The five tonne shipment of high grade tin concentrate assaying 62.7% was dispatched from Zeehan late yesterday afternoon.
The shipment will help establish the logistics chain and commercial arrangements under the Traxys agreement, and provide a European smelter with a trial parcel of tin concentrate ahead of future shipments.
Aus Tin will receive a provisional payment for 95% of the contained tin adjusted for treatment charges and penalties, with the balance calculated on receipt of final assays and weights from the smelter, the company said.
The tin price was US$20,950 per tonne overnight, continuing an upward trend that has marked 2017 due to falling LME stockpiles.
CEO Peter Williams acknowledged the first shipment was achieved after some operational challenges, primarily harsh wet weather that hampered the company’s ability to construct key infrastructure, notably the new tailings storage facility and waste rock emplacements at the west coast operation.
The company also had to overcome recovery issues with the primary jig since the offtake agreement was signed almost a year ago.
Separately, the junior said it expected the development application for its Taronga Stage 1 open pit project near Emmaville in New South Wales to be assessed by the Glen Innes Severn Council in November, following studies to address some environmental queries from the regulator.
Aus Tin also noted it had recently secured the exploration rights for other mineral groups over the Taronga and Torrington projects, as it prepared to assess the potential for lithium.
Taronga is the company’s flagship development, and is poised to become the company’s second tin operation allowing the exploitation of 57,200t of tin plus 26,000t copper and 4.4 million ounces of silver.
Finally, the junior is trialling new drilling methods after it abandoned attempts to use a Shaw drill at Mount Cobalt in Queensland due to a slow penetration rate and low core recovery.
What work was completed has continued to support exploration for cobalt, nickel and copper, Aus Tin said.
Aus Tin shares were steady at 0.9c this morning.
