TinOne Resources (TSX.V: TORC; OTCQB: TORCF) has released an initial Inferred mineral resource estimate (MRE) for the Great Pyramid project in Tasmania of 8.39 Mt at 0.17% Sn based on a cut-off grade of >0.10%.
This announcement marks an augmented estimate from a historical non-CRIRSCO compliant Inferred resource of 5.2 Mt at 0.20% Sn and Indicated resource of 5.76 Mt at 0.64% Sn. According to the company, tin mineralisation is mostly found near the surface, and the deposit may be mined open pit.
Chris Donaldson, Executive Chairman of TinOne Resources, commented, “The positive results from our maiden mineral resource estimate at the Great Pyramid Project represent an exciting milestone for TinOne. The resource estimate not only outlines a significant increase in contained tin at the Great Pyramid Project from the historical estimate, but it also outlines areas with significant resource expansion potential. These areas will be the focus for future exploration drill programs.”
The MRE was informed by 40 diamond core holes, 16 reverse circulation holes, and 159 percussion holes. The predominant tin-bearing mineral identified is fine-grained cassiterite, which the company suggests can be concentrated to 55% Sn by size classification, gravity separation, and/or sulphide flotation.
Mineralisation at Great Pyramid is hosted within steeply dipping zones of sheeted, narrow quartz veins, crosscutting the Mathinna Supergroup sandstones. The deposit style is indicative of the potential presence of a tin-fertile granite at depth, although this has not yet been encountered.
Financial projections by TinOne based on a tin price of $24,978 per tonne, a metallurgical recovery rate of 80%, a conceptual open pit design, and costs comparable to those of First Tin’s Taronga pre-feasibility study, indicate total costs per tonne for mining and processing to be $18.53 per tonne processed.
Looking ahead, the company plans to conduct deeper diamond drilling in order to probe tin mineralisation below the conceptual pit, to investigate continuity between the open deeper tin-mineralised zones and known mineralisation at the surface. Following this, TinOne hopes to prepare a Preliminary Economic Assessment for Great Pyramid.
Our view: The expansion of the resource from 10.4 kt contained tin to 14.40 kt contained tin marks a strong milestone for TinOne. Further drilling may underpin an upgrade of a significant amount of the Inferred resource to an Indicated resource.
TinOne Resources is a member of ITA’s Explorers & Developers Group.
