Alphamin Resources has significantly improved the geological confidence of its Mpama South deposit in an Updated Mineral Resource Estimate (MRE).
Since releasing the Maiden Resource Estimate for the deposit early last year, a series of MRE updates have followed. Updates prior to this release more than doubled the contained tin in its Inferred Resource from 50,000 tonnes to over 120,000 tonnes. Resources in the Indicated category, however, had remained steady at around the 20,000 tonne mark.
The most recent update focused on upgrading the inferred resource it has built over the past year into indicated resources, using assays from an additional 63 infill and extensional drillholes. Upgrading Inferred Resources to Indicated or Measured categories is essential for conversion to an Ore Reserves in the future.
Whilst the total tin contained in the Resource has only marginally increased, tin contained in the indicated resource has almost quadrupled, up by 58,000 . Now, the Indicated Resources lies at 80,200 tonnes contained tin, from 3.26M tonnes ore at 2.46% Sn.
The extent of Mpama South is unlikely to stop there. The company highlighted the significant resource growth potential for Mpama South, which remains open at depth. High grade intercepts around the peripheries of the MRE, where mineralisation remains open, range in grades from 3.0% -6.0% Sn, and thicknesses from 7.2m-17.5m.
Rather than further exploration, Alphamin’s main focus for 2023 is set on completing the construction, and commissioning of the mine. Following commissioning, the mine will go into production in early 2024, with an output of approximately 7,200 tonnes of tin contained tin.
Our view: It is great news that the Mpama South remains on track for coming online in 2024. The increased output from Mpama South is essential to narrowing the deficits we expect in the coming years.
Whilst not an imminent focus, Alphamin will likely continue exploration in the future. Similar to what we are seeing at Mpama North, they will look to replenish tin that has been depleted during mining with new material.