Metals X has reported very encouraging early results from a new exploration drilling programme around the Renison operation in Tasmania. Grades of between 2.4% and 8.1% tin in some ore samples “confirm the potential for a substantial upgrade and addition to resources within the Area 4 orebody in the North side of the Renison underground mine” the company said.
The results to date have been returned from the first 1,550 metres of a 12,000m programme focussed specifically on the Area 4 orebody. The Renison mine, jointly owned by Metals X and the Yunnan Tin Group, is expected to produce approximately 8,000 tonne of tin-in-concentrate in the current financial year (to June 2011) at a cash operating cost of A$ 10,350/t (US$9,800/t).
Production in the year to June 2010 amounted to 6,266 tonnes and cash operating costs in the most recent quarter were reported at A$12,518/tonne. Following the recent closure of the Mt Bischoff open pit mine, which had supplied part of the ore treated at the Renison mill, the company is planning to step up production from the Renison mine.
