Member Info for Valuation-it-is

In Falmouth this week. Ken Armstrong Interim CEO will speak for 20 minutes 10.25 to 10.45 on Wednesday 12th.

There will also be a visit to South Crofty on Friday 10am.

Gingy and...

Water Permits

All infrastructure for comprehensive water management of the site was previously established by Wolf

Minerals and successfully operated during the previous three years of operations. The Company

proposes that mining will recommence at the Hemerdon site and has obtained the approval of the various

discharge permits, water impoundment licences, and water abstraction licences and is currently

undertaking water monitoring to support the applications to re-secure the remaining necessary permits

and licences. From the work to date, there are no known issues or changes in circumstance that would

represent an impediment to obtaining the various water use and water abstraction permits and licences,

therefore the Board is confident the final remaining applications will be forthcoming in due course.

Gingy and...

Mine Waste Facility Permit

The Company’s waste disposal strategy involves waste rock from the open pit being used to progressively

construct the Mine Waste Facility embankments, with tailings continuously deposited and contained in

a lined basin within the Mine Waste Facility. Operations at Hemerdon were previously authorised by a

bespoke Environmental Permit for a Category A Mine Waste Facility, issued by the Environmental Agency.

The Mine Waste Facility was constructed to a high standard and there have been no known historical

environmental issues associated with the Mine Waste Facility. The facility has been maintained during

the interim care and maintenance period and the Company has recently been audited for its ISO14001

environmental management certification. The Company has applied for the re-enactment of the previous

permit and is confident that the reinstatement of this permit will be forthcoming in a timely manner.

Mineral Processing Facility Permit

The activities within the mineral processing facility at Hemerdon fall under the Environmental Protection

Act (1990) and the Environmental Permitting Regulations (2016). Wolf Minerals previously held a mineral

processing facility permit regulating the crushing, grinding and processing of metal ore. During the

operation of the mine under Wolf Minerals, a few items of equipment were installed which had created

low frequency noise and infrasound, which disrupted local communities, leading to the Environmental

Agency to designate the project High Public Interest. Such designation will follow a similar process as

an ordinary determination, however, there may be an extended determination period of up to four months

with a public consultation period of 4 weeks during the High Public Interest determination to allow

interested parties to review and comment on the potential decision.

Since acquiring Hemerdon, the Company has undergone environmentally driven modifications and

engaged in regular and constructive dialogue with both the local community and the Environmental

Agency to ensure all previous concerns have been addressed and has recently reapplied for the mineral

processing facility permit to be reissued.

Gingy and....

Planning permission for the operation of the Hemerdon Mine is in place by virtue of the permission

DCC/3823/2015 granted on decision notice dated 16 February 2017 the variation of (i) condition 3 of

planning permission 9/42/49/0542/85/3 to allow the continued extraction of tungsten and tin, the

processing and disposal of mineral waste until 5 June 2036 and (ii) removal of condition 13 of planning



















   







 















 





30

permission 9/42/49/0542/85/3 to remove the restriction of the operating hours of the primary pressure at

Drakelands (previously Hemerdon) mine.

In connection with the planning permission there is a planning agreement in place pursuant to Section

52 of the Town and Country Planning Act 1971 dated 5 June 1986 (the “Section 52 Planning

Agreement”). The Section 52 Planning Agreement requires certain properties within or nearby the

Hemerdon Mine to either (i) cease to be permanently occupied for residential purposes but only if those

properties or any of them have been purchased by the operator; or (ii) have ceased to be permanently

occupied for residential purposes. Drakelands Restoration either owns or leases the properties (or the

land on which such property (now demolished) was situated) subject to the Section 52 Planning

Agreement.

Further information in relation to environmental regulations and permits is set out in Part 6 (Competent

Person’s Report).

As a result of Wolf Minerals entering into the receivership process, a number of permits were forgiven or

lapsed, accordingly the Company has re-applied for a number of operating permits. Although the

permitting regime for a mine in the UK is complex, the Company is able to build on the historically

negotiated and approved applications and, through its planned upgrade works, has also been able to

demonstrably improve in areas where there were concerns with the previous operations. The Company

has seen significant local support for the reopening of the Hemerdon Mine and the UK Government has

also indicated its support as Hemerdon represents a strategic mineral resource project.

Gingy Pernitting was mentioned in the early documentation......

Regulatory, planning and permitting overview

Mineral development proposals in the United Kingdom are subject to the planning process and the

environmental regulatory regime; both regimes are separate but complementary. Planning permission

controls the development and use of land, and the focus is whether or not the development itself is an

acceptable use of the land and the impacts of those uses. Planning conditions within a planning

permission can address some of the environmental issues that are incurred due to the mineral

development such as noise, dust, traffic, site restoration and aftercare. More substantive environmental

issues need to be controlled under the environmental permitting regime where such facilities could harm

the environment or human health unless they are regulated.

In England, mineral development is regulated by the Town and Country Planning Act 1990. The planning

permission for mineral development is the approval for such development and is granted and monitored

by local MPAs. Planning consent is obtained through the preparation and submission of a planning

application, which includes, in nearly all planning applications for mineral working, an environmental

statement prepared as part of an environmental impact assessment process. This ensures that the MPA

has sufficient information in respect of all relevant environmental matters impacting the site. The

application is reviewed by the MPA following consultation with relevant statutory consultees and having

regard to both national and local planning policies, environmental impacts and other material matters.

Separate licences and permits relating to mineral extract are required in the vast majority of cases. Such

licences and permits are regulated by the Environmental Permitting (England and Wales) Regulations

2016. It is a separate but parallel process to planning permission and is used to ensure the operation of

the development does not cause harm to the environment or human health. In England, the

environmental regime is administered by the Environmental Agency. The Environment Agency also

advises the MPA in setting environmental conditions on the planning permission as part of their function

also as a statutory consultee in the planning process. The mine waste facility permit, water discharge

permits, mineral processing permit, water discharge permit, water abstraction permit and water

impoundment permits at Hemerdon Mine fall under the Environmental Permitting (England and Wales)

Regulations 2016, the Water Resources Act 1991 (as amended), and the Environment Act 1995.

Croissant, just to be clear - I was referring to what was said not what was written , at the time of the IPO.

I conclude from the RNS about the Loan notes that funding from tranche D finances them into Q3 when the feasibility study is will be complete. I wonder if that work will now be held up with the departure of the CEO?

I suspect it will take a couple of months for the EA to deliberate again. i.e announcement around end July.

So if a tranche E is needed before permit decision, it will not be for a big sum.

Meanwhile two major positives have arrived. 1. the APT price has moved up significantly, making the project even more attractive, and we are now only 18 months away from a ban on US firms using tungsten from Russia or China. Likely to give a huge boost to Hemerdon's prospects.

Croissant - What was said during the original pitch prior to the 60p IPO, was that the project had had a permit before, so there should not be too much trouble re-instating it/ re-applying. How wrong that was....................

Croissant Shrewd comment.

It is interesting that MT re-launched his profile with his King of Tin, Vox interview recently. Whilst beneficial to a number of his endeavours,- 1SN, Godolphin X, and TUN, it served to remind people of his knowledge and intellect. Having said that, I think the interview was almost certainly setting the scene for the Mining conference coming up in Falmouth next week and for 1SN and GX, rather than a play for CEO position at TUN.

The tin price has risen about 24%, whilst the share price of CUSN has fallen about 25%.

Given CUSN's South Crofty is one of a handful of projects nearing production in the next 3 years, you might expect a quite close correlation between the tin price and the share price. Perhaps as we get nearer and nearer to production the gap will narrow. This may signal a buying opportunity.

Another company First Tin (1SN) has also seen a reduction in this obvious correlation but to a much lesser extent as its share price has risen by around 18%.

The two leading hopefuls in the quoted mining sector in the South West, Cornish Metals Inc and now Tungsten West have both lost their CEOs within three months of one another. CUSN has an interim CEO as does TUN as of today.

Good leadership is in short supply.

There appears to be an anomaly in the market for these two shares. The value of the assets they hold is way above their market caps. The outlook for the metals they produce is extremely promising (see the link below to MT's discussion), Both companies are close (around 2 years) away from production - a short time in mine development terms. Both have world class deposits. It is the provision of finance which is proving difficult to obtain.

Who has the finance? The big mining companies with established operations and cash flow. All that is needed now is for one of them to buy the various companies in the SW assemble them under one umbrella with one set of good management and then provide them with the finance they need to complete the final hurdle before production.

I would be very surprised if one or more large mining companies are not now looking at the the SW with a view to consolidating the activities. The loss of another CEO can only make this more likely.

Hi Trunky

What does it say/ please provide a link/copy and paste?

Good morning all.

Propinquity on the SML board posted this excellent interview with Mark Thompson. It relates to the outlook for tin- the second most important component in the hoped for TUN revenues.

If you do nothing else with your investments today, listen to this. Seldom do you hear such a well informed person talking about the tin market. Thanks to Propinquity.

Https://www.voxmarkets.co.uk/articles/q-a-with-mark-thompson-the-king-of-tin-bb16dc6/

If you do nothing else with your investments today, listen to this. Seldom do you hear such a well informed person talking about the tin market. Thanks go to Propinquity on SML for this posting.

Https://www.voxmarkets.co.uk/articles/q-a-with-mark-thompson-the-king-of-tin-bb16dc6/

Prop.

Our chances in the grant application process are a complete unknown to me - sorry not to be able to add anything.

Prop.

MT's comments about where are the people going to come from, leads me to think we need some consolidation amongst the small SW mining companies. At current share prices this is perhaps the time when it could happen. But who has the finance, capability and is willing to do it?

As ever, a tremendously positive MET. Many thanks for posting it Prop.

Good morning Croissant and Lovely Boy

Great post Croissant - thanks. A question arises in my mind which is if noise is detected at a receptor of +5-10 decibels

how does anyone know which of the various quarries / mines in the area it comes from? Perhaps the noise results from a combination of the output from several of them. Are all of them going to be required to shut down if noise exceeds +10?

One wonders what difference existing quarrying activities make at noise receptors when they start work ?

GLA

Vii

Https://cornishmetals.com/site/assets/files/4962/0423037_south_crofty_pea_-_24_may_2024_sedar.pdf

Https://news.umich.edu/copper-cant-be-mined-fast-enough-to-electrify-the-us/

Good news for UD, and upper levels of SC.