Australian based tin explorer European Metals Holdings Ltd. is aiming to raise US$960,000 to fund a scoping study at its Cinovec tin-tungsten-lithium project in the Czech Republic via a fully underwritten non-renounceable rights issue.
As a result of the EU funding initiative “FAME”, which is trying to encourage private investment and competitiveness of mineral resources in Europe, the company has received a research grant totalling US$190,000. The grant will fund metallurgical testing in order to improve recoveries of tin, tungsten, lithium, zinc, indium and rare earths at Cinovec and therefore increase by-product revenues which are believed to be critical in improving the viability of the large scale project.
The Cinovec project consists of two partially overlapping deposits, one rich in tin and the other in lithium. Total inferred resources of 103,970 tonnes of contained tin at 0.37% and 546,000 tonnes of lithium at 0.7% have been estimated. The project was granted a five year extension of the exploration licence in August 2014.
This renewed focus on development follows the expiry of the company’s exploration licence for the Zlaty Kopec tin project. An extension was refused by the Czech Republic Ministry of the Environment after an appeal by the local community in response to plans for the area to be declared a cultural heritage site.