Canadian junior Strongbow Exploration Inc announced on Friday the acquisition of the South Crofty tin mine in Cornwall.
The Cornish mine which is under administration hasn't operated in nearly two decades. Vancouver-based Strongbow (CVE:SBW) paid in the order of US$2m for 100% of the mining permission area which includes 26 former producing mines.
A new NI 43-101 mineral resource estimate will be released within two weeksSeveral companies attempted to revive the mines between 2001 and 2013 but due to poor market conditions the assets were put into administration in 2013.
Existing mine infrastructure that is potentially useable includes 4 vertical shafts with a combined depth of 2,940m. Strongbow said some of the tin lodes have been mined over a strike length of approximately 4km, and from surface to a depth of 1km. The lodes remain open along strike and to depth.
According to a statement from Strongbow a new National Instrument 43-101 Mineral Resource Estimate will be released within two weeks.
Richard Williams, President and CEO of Strongbow, said the mine represents one of the best tin opportunities currently available:
"Cornwall is a world class tin district and South Crofty is one of the best known mines in that district, with a mining history spanning over 400 years. Support for new mine development in the UK is demonstrated by the recent start-up of Wolf Minerals' Drakelands tungsten and tin mine, located in the neighbouring county of Devon, the development of Dalradian Resources' Curraghinalt gold project in Northern Ireland, and Sirius Minerals' York Potash project in North Yorkshire."
Strongbow also owns tin properties in Alaska and base and precious metal projects in Canada. The little traded company is worth $2.4 million on the TSX Venture Exchange.
The tin price is trading above $17,000 a tonne currently after making a swift recovery from multi-year lows of $13,200 a tonne hit mid-January. The metal reached a record high of $33,600 at the height of the mining boom in 2011.
Image: Chris Allen CC