Cornwall Resources receives $9.25m U.S. Govt. Funding Investment

Strategic Minerals, an international mineral exploration and production company, is pleased to announce that the U.S. government has invested US$9.25m of funding in its wholly owned subsidiary Cornwall Resources Limited to significantly accelerate the Redmoor tungsten-copper-tin project, located in Cornwall through all feasibility studies, and towards a final investment decision for mining.

Redmoor is Europe’s highest-grade, undeveloped tungsten resource, and one of the highest-grade tungsten projects globally.

The investment reflects U.S. Government support for the development of a secure and resilient allied tungsten supply and recognises Redmoor’s potential importance to U.S. and allied advanced manufacturing, defence, and critical minerals supply chains.

The investment is non-dilutive and has no restrictions on future funding or offtakes. Together with the Company’s existing cash resources and other grant funding opportunities, the investment will allow Cornwall Resources Limited to accelerate beyond the previous pre-feasibility study milestone, with a new target of the completion of a full definitive feasibility study as the final economic study prior to a final investment decision.

The investment will support an engineering programme consisting of:

• ongoing resource infill and expansion drilling, as well as geotechnical and metallurgical drilling, and other site investigations for feasibility studies;
• Mineral Resource Estimate updates and subsequent Reserve conversion;
• prefeasibility and definitive feasibility studies;
• metallurgical, processing and engineering studies; and
• pre-site development activities aimed at fast tracking the route to underground mining.

Mark Burnett, Strategic Minerals Executive Director, commented:

“This programme provides further additionality to the Company’s plans to integrate and accelerate Redmoor through feasibility. Whilst not guaranteed, further U.K. domestic support for Redmoor is currently also being investigated.”

“The Board would like to thank the Cornwall Resources Limited team for their hard work and dedication to Redmoor. Their work has positioned the project for this investment, including through an intense application and contracting process, and a recent trip to Philadelphia to discuss its project proposal in person with senior government officials.”

Dennis Rowland, Cornwall Resources Limited Managing Director, commented:

“The programme at Redmoor has expanded significantly in the last two years, through resource and economic sensitivity analysis updates, and now delivering the largest, continuous, diamond drilling programme from surface drilled in Cornwall, designed to facilitate data collection for both of the project’s feasibility studies.”

“It has been our intention to pursue all means to accelerate Redmoor towards full feasibility and then into mining, as quickly and efficiently as possible. This transformational funding will add significant momentum and support for Redmoor’s accelerated development. It helps eliminate funding uncertainty and risk between Redmoor’s feasibility development stages and positions the project for rapid development through integrated workstreams.”