AfriTin Mining has announced that it has raised £3.8 million through the issue of unsecured loan notes.
The company has also provided an operational update at its flagship Uis Tin Mine in Namibia which is in the commissioning phase.
Anthony Viljoen, CEO of AfriTin Mining comments:
“I am pleased to announce the raising of £3.8 million by way of a convertible loan note, anchored by AfriMet. We have been collaborating with AfriMet to establish multiple channels for revenue generation from the trade in Tin and Tantalum products as well as offering participation to our existing shareholder base, who have also subscribed to the loan note.
“The proceeds of the funds will be used to fund working capital requirements relating to the progress of the project towards the studies for Phase 2 expansion at Uis and initial testwork on the lithium discoveries within the pegmatite ore body.
“Ramp up at the Processing Plant has progressed slightly slower than expected due to the delay in receiving grid power. The connection in grid power is now complete and this will allow for testing of final processing refinements for the ramp up to steady state Phase 1 levels into 2020.”
Mining operations at the Uis tin mine are performing well and approximately two months of stockpiled ore has been delivered to the plant.
The construction of the grid power connection is completed and energized. There was a slight delay to the original time frame, mainly due to the procurement processes of the Namibian Power Corporation.
This has resulted in some plant availability issues which are now expected to be resolved.
At the processing plant, the crushing circuit has been performing in line with the company’s expectations. The final outstanding commissioning and ramp up activities are focused on the concentrator circuit which has required a series of refinements to balance the material flows and dewatering of the ore.
Good progress has been made in fine-tuning these circuits and ramp up is progressing week after week. The final product is delivering a saleable tin concentrate with low contaminant values.
Accordingly, AfriTin is preparing to make a proportionate first shipment of tin concentrate towards the end of the month. Future shipments will upscale in size as the ramp up of Phase 1 production continues.
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Overall ramp up of Phase 1 is progressing well but full nameplate capacity of 60 tonnes per annum is now expected to extend into 2020 post commissioning completion.