Cornish Metals Share News (CUSN)

(Sharecast News) - Cornish Metals said on Wednesday that work at its South Crofty tin project in Cornwall was progressing across multiple surface and underground workstreams, with strong tin prices continuing to support the project's economics.

The AIM-traded mineral exploration and development company said the current tin price of about $53,000 per tonne supported an estimated net present value, at a 6% discount rate and current spot prices, of around £500m for the wholly-owned and permitted project.

Cornish Metals said surface civil works at the Roskear shaft had been completed, with the winder house now under construction.

The new workshop and stores facility is nearing completion, with only minor exterior works and landscaping remaining, while the new Cook's Kitchen offices are now open alongside upgraded security, site access and welfare facilities.

Construction of infrastructure for the north and south winders is underway to support planned mechanical installation in the second half of 2026.

Orders are also being placed for long-lead items, including shaking tables for the process plant and skips and cages for the Cook's Kitchen shaft.

The company said front-end engineering design for the process plant had been completed by Ausenco, with detailed engineering now being progressed.

Excavation at the pre-concentration building is about 50% complete and civil works are expected to continue through 2026.

Underground, dewatering is underway through the fully commissioned 195-level pump station for the first time in more than 28 years.

The company said dewatering remained on track towards the 400-level, around 730 metres below surface, in the first half of 2027.

Development at the 25-level, about 45 metres below surface, is advancing and is being used as a training facility for newly recruited miners.

Cornish Metals said the level would also support future rock-handling and skip discharge infrastructure.

Pre-production development at the 290-level, around 530 metres below surface, is now expected to start in the fourth quarter of 2026, from a previous target of the third quarter, with the underground drilling programme expected to begin shortly afterwards.

At Roskear, early-stage refurbishment preparations are continuing, with scaffolding in place, the shaft cover removed and work platforms being installed.

The shaft is planned to serve as the mine's primary ventilation shaft and secondary means of egress.

Chief executive officer Don Turvey said the company was seeing "continued strong progress" across multiple work streams at South Crofty.

"Underground activities are progressing with dewatering underway through the fully commissioned 195-level pump station for the first time in over 28 years," he said.

"Development at the 25-level continues to advance and is also being used as a training facility for newly recruited employees."

Turvey said developing a skilled workforce remained a key priority as South Crofty moved through development and towards production.

Cornish Metals said it was also in the final stages of appointing an independent non-executive director following Ken Armstrong's retirement from the board.

At 1204 BST, shares in Cornish Metals were down 2.3% at 106p.

Reporting by Josh White for Sharecast.com.

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