Piran Resources is a mining company focused on the production and exploration of tin, tantalum and tungsten. Through its subsidiary Pella Rwanda Resources, it has secured a 25-year mining licence for the Musha and Ntunga mines in the prolific tin region of Eastern Rwanda. Previously an operational mine, with over 3 Mt of high-grade tailings identified, it is Piran’s view that there is significant value to be realised through enhanced recoveries, as well as substantial exploration potential to further define the extent of the resource.
Through securing these assets and successfully commissioning and expanding its pilot plant capacity, Piran is already looking to ramp up to full scale commercial production in the near term. Concurrent to this, Piran will continue with its exploration programs and further expand the processing capabilities in order to generate multiple revenue streams.
Last December Piran announced that it had successfully commissioned its pilot processing plant and produced its first tin concentrate from the Musha and Ntunga mine in Rwanda. Initial production has come from reprocessing of tailings dumps. The previous mining processes used for the extraction of tin were rudimentary with poor beneficiation but Piran has invested in modern technology to ensure higher grade recoveries. The pilot plant operation will generate monthly production of between 5 and 10 t of tin in concentrate.
Recommencing this small scale mining is the cornerstone of the first phase of Piran’s development strategy. The team will subsequently fully mechanise the operation, construct commercial scale facilities and expand the processing capacity to 120 t/h of material. It is anticipated that operations will be ramped up to full scale production within a 12 month period. At this rate of processing, Piran will be producing in excess of 150 t/month of tin in concentrate at a minimum grade of 50% Sn. An offtake agreement is already in place with a major trading company for this product. Piran has also begun to work with local artisanal miners to ensure cooperation and to sustain the local economy. The intention is to cooperate with them, provide education, technical advice, safety equipment and training to ensure operations are carried out to the highest standards going forward. Job creation and local participation is a key part of the development plan and the company will increase this in line with the operation as it grows.
Piran is also conducting the collection, bagging and tagging of all production to comply with conflict minerals requirements.
Ben Smit, Managing Director of Piran, explained that Piran has an offtake agreement in place, so “we will be selling our product immediately, generating early cash flow so we can look to expand operations using our own balance sheet.
“We are very pleased to be working in Rwanda which is an excellent country in which to operate and we would like to thank the Government, the Ministry and the Rwanda Development Board for their continued support.”
Piran believes that, in addition to the current deposits, further unrealised value exists within the licence area and is systematically conducting ongoing exploration to determine the size and scope of a larger resource and define a mining plan. To date this has included a geophysical survey, which was completed earlier this year, and auger drilling across key areas of interest. Areas of specific focus are those previously mined in a large open pit in the west of the concession and underground and open-pit workings in the east.
In phase two of its development, Piran will commence new mining operations from primary orebodies. This will lead to increasing the processing capacity and expanding the processing capabilities to enable the production of tantalum and tungsten, generating multiple revenue streams.
The plant that will be required for the scaled up operation has already been tendered, contracted and is on order from Appropriate Process Technologies (APT), anticipated to arrive on site any day now. Piran’s team will be overseeing the plant design and build over the coming months. Work is already underway preparing the site for this, concurrent to the delineation and construction of related facilities and an area for new tailings deposits. All of this is being undertaken within the framework of the Environmental and Social Impact Assessment that was carried out as part of the submission for the Mining Licence application.
Piran is a full member of the iTSCi and is ITRI compliant.