REG - Cornish Metals Inc. - UPDATE ON THE SOUTH CROFTY TIN PROJECT

Cornish MetalsAnnouncement

09/10/2023 07:15

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RNS Number : 0538P  Cornish Metals Inc.  09 October 2023

CORNISH METALS PROVIDES AN UPDATE FOR THE SOUTH CROFTY TIN PROJECT

Metallurgical Drill Programme Complete

Favourable Ore Sorting Results

Feasibility Study Advancing

 

Vancouver, October 8, 2023

Cornish Metals Inc. (AIM/TSX-V: CUSN) ("Cornish Metals" or the "Company"), a
mineral exploration and development company focused on its South Crofty Tin
Project ("South Crofty" or the "Project") in Cornwall, United Kingdom, is
pleased to provide an update on the progress of activities at South Crofty.
The Feasibility Study is advancing on schedule with a substantial amount of
the study completed.

Richard Williams, CEO and Director of Cornish Metals, stated: "We expected the
mineralisation at South Crofty to respond well to X-Ray Transmission ("XRT")
ore sorting, but these results exceed even our most optimistic expectations.
XRT ore sorting has proven highly effective at preconcentrating mineralisation
sampled from five different zones of the South Crofty deposit. We expect this
result will have a positive effect on the project economics, allowing for
lower power consumption and a smaller process plant and therefore lower
capital and operating costs.

 

"In addition, good progress is being made on the Feasibility Study as project
activities continue at pace at South Crofty."

 

Metallurgical Testwork - Excellent Ore Sorting Results

·  Both XRT ore sorting and Heavy Liquid Separation ("HLS")
pre‑concentration testwork completed with excellent results:

o  XRT: 55% mass rejection and <3% metal loss (-50mm - +15mm size
fraction);

o  HLS: 50% mass rejection and <5% metal loss (-15mm - +0.85mm size
fraction);

·    XRT ore sorter testwork of bulk composite samples completed by TOMRA
Sorting GmbH (see photos here
(https://cornishmetals.com/site/assets/files/5629/2023-10-08_tomra_xrt_ore_sorter.jpg)
and here
(https://cornishmetals.com/site/assets/files/5629/2023-10-08_high-grade_ore_sorter_product-_npz-dolcoath_composite.jpg)
);

·    HLS testwork of bulk composite samples completed by Wardell Armstrong
International;

·    The metallurgical testwork was conducted on samples from the 2023
metallurgical drill programme across five mineralised zones (No. 4 Lode, No. 8
Lode, Roskear B/D Lodes, North Pool Zone and Dolcoath South), representing the
majority of the potential production areas in the first six years of the
proposed mine life;

·  The testwork results confirm the upgrading potential of South Crofty
mineralisation and enables continuation of the process design optimisation
work to reduce the size of the mineral processing plant and materially lower
capital costs, operating costs and environmental footprint.

 

 

Feasibility Study Progress

In addition to ore-sorting testwork, the following Feasibility Study
components have also been completed:

·    Headframe structural modelling and refurbishment;

·    Schedule and costing for the refurbishment and recommissioning of New
Cooks Kitchen and New Roskear shafts;

·   Televiewer investigations and geotechnical rock testing to confirm
known historical structural and  rock mass property data;

·   Conceptual numerical modelling of the proposed underground mining
methods and stope designs. Back analysis supports historical operating data.
Ground conditions and excavation stability are expected to be very good;

·    Phase 1 of the metallurgical testwork programme (mineralogy, physical
competency, characterisation and gravity response testwork). The gravity
response results are very good and confirm previous operational results;

·    Concept engineering on paste backfill options and sighter testwork;
and

·    Ground investigations for the new mineral processing plant.

The following Feasibility Study components are currently underway:

·  Mineral processing plant design, layout and capital cost study,
incorporating the results of the metallurgical testwork programme reported
today and potential future throughput expansions;

·  Underground mine design and optimisation using the latest South Crofty
Mineral Resource Estimate published in September 2023 (see news release dated
September 13, 2023
(https://cornishmetals.com/site/assets/files/5612/2023-09-13_mre_final.pdf) );

·    A mine ventilation study, underground infrastructure design and
hoisting analysis;

·    A Feasibility Study level engineering design for the paste backfill
plant;

·    Hydrogeology, environmental, social, marketing and closure studies;
and

·   AMC Mining Consultants has been appointed to independently review and
compile the Feasibility Study with initial gap analysis and site visits
completed.

 

Cornish Metals has published an updated corporate presentation to its website
that can be accessed at Cornish Metals Presentations
(https://cornishmetals.com/investors/presentations) .

Background

·   South Crofty is a historical, high-grade, underground tin mine that
started production in the sixteenth century, and continued operating until
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, United Kingdom.  Cornish Metals has a
growing team of skilled people, local to Cornwall. 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.

An updated Mineral Resource was completed in September 2023 as summarised
below:

 South Crofty Summary (JORC 2012) Mineral Resource Estimate
 Area        Classification  Mass   Grade       Contained Tin /

                             (kt)               Tin Equivalent

                                                (kt)
 Lower Mine  Indicated       2,896  1.50% Sn    43.6
             Inferred        2,626  1.42% Sn    37.4
 Upper Mine  Indicated       260    0.99% SnEq  2.6
             Inferred        465    0.91% SnEq  4.2

 

The Mineral Resource Estimate for South Crofty was updated in September 2023
(see news release dated September 13, 2023
(https://cornishmetals.com/site/assets/files/5612/2023-09-13_mre_final.pdf) ).
An updated NI 43-101 Technical Report will be filed on SEDAR within 45 days of
the September 13 news release.

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.

ON BEHALF OF THE BOARD OF DIRECTORS

 

"Richard D. Williams"

Richard D. Williams, P.Geo

 

 

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                                         Richard Morrison   Tel: +44 203 470 0470

 (Nominated Adviser & Joint Broker)                                     Charlie Bouverat

                                                                        Grant Barker

 Hannam & Partners                                                      Matthew Hasson     Tel: +44 207 907 8500

 (Joint Broker)                                                         Andrew Chubb       email: cornish@hannam.partners (mailto:cornish@hannam.partners)

                                                                        Jay Ashfield

 BlytheRay                                                              Tim Blythe         Tel: +44 207 138 3204

 (Financial PR)                                                         Megan Ray          email: tim.blythe@blytheray.com (mailto:tim.blythe@blytheray.com)

                                                                                                       megan.ray@blytheray.com
                                                                                           (mailto:megan.ray@blytheray.com)

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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