Elementos bulks up Oropesa tin project

PURE play tin concern Elementos has boosted the scale of its flagship Oropesa tin project in Spain, with diamond drilling earlier this year allowing it to boost the tonnage, shallowness, and geological confidence in the resource.
Elementos bulks up Oropesa tin project Elementos bulks up Oropesa tin project Elementos bulks up Oropesa tin project Elementos bulks up Oropesa tin project Elementos bulks up Oropesa tin project

46 diamond holes were completed at Oropesa this year

Haydn Black

Reporter

Overall, Oropesa now has a total resource of 18.86 million tonnes grading 0.4% tin, up 50% on the 2018 estimate, while the measured and indicated resource has leapt 78% to 16.2Mt, and the measured component soared 1200% to 4.3Mt, up from just 330,000t three years ago.
 
Contained measured and indicated tin is now up 25% with 63,900t within the top 100m of the deposit.
 
With almost 90% of the resource now classed as measured and indicated, Elementos CEO Joe David said the way was clear to proceed to a definitive feasibility study and maiden reserves estimate in 2022.
 
He said the 46-hole program had delivered results that exceeded internal goals.
 
Workstreams are already ongoing, including pilot scale metallurgical test work, which is substantially complete, and geotechnical, and hydrogeological on-ground investigations. 
 
Permitting has also commenced, with Elementos saying it has had good feedback from the Andalusian authorities. 
 
Elementos has cash on hand of around A$5 million plus $6.3 million of exercisable options outstanding which expire during 2021, and is confident of progressing Oropesa through feasibility studies and into production. 
 
The company settled all its outstanding debts in September.
 
In Australia, it has received approvals to drill its 7.5Mt at 0.75% tin and 0.3% copper for the Cleveland tin project in Tasmania with four diamond holes for 1000m planned to test historical anomalies along strike to the northeast of the resource.
 
Tin prices have been at record levels in recent times rising from below US$15,000/t in April 2020 to just above $37,000 per tonne today, having peaked at above $39,600/t in October.
 
Elementos says Oropesa is one of the world's largest undeveloped, open-cut mineable tin deposits, with access to world class infrastructure, which can be rapidly progressed to fill rising demand at a time when global warehouse stocks are at record lows.
 
Forecasts are for deficits for the metal through the 2020s as existing tin mines are mostly producing from lower grade, diminishing reserves, requiring new investment into sector.
 
New investment is challenged due to majority of projects being either high capex underground mines, hard rock mineralisation or located in risky jurisdictions. 
 
Elementos shares jumped 8% today to reach A2.7c, valuing the company at $101 million.
 
The stock has traded between 0.05c and 2.9c over the past year.