Cornish Metals Completes an Updated PEA of the South Crofty Critical Mineral Project with an NPV of £180 Million and 20% IRR

Core Viewpoint - Cornish Metals Inc. has released an updated Preliminary Economic Assessment (PEA) for its South Crofty tin project, highlighting its strong economic viability and potential to be the first primary tin producer in Europe or North America [1][4]. Project Development - The project has accelerated following a successful £57 million fundraising, which included investments from the UK's National Wealth Fund and Vision Blue Resources [2]. - A detailed capital expenditure (capex) review has been conducted, incorporating process design and plant layout [2][3]. - On-site construction is already underway, with key assumptions validated and project parameters optimized [3]. Economic Metrics - The updated PEA indicates an after-tax Net Present Value (NPV6%) of £180 million (approximately US$235 million) and an Internal Rate of Return (IRR) of 20% [4]. - The All-In Sustaining Cost (AISC) is estimated at approximately US$14,500 per tonne over the Life of Mine (LOM), positioning South Crofty in the lowest quartile of the industry cost curve [4]. - Pre-production capital costs are estimated at £198 million, with a payback period of 3.3 years and an average annual EBITDA of approximately £70 million in the first five years of full production [4][6]. Resource and Production Outlook - The current Mineral Resource supports a 14-year LOM, with potential for expansion as the resource remains open at depth and along strike [5][8]. - The project aims to restart underground resource conversion and expansion drilling alongside mine construction, targeting a continuation of historical resource replacement trends [5][8]. - The average annual tin production is projected to be approximately 4,700 tonnes in the first five years, contributing to a total LOM tin production of slightly above 49,000 tonnes [30][45]. Community and Government Support - The project is backed by the UK Government's Critical Minerals Strategy, with expectations to create over 300 direct jobs and an additional 1,000 indirect jobs [11][55]. - A human resources plan includes establishing an on-site training center to develop local talent for mine operations [11]. Environmental and Operational Considerations - South Crofty is designed as a low-impact underground operation with no surface tailings disposal, utilizing 100% renewable electricity supply [12][55]. - The project incorporates best practices for safety and productivity, including real-time monitoring systems [10].