We will start up with a steady state 65 tonnes per month.
All of our areas are fully licensed so we can start mining straight away.
Anthony Viljoen, chief executive
What it owns
Uis is a formerly producing mine that was shut down more than 20 years ago when the tin price hit a nadir.
AfriTin (LON:ATM) is now working to restart the operation.
According to a historic resource estimate prepared by SRK, Uis has more than 70mln tonnes of ore containing 95,000 tonnes of tin.
The mine plan worked out by SRK says that that’s enough to allow for production through to 2063, although initially, AfriTin has much more modest goals.
In February, AfriTin added it had discovered significant grades of lithium, in addition to tin, in pegmatites in the ML 133 Licence, located in the Nainais area of Nambia.
ML 133 is outside of the current development area at the Uis tin mine.
In November, AfriTin raised £3.8mln through the issue of unsecured and convertible loan notes to tin trader AfriMet Resources and major shareholder The Orange Trust.
The Namibia-focused group also said it expects first tin concentrate to be shipped from the Uis mine this month with production to rise to 60 tonnes per month early in the New Year, which is a slight delay due to issues connecting to the grid.
Money raised from the loan will fund this ramp-up, phase 2 studies and also tests on the lithium discovery within the pegmatite ore body.
The notes have a term of 18 months and coupon of 10% per annum payable on redemption or conversion, which is at a price of 4p per share or a 36% premium to the previous night's close.
One of the lenders AfriMet is a subsidiary of Switzerland-based ferrous and non-ferrous commodity merchant, Vanomet, a major trader of 3T metals (tin, tantalum and tungsten) and minerals sourced from Africa.
What the boss says; Anthony Viljoen, chief executive,
“We have been collaborating with AfriMet to establish multiple channels for revenue generation from the trade in tin and tantalum products.
“Our mining activities are proceeding as planned and there are two mining areas producing ore.
"This bodes well for our steady-state production requirements in the future.
“We should ship our first tin concentrate from Uis at the end of November, a noticeable achievement for the company.”
- Ore already being stockpiled
- First concentrate shipment in November
- Hits nameplate of 60t per month early in 2020
- Bankable study for phase 2 upgrade