asbah Resources Limited (“Kasbah” or “the Company”) is close to shovel ready on the 75% owned high grade Achmmach Tin Project (“Achmmach”, or “the Project”), located in northern Morocco.
The recently completed DFS delivered a financially viable, 10 year, 750,000tpa underground operation, with estimated operating costs in the lowest quartile of those globally and with reasonable capital requirements; the planned operation is expected to produce a high grade, 60% tin concentrate with good, +77% tin recoveries. There is also significant resource, and hence mine life upside in undrilled areas of the mineralised trend, and as such the 10 year operation could be considered as a base case for a longer term mine.
A key strength is the Joint Venture (“JV”) on the Project with Japanese companies Toyota Tsushu Corporation (“TTC”, 20%) and Nittetsu Mining Co (“Nittetsu”, 5%), with both parties bringing particular skills and strengths to Achmmach. Amongst others, TTC is one of the world’s largest tin traders, sourcing material for the manufacturing activities of its parent, Toyota.
Given the quality and status of the Project, Kasbah is in an ideal position to take advantage of the forecast strength in tin markets, with Rio Tinto being of the view that tin is the metal to be most impacted by the development of new technologies, including electronics and energy storage.
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