Rome Resources (AIM:RMR) shares rose 7.46% to 0.36p after commencing a small-scale tin mining programme at the Kalayi project in the Democratic Republic of Congo, the company said.
The programme targets shallow cassiterite-bearing quartz veins near prior trenching and is intended to generate geological, metallurgical and processing data to feed an updated Mineral Resource Estimate.
Site teams have reported portable XRF readings of up to 17% tin in exposed shaft walls, a small washing plant is expected to produce a 60-80% tin concentrate for sale via the State facility at Walikale, and operations are expected to produce modest revenues with capital expenditure.
Rome says the work will improve understanding of the vein system and that the scale of operations is not expected to materially impact Kalayi's resource potential.
Successful conversion is expected to remove the requirement for a local partner and facilitate the proposed acquisition of the remaining 27.5% interest in Kalayi Tin SARL, which would lift Rome’s stake to approximately 79%, with the proposed acquisitions announced on 17 April remaining subject to binding agreements.
"Converting the current permit into a full mining licence is central to that process, it unlocks the proposed acquisition of the remaining interest and takes Rome Resource's ownership to approximately 79% in the Kalayi Project," said Paul Barrett, Chief Executive Officer.
The company expects to receive outstanding assay results from recent drilling very shortly and will update the market on those assays and the revised Mineral Resource Estimate thereafter.
