NPower for the
provision of 100% renewably generated power. The supply contract allows the
Company to advance through the mine dewatering phase with certainty over the
power costs for the next 15 months, an important factor given the power price
volatility over the last eighteen months.

 

 

Background

·    South Crofty is an historic, high-grade, underground tin mine that
started production in the sixteenth century, and continued operating until its
closure in 1998;

·    The Project possesses Planning Permission for underground mining,
valid to 2071, Planning Permission to construct a mine water treatment plant,
new processing facilities, all necessary site infrastructure, and an
Environmental Permit to dewater the mine;

·    South Crofty has the 4(th) highest grade tin Mineral Resource
globally and benefits from the presence of multiple shafts that can be used
for future operations;

·    Tin is a Critical Mineral as defined by the UK, USA, and Canadian
governments, with approximately 75% of the tin mined today coming from China,
Myanmar and Indonesia;

·    There is no primary tin production in Europe or North America;

·    Responsible sourcing of critical minerals and security of supply are
key factors in the energy transition and technology growth;

·    South Crofty benefits from strong local community and regional and
national government support.  The Project could generate 250 - 300 direct
jobs.

ABOUT CORNISH METALS

Cornish Metals is a dual-listed company (AIM and TSX-V : CUSN)  focused on
advancing the South Crofty high-grade, underground tin project through to
delivery of a Feasibility Study, as well as exploring its additional mineral
rights, all located in Cornwall, South West England. The former producing
South Crofty tin mine is located beneath the towns of Pool and Camborne, and
closed in 1998 following over 400 years of continuous production. Since
acquiring the project in 2016, Cornish Metals has completed and published
maiden NI 43-101 Mineral Resources for South Crofty using the vast archive of
historical production data and more recent drilling completed between 2007 and
2013. Additionally, Cornish Metals has undertaken extensive pilot-scale water
treatment trials and successfully applied for and received the necessary
environmental permits to abstract, treat and discharge mine water in order to
dewater the mine. Planning permissions for the operation of the mine and
re-development of the surface facilities have been secured and construction of
the water treatment plant is currently well underway.

An updated Mineral Resource was completed in June 2021 as summarised below:

 

 South Crofty Summary (JORC 2012) Mineral Resource Estimate
 Area        Classification  Mass        ('000 tonnes)         Grade                    Contained Tin / Tin Equivalent ('000 tonnes)  Increase in contained Tin / Tin equivalent from 2016 MRE
 Lower Mine  Indicated       2,084                             1.59% Sn                 33                                            10.2%
             Inferred        1,937                             1.67% Sn                 32                                            129.8%

 Upper Mine  Indicated       277                               1.01% SnEq               3                                             9.5%
             Inferred        493                               0.93% SnEq               5                                             8.0%

 

The Mineral Resource Estimate for South Crofty (see news release dated June 9,
2021
(https://cornishmetals.com/news/2021/cornish-metals-releases-updated-mineral-resource-estimate-for-south-crofty-tin-mine/)
), is available in a report titled the "South Crofty Tin Project Mineral
Resource Update
(https://cornishmetals.com/site/assets/files/5449/421007_south_crofty_tin_project_mineral_resource_update_-_22_july_2021_-_sedar_copy.pdf)
", dated June 7, 2021, authored by Mr. N. Szebor, CGeol (London), EuroGeol,
FGS, of AMC Consultants (UK) Ltd, can be accessed on the Company's SEDAR page.

 

The technical information in this news release has been compiled by Mr. Owen
Mihalop who has reviewed and takes responsibility for the data and geological
interpretation. Mr. Owen Mihalop (MCSM, BSc (Hons), MSc, FGS, MIMMM, CEng) is
Chief Operating Officer for Cornish Metals Inc. and has sufficient experience
relevant to the style of mineralisation and type of deposit under
consideration and to the activity which he is undertaking to qualify as a
Competent Person as defined under the JORC Code (2012) and as a Qualified
Person under NI 43-101. Mr. Mihalop consents to the inclusion in this
announcement of the matters based on his information in the form and context
in which it appears.

 

 

For additional information please contact:

 

In North America:

 

Irene Dorsman at (604) 200 6664 or by e-mail at irene@cornishmetals.com
(mailto:irene@cornishmetals.com)

 

 

 SP Angel Corporate Finance LLP           Tel:                                                                          +44 203 470 0470

 (Nominated Adviser & Joint Broker)
                                          Richard Morrison
                                          Charlie Bouverat
                                          Grant Barker

 Hannam & Partners                        Tel:                                                                          +44 207 907 8500

 (Joint Broker)
                                          Matthew Hasson
                                          Andrew Chubb
                                          Jay Ashfield

 BlytheRay                                Tel:                                                                          +44 207 138 3204

 (Financial PR/IR-London)
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ON BEHALF OF THE BOARD OF DIRECTORS

 

"Richard D. Williams"

Richard D. Williams, P.Geo

 

 

 

Market Abuse Regulation (MAR) Disclosure

The information contained within this announcement is deemed by the Company to
constitute inside information pursuant to Article 7 of EU Regulation 596/2014
as it forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 as amended.

 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.

 

 

Caution regarding forward looking statements

 

This news release contains "forward-looking statements".  Forward-looking
statements, while based on management's best estimates and assumptions at the
time such statements are made, are subject to risks and uncertainties that may
cause actual results to be materially different from those expressed or
implied by such forward-looking statements, including but not limited to:
risks related to receipt of regulatory approvals, risks related to general
economic and market conditions; risks related to the COVID-19 global pandemic
and any variants of COVID-19 which may arise; risks related to the
availability of financing; the timing and content of upcoming work programmes;
actual results of proposed exploration activities; possible variations in
Mineral Resources or grade; outcome of the current Feasibility Study;
projected dates to commence mining operations; failure of plant, equipment or
processes to operate as anticipated; accidents, labour disputes, title
disputes, claims and limitations on insurance coverage and other risks of the
mining industry; changes in national and local government regulation of mining
operations, tax rules and regulations.

Although Cornish Metals has attempted to identify important factors that could
cause actual results to differ materially from those contained in
forward-looking statements, there may be other factors that cause results not
to be as anticipated, estimated or intended. There can be no assurance that
such statements will prove to be accurate, as actual results and future events
could differ materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance on forward-looking
statements. Cornish Metals undertakes no obligation or responsibility to
update forward-looking statements, except as required by law.

 

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