Stellar Resources granted Mining Lease over the Heemskirk Tin Project

Image credit: Stellar Resources ASX statement

Columbus Metals Limited, a subsidiary of Stellar Resources, has been granted a Mining Lease over the Heemskirk Tin Project located in west Tasmania.

Image credit: Stellar Resources ASX statement

Managing Director Peer Bight said the grant of the Mining Lease – which covers an area of 560 hectares over Crown Land – was a major step for Stellar’s Heemskirk Tin project.

“The ML reflects the Tasmanian Government’s confidence in Stellar’s tin development proposal and provides the company with secure tenure over tin and other metallic minerals for a minimum of 12 years,” he said.

“The long-dated nature of tenure is as important for attracting finance to the project.”

Commenting on the grant of the Mining Lease, Tasmanian Minister for Resources Guy Barnett said Stellar has undertaken extensive exploration activity through its Heemskirk Tin Project and is planning a “fast start” underground development.

“Eventually, this could see the mine employing up to 180 people, which would be a great outcome for the industry and for the region,” the Minister added.

“While there is a long way to go before this project comes to fruition, this is an important step forward and shows that confidence is building in our mining industry. Only last month we saw the reopened Henty gold mine celebrating its first gold pour and we are also seeing renewed interest in mineral opportunities in Tasmania as world commodity prices improve.”

The Heemskirk Tin Project has a JORC Mineral Resource of 6.35mt at 1.13% tin or 72,000t of contained tin. Stellar is planning a fast-start underground development beginning with the Lower Queen Hill deposit and followed subsequently by development of the Severn and Montana deposits.

Under the fast start scenario, first ore production is expected to occur within 6-9 months of decline commencement.