Cornish Metals has launched an approximately €160 million equity financing for its South Crofty tin mine in Britain, with support from Glencore, Vision Blue Resources and the UK’s National Wealth Fund, as the company works towards restarting commercial production in mid-2028.
The fundraising could enable the release of approximately €184 million in previously issued secured bonds, which remain in escrow until specified financing conditions are satisfied. The equity transaction has not yet been completed and remains subject to shareholder approval and other conditions.
Approximately €65 million of the proposed equity financing represents existing debt and accrued interest expected to be converted into shares, rather than new construction funding. The bond proceeds have also not yet become available for drawdown.
South Crofty financing and development costs
Cornish Metals estimates mine-development capital expenditure at approximately €220 million, within a broader funding and expenditure programme of around €359 million.
The financing structure would provide a substantial funding package for the historic mine, although the project has not yet reached financial close. Completion of the equity raise, shareholder approvals and release of the secured bond proceeds remain key requirements before the company can advance its development plans.
South Crofty benefits from existing underground workings, geological knowledge and infrastructure. Rehabilitation, processing facilities and compliance with modern environmental requirements still require significant investment.
Glencore secures six-year tin concentrate agreement
Glencore has conditionally agreed to invest approximately €13.3 million in Cornish Metals and signed a six-year agreement to purchase 100% of South Crofty’s tin concentrate production.
The offtake agreement establishes a commercial route for the mine’s future output and supports the project’s financing case. However, purchases depend on the mine being constructed, commissioned and brought into production; the agreement does not itself provide construction finance. Tin is used in electronics, solder, semiconductors and advanced manufacturing, while European mine supply remains limited. South Crofty could therefore become an additional domestic source of primary tin for European industrial supply chains.
UK support for domestic critical-mineral production
The participation of the UK’s National Wealth Fund gives the financing package a public-policy dimension, as Britain seeks to improve domestic access to minerals required for advanced manufacturing and reduce dependence on concentrated overseas supply chains.
The next milestones are completion of the equity financing, receipt of shareholder approvals and release of the secured bond proceeds. Meeting these conditions would move South Crofty closer to its planned mid-2028 production restart.
