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Stellar Resources starts Zeehan tin drilling
SEAN FORD
25 Apr 2017, 12:11 p.m.
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Diamond drilling of a Zeehan tin deposit will help firm up the business case for a new mine, the proponent hopes.
Stellar Resources Limited told the ASX drilling at the Lower Queen Hill deposit started on April 20.
It said Lower Queen Hill was a key part of its fast-start development strategy for its Heemskirk tin project.
“It is the most accessible of the three Heemskirk deposits, has the benefit of high grade and represents the first deposit in the development queue,” Stellar said.
Managing director Peter Blight said the start of dwelling at Heemskirk was a significant milestone.
“It starts the 15-month timeline for a definitive feasibility study and ensures a steady stream of news flow from the company,” Mr Blight said.
“Heemsirk is a premier tin project in a world facing declining supply from traditional producers, including new energy-related uses.
“Stellar represents one of the few high-quality opportunities for investors to participate in the emerging upside in tin.”
Drilling of the first of nine diamond drill holes is expected to be finished in the second week in May.
After the nine holes are complete, the drilling rig will move to the nearby Severn deposit.
Stellar said the main reason for the Lower Queen Hill drilling was to “in-fill” gaps from previous drilling work and upgrade the resource, so mining parameters could be applied and a reserve identified for a definitive feasibility study.
It said data from the drilling program would also be used to identify untested targets which could add to resources, and would provide samples for metallurgical and environmental testing.
Heemskirk is about 18 kilometres from the veteran Renison tin mine.
Steallr recently told investors Heemskirk had potential to be “another Renison tin system with significant exploration upside”.
Production could potentially start as early as the June quarter of 2009.
Stellar predicted a global tin deficit for some years.
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