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- Stellar Resources (SRZ) has drilled an extra two holes at its Severn resource and is currently reviewing phase two of drilling at the Heemskirk Tin Project
- Stellar is targeting depths below historical mines — where it expects transition to tin mineralisation may have occurred
- An initial seven holes were drilled, for around 3000 metres, and now two more holes for 1900 metres have been drilled to target depth extensions below the Severn resource
- The company says drilling permit applications for the phase two program have been lodged and are expected to be in place by the end of next month
- Drilling is expected to start in May — depending on rig availability
- Looking forward, phase two of the drilling program is under review and may be further revised to include results from phase one
Stellar Resources (SRZ) has drilled an extra two holes at its Severn resource and is currently reviewing phase two of drilling at the Heemskirk Tin Project.
The Severn resource is the largest of the Tasmanian Heemskirk Tin Project deposits.
Drilling re-started last month targeting depth extensions of four key historically mined silver–lead lodes in the highly mineralised Zeehan district.
The historical mines typically produced ore with silver grades between 20 to 100 ounces per tonne of silver from fissure veins ranging from a few centimetres up to 2.7 metres wide mined over lengths of up to 300 metres.
Stellar is targeting depths below these lodes, where it expects transition to tin mineralisation may have occurred.
An initial seven holes for around 3000 metres were drilled, and now two more holes for 1900 metres have been drilled to target depth extensions below the Severn resource.
The company says the phase one drilling permit applications have been lodged and are expected to be in place by the end of next month.
Last week, Stellar raised $3.6 million for the drilling work.
Technical Director Gary Fietz said the capital raise places Stellar in a “strong financial position” to undertake the developments at Heemskirk.
Stellar has requested that drilling start in May — however, this will depend on rig availability.
Further, the company is completing an application for the Tasmanian Government Exploration Drilling Grant Initiative, which would provide five $50,000 grants for the Phase 1 program holes.
Looking forward, phase two of the drilling program is under review and may be further revised to include results from phase one.
For phase two, Stellar is considering an infill drilling program for the Severn and Queen Hill deposits which it says is required to upgrade a significant part of the inferred resource to an indicated resource to support a pre-feasibility study (PFS) and bankable feasibility study for the project.
In addition to the infill program, other project work and studies are under review. According to the company says many of the work streams and studies have already been completed to a PFS level and work towards completion of the Development Proposal and Environmental Management Plan has progressed.
Acknowledging an increasing demand for tin and global supply shortages, Stellar says it is in good stead to take advantage of the strong tin prices (reaching over US$30,000 per tonne recently) as it’s the highest grade tin resource in Australia and the second highest globally.
Shares are 4.3 per cent higher at 2.4 cents each at 1:19pm AEDT.
