Metals X’s Renison operation in Tasmania produced 1,439 tonnes of tin-in-concentrate in the March quarter, 61% up on the previous three months. Renison also generated a positive cash flow pf A$1.56 million in the quarter, despite lower tin prices. The mill is fed with ore from two mines – the Renison underground unit and the nearby Mt Bichoff open pit. The company is currently focussed on boosting production from the Renison mine, where it is continuing exploration and development.
In a statement the company said that “development continued with a focus on the Lower Federal ore bodies, the South Renison Decline and the progressive rehabilitation of the North Renison Decline. Mining productivity continued to improve with development rates for the period reaching anticipated levels. The tonnage mined increased by 31% to 81,869 tonnes and ore grade increased by 18% to 1.68% Sn over the previous quarter. Further improvements in productivity are expected in the ensuing quarter with monthly production expected to stabilise at around 40,000 tonnes from the Renison underground operation as additional stoping and development fronts are established.”
The company will complete a feasibility study on the treatment of Renison tailings during the current quarter, but notes that “while the project remains viable, financing the capital cost of the project in the current economic climate remains unlikely…. Metals X is expectant that the project will be developed in due course as the world economy recovers, and demand for tin accelerates. Feasibility work for the project is sufficiently detailed that it is unlikely that further work will be required prior to approving project construction once the tin price recovers”
