Tin producer Andrada Mining, which has a portfolio of critical raw materials mining and exploration assets in Namibia, has secured a $2.5-million loan from LC Abelheim as a trustee of the Orange Trust – Andrada's largest shareholder.

The loan will fund the construction of a second 100 t/h tin processing jig plant at Andrada's flagship Uis mine. The plant, comprising of a three-stage primary crushing and screening circuit, a jigging section and shaking tables, will have the capacity to process a range of tin ore grades.

To accelerate Andrada's tin expansion strategy, management has determined that this shareholder loan is the most efficient funding mechanism.

The loan ensures speed and flexibility to expedite the construction of the plant, enabling the company to significantly boost tin production by extracting value from stockpiles derived from the proximal pegmatites at Uis and higher-grade ore from regional mines.

"This strategic investment reflects our confidence in the abundant tin resources of Namibia's Erongo region and, particularly in the Uis mining licence. We anticipate a surge in tin demand over the year which, when combined with Andrada's entrenched position in the global tin supply chain, creates a unique competitive advantage for the company.

"The additional plant provides a modular pathway to scale up operations within our existing mining footprint as we evaluate new pits and validate historical resources. Importantly, the new plant will operate independently, ensuring there is no disruption to current mining activities or to the ongoing expansion aimed at boosting tantalum and lithium revenues at our primary plant.

"This expansion also enables Andrada to explore and initiate production from other high-grade orebodies across the Erongo region. Our integrated approach of expanding tin output while advancing the polymetallic potential of our orebody, should significantly enhance cash flow and improve profit margins," says Andrada CEO Anthony Viljoen.