Former Van Dieman Mines Assets up for Sale (Tin)

TASMANIA, Jun. 3 -- The liquidator of the Tasmanian tin projects formerly controlled by Van Dieman Mines Pty Ltd is inviting expressions of interest by 10 June for the purchase of alluvial tin resources and associated mineral processing equipment located near Gladstone, in North Eastern Tasmania. The assets are now controlled by Gladstone Tin Pty Ltd and include: mining and exploration licences; planning and environmental approvals; processing plant and equipment and associated infrastructure; and a core team of personnel with significant knowledge of the resource and associated equipment. Interested parties shortlisted by the liquidator, Paul Cook & Associates of Hobart, will then receive access to detailed data for due diligence purposes.

VDM went into administration in February last year following continuing start up problems and the refusal of major shareholder Galena Special Situations Master Fund to advance further funds. The Scotia and Endurance projects had a planned capacity of 1,300 tpy of tin-in-concentrates and were also expected to generate by-product revenues from sales of sapphires. However tin ore grades were lower than expected and very few sapphires were recovered in trial mining.