Tungsten West issues finance and trading update
The mining company is focussed on restarting production at the Hemerdon tungsten and tin mine in Devon, UK.
The company has signed a non-binding term sheet for a USD $30mln (approximately £26mln) royalty investment and expects to release a construction schedule and final cap-ex budget by the end of September 2022.
Enabling works have commenced, equipment orders have been placed, and a recruitment process begun alongside refurbishment of the processing plant.
- Orders have been placed for a number of long-lead time items, including a new semi-mobile primary and secondary crushing circuit which is being supplied by MO Group (Metso-Outotec of Finland.)
- Seven ore sorters required for the plant upgrade have already been delivered in warehouse in the UK. Expressions of interest to purchase three of these units that are surplus to requirements under the new plans have been received from third parties.
- Construction of new screens and vibrating feeders as provided by Vibramech of South Africa is complete and they are in transit to the UK.
- Tungsten West has signed a letter of intent with EPC Groupe for the provision of drill and blast services during the restart of mining operations.
- It has has identified a 50-acre site within 1.2km of Hemerdon that is suitable for the installation of 9MW - 12MW of solar energy production and has commissioned a scoping study to be followed by a separate feasibility study into developing this project. The feasibility study is expected before the end of December 2022.
- Three potential sites suitable for the installation of wind turbines have been identified within the mine boundary. A scoping study has been comissioned.
- Progress continues in the plant refurbishment and upgrade, with works within the tertiary crushing circuit now completed.
- Refurbishment of the on-site lab has been completed and it is now capable of providing internal assay and metallurgical analysis.
- Earthworks for the installation of the new ore sorting building have been completed.