The Crofty tin mine in England, which has a long history, may soon be put into production again, SMM10 25-month news: England's historic Crofty tin mine may soon be re-put into production.
Vancouver-based Strongbow Exploration owns the Crofty tin mine, an iconic former copper and tin mine in Cornwall. The company plans to re-launch the mine after a dual listing in (AIM), an alternative investment market in London. London-based law firm Fieldfisher advised Strongbow Exploration on the successful completion of a conditional comprehensive acquisition agreement with Orion Mine Finance, a professional mining private equity fund.
Strongbow Exploration announced an agreement with U.S.-based Orion on Oct. 17, another example of the mining industry's use of unconventional financing. The sale agreement signed by both parties stipulates that LME tin warrants, which represent refined tin, will be delivered through LME instead of physical tin. The agreement also stipulates that Crofty tin mine will sell 5 per cent of its tin production business to Orion over the next 10 years.
Under the agreement, Orion will make at least $3 million in equity investments in Strongbow as part of the company's planned AIM fundraising plan. For Strongbow, the partnership agreement with Orion represents further recognition of the Crofty tin mine resumption plan, allowing the company to complete the approval of the AIM plan by the end of the year. The company is preparing to dehydrate the now stagnant mine. Crofty is one of the highest grade tin mines in the world.
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