Name of the Project
Heemskirk tin project.

Location
West coast of Tasmania.

Project Owner/s
Stellar Resources.

Project Description
Total indicated and inferred mineral resources are estimated at 6.6-million tonnes grading 1.1 % tin, 0.1% copper, 0.3% lead and 0.3% zinc.

A scoping study has shown that the project has attractive economics and remains robust within the majority of tin price and exchange rate scenarios considered in Stellar Resources’ sensitivity analysis.

The project is based on the development of an underground mine, processing plant, tailings storage facility and surface infrastructure to mine about 350 000 t/y of ore.

The ore will be mined from two of the four Heemskirk deposits – Queen Hill and Severn – over a ten-year life-of-mine (LoM), producing tin concentrate to be trucked to the Port of Burnie for export. A longhole stoping underground mining method has been selected.

The project also includes openpit mining of the St Dizier satellite deposit and trucking to the processing plant at Heemskirk during the final year (Year 11) of the project. The processing plant will be built adjacent to the decline portal on the north-west side of Queen Hill.

Tailings will be thickened and pumped to the proposed tailings disposal site using a 6.7-km-long slurry pipeline. The project has a total LoM production estimated at 3.7-million tonnes. LoM tin in concentrate production is estimated at 24 000 t.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a base case pretax net present value, at a 10% discount rate, of A$83-million and an internal rate of return of 45%, with a payback of three years.

Capital Expenditure
The project has a capital cost of A$57-million.

Planned Start/End Date
Not stated.

Latest Developments
The next step for Heemskirk, subject to funding, is to convert the remaining inferred mineral resource to an ore reserve and complete a prefeasibility study.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Stellar Resources, tel +61 3 9692 7222 or email srzinfo@stellarresources.com.au.