MAJOR plans to re-open an iconic tin mine in Pool near Redruth have been given a £28.75-million boost.

Cornish Metals has received the strategic investment from the HM Treasury National Wealth Fund towards restarting South Crofty Tin Mine.

The mineral exploration and development company is undertaking a proposed fundraising to raise a minimum of £56-million towards bringing the mine back into production.

Perran Moon, the Labour MP for Camborne and Redruth, believes the funding is a “massive leap” towards tin being brought to the surface of a Cornish mine once again after a 27-year absence, with hundreds of new, high skilled, secure jobs being created locally.

Mr Moon said: “This is hugely exciting news.

“It’s the news we’ve been waiting for, for months. The Cornish Metals management team have been working tirelessly to secure the investment to support South Crofty’s future as a viable tin mine once again.

“Although the National Wealth Fund makes up a sizeable chuck of the investment, it’s not just about that £25-million government investment.

“Because South Crofty now has the backing of the National Wealth Fund, which is owned by the Treasury, it acts like a stamp of approval from government and has signalled to private investors that the project is of nationally significant importance to the UK economy. So private investors can pile in to support Cornish Metals too.

“I have been banging the drum for Cornish tin mining since well before the General Election and now in government, with various ministers. It almost goes without saying that the Cornish Metals team have my full support, and I know that the community has their back too.

“Tin is a vital component in the production of virtually every electrical device we use and is essential to our transition away from a fossil fuel-reliant economy.

“Demand for tin is therefore likely to increase exponentially over coming years.

“Currently the UK imports our tin from all over the world, with the huge carbon footprint that that entails.

“That environmental impact is largely removed is we’re able to secure domestic supply and processing. And here in Camborne and Redruth we sit on the highest-grade unmined tin in the world! And there’s a lot of it.

“Under this Labour government, Cornish tin mining is back.”

A spokesperson for Cornish Metals said: “As part of the fundraising, the Company has announced that it has conditionally raised up to £28.75-million by way of a strategic investment by the National Wealth Fund Limited, a company wholly-owned by HM Treasury.

“Subject to shareholder approval and the issue of the Second Tranche New Shares, the fundraising will enable the company to further de-risk the South Crofty Project and advance it towards a formal final investment decision by bringing the South Crofty Project nearer to production by funding approximately £20-million of the South Crofty Project’s initial capital expenditure requirements.

“Commencing early project works, including initial construction of the groundworks for the processing plant.

“Placing orders for long-lead items of plant and equipment; and advancing detailed project engineering studies.”