Mining returning to its hard rock cradle?
The past few weeks have seen two important developments that may presage a return to hard rock mining in England’s southwest - the region that some 150 years ago was the base metal producer for the world. On December 4, Wolf Minerals (UK) - a wholly owned subsidiary of Australian-based Wolf Minerals - annonuced it has agreed terms to restart the mining of tungsten and tin at Hemerdon, near Plympton, Devon. Hemerdon already has agreed planning permissions in place for this activity, dating back to 1985 and valid for 35 years. The site is identified as an economically important mineral reserve for the county and UK plc, under Devon County Council’s adopted Minerals Local Plan. Hemerdon is no stranger to mining - history shows that tungsten was first discovered there in the 1860s and was mined during both World Wars.
Hemerdon is a hugely important mineral resource - containing one of the largest known tungsten and tin deposits in the Western world, Wolf reports - and could meet the UK’s entire needs for these essential raw materials for many years to come as well as generating valuable exports for the country. It would be the only operational tungsten and tin mine in the country.
Wolf Minerals (UK) has agreed a 40 year lease with the Hemerdon Mineral Trust on the site which is estimated to hold 40 Mt of tungsten and tin ore. It is anticipated that the company will mine 3,000 t/y of tungsten over an approximate 15-19 year period.
Managing Director of Wolf Minerals, Humphrey Hale: “The world market in tungsten and tin is incredibly strong - both metals command high prices. We’ve searched the globe and Hemerdon is a world class mineral deposit. It is an extremely important asset to the UK and will contribute significantly to the export market. The local economy would benefit greatly from the re-opening of this facility. China’s booming economy remains the largest market for this metal but its own reserves are running out and Russia’s stockpile is also depleting. We will now be looking to revise the planning permissions already in place for Hemerdon to make sure they meet modern mining practices and the highest environmental standards. We are very pleased to be at the forefront of the revitalisation of mining metals in the UK and the rewards this will bring for the South West economy”.
Hemerdon already has long industrial heritage and Imerys has a large-scale opencast china clay operation which has been extensively mined in the immediate area since the mid-19th century - historically the area has been shaped by mining, which until recently was a major employer in the area.
Humphrey said: “We recognise there will be immediate local concerns about reopening the mine, however, we will be dealing with concentrated materials. As such there will be significantly fewer lorries transporting material to the docks compared with the current mineral operations. We are about to start our feasibility and analysis stage and will undertake to consult with the community early in the process before we formulate any detailed plans”.
Reviews of the historical core materials and on-site tests have already been commissioned by Wolf Minerals to assess the most effective and sustainable way to mine this established site of significant mineral deposits. Around £8 million will be spent by Wolf and Wolf Minerals (UK) Ltd in preparing feasibility plans prior to any mining operation. Subject to revised permissions being granted by Devon County Council, it may take up to three years before the mine becomes fully operational at Hemerdon.
Wolf Minerals specialises in tungsten and specialty metal exploration and development. It holds the right to seven exploration licences in New South Wales, Australia, targeting tungsten and tin.
Last month, it seemed that progress towards the resumption of commercial tin production at the South Crofty tin mine in Cornwall should be accelerated following the formation of a new mining company. Western United Mines is a newly formed company which will own and operate the South Crofty mine. Baseresult Holdings, which bought South Crofty in 2001, is the majority shareholder in Western United alongside Cassiterite LP, an investment vehicle that is acting for, amongst others, Galena Asset Management, a subsidiary of global commodity trader Trafigura Beheer.
With new investment, management expertise and experience at board level, the work to resume tin production over the next two years will play a key role in local regeneration. In excess of £3.5 million will be spent by June 2008 on continuing the mine development. Tunnelling and exploration drilling activities begun by Baseresult earlier this year will continue with this injection of fresh capital bringing the total investment by that date to £9 million. The further £50 million of investment required by the time the mine starts production, which is projected for the end of 2009, has been earmarked. Staffing levels have already increased from 17 to 26 and, by July 2008, that figure is expected to have risen to 35 full-time employees. The mine has recently taken delivery of drilling and loading equipment from Atlas Copco.

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