Stellar Resources hits 2.75% tin at Heemskirk as price passes US$37,000/t

• SRZ intersects up to 2.75% tin in wedge hole at Heemskirk project
• The results come as tin prices pass US$37,000/t
• Company now completing resource update and PFS work

Special Report: The first wedge hole at the Severn deposit of Stellar Resources’ Heemskirk tin project in western Tasmania has returned up to 2.75% tin.

Heemskirk has a tin resource of 7.48Mt at 1.04% tin, which ranks it as the highest-grade undeveloped tin resource in Australia and third globally.

Stellar Resources (ASX:SRZ) plans to become a future producer of around 3,000–3,500tpa of payable tin – or about 1% of global supply.

A recently extended exploration program comprises 29 holes of diamond drilling for ~12,000m focused on infill and extensions to the 2023 resource estimate.

The first wedge hole at Severn intersected a 25m-wide zone of mineralisation at 0.38% Sn from 539m and infilled previous drilling.

Within this was a high-grade core of 4m at 1.26% Sn from 546m including 2m at 1.92% from 547m and this included 1m at 2.75%.

The company said these results supported the continued resource conversion of the Heemskirk tin system with high expectations to upgrade from inferred to indicated whilst also expanding the resource.

A total of 26 holes and wedges for 11,215m have been completed to date, with two rigs operating and more assays pending.

Listen to more from SRZ: Stellar Resources eyes entry into ascendant tin market

Pre-feasibility work now underway

These results come at a time when tin prices have spiked to more than US$37,000/t, following Indonesia’s crackdown on illegal mining and tighter export controls.

Not only does this highlight ongoing global supply risks but it reinforces the strategic importance of Stellar’s Heemskirk project in a stable Tier-1 jurisdiction.

The company said the results also vindicated the board’s decision to extend the resource and prefeasibility study (PFS) drilling.

This work is progressing well and includes due diligence on the nearby Avebury plant and investigations on the Comstock plant site – with both areas under MOU’s.

“Hitting a 25-metre zone of tin with a high-grade core of 4 metres at 1.26% tin confirms that our geological model is robust and gives us great confidence as we continue the resource conversion program as part of the prefeasibility study,” MD Simon Taylor said.

“Using wedges and navigational drilling techniques are proving to be a highly effective and efficient way to execute this strategy.

“With assays from our second wedge pending and a third already underway, we are continuing momentum on site.

“In a market with strong tin prices and clear supply-side risks, successfully growing and de-risking the Heemskirk deposit in a Tier-1 jurisdiction is a very direct way that we can continue to create significant, tangible value for our shareholders as we progress along the development pathway.”

SRZ anticipates reporting updated resources at Queen Hill and Severn in 2H 2025 and the completion of the PFS in the 1H 2026.

This article was developed in collaboration with Stellar Resources, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.