Avalon Advanced Materials has released a new PEA for its East Kemptville tin project in Nova Scotia, Canada. The study reveals a positive economic case for further development of the project, with optical ore sorting being considered to reduce costs further.

The company’s model is to produce ~700 t/y of tin in a 55% concentrate from the 5.87 Mt stockpile of low grade (0.112% Sn) tin ore from historic mining at the site. This could be supplemented by limited mining of 9.2 Mt of near-surface higher grade tin resources. This re-development model aims at full rehabilitation of the site while supporting the economic recovery of tin concentrates for at least 15 years. The initial capital cost of the project is calculated at C$31.5 million with production costs per tonne of tin estimated at $12,646, excluding capital costs, taxes and royalties.

The company has also revealed encouraging optical ore-sorting test results showing the technology has the potential to reduce both capital and operating costs and to reduce the volume of tailings generated from the proposed operation. The company plans to investigate the benefits of the technology further by undertaking a detailed sampling campaign and extensive bulk test work program over the next six months.

The International Tin Association comments that “Avalon is pitching the East Kemptville project based on its green credentials, with environmental remediation of legacy mine issues a priority for the project. The timing is appropriate as ensuring responsible sourcing of tin is fast emerging as a critical issue for many tin consumers. The project is currently deemed viable at tin prices of above $20,000, although plans to investigate integrating optical ore sorting into the design may result in further cost improvements.”