Having been dropped last November, Tungsten West has resurrected its plans to increase sales and HGV movements of secondary aggregates from its tungsten and tin mine at Hemerdon near Plymouth:
To deliver the Project economically and sustainably, the Company will produce secondary aggregates, a by-product from mining which, once sold, will provide an early revenue stream and reduce the storage of barren rock and associated opex at site.To enable the delivery of the aggregates business, and to optimise the core tungsten and tin business, the Company has submitted a section 73 application to vary the tonnage cap associated with the existing permission for 50 truck movements per day from the site. Traffic and market studies carried out in conjunction with the application highlight that the Company can plug a gap in the market for high-quality, secondary aggregates in Devon with a minimal increase in overall heavy vehicle traffic. Tungsten West has actively involved the local community, local councils and regulatory bodies in the process, participating in regular discussions and offering a direct line to the Company for all stakeholders.
In addition, after the previous operator caused low frequency noise disturbance and sleep deprivation to the local community, Tungsten West has submitted a new permit application to the Environment Agency following plant modifications and noise trials:
The Company has worked closely with the Environment Agency and Devon County Council throughout the entire permitting and noise trial process and anticipates the decision regarding the permit approval to be forthcoming within the coming months.
Lastly, despite having previously announced a near halving of its workforce in June, the company is now looking for a further 25% cut in staff costs:
...Tungsten West has initiated a further evaluation of the financing structure of the Company, whereby spending priority has been given to activities relating to planning and permitting, environmental compliance and funding, as these are essential to the continued progress of the Project.Therefore, in order to prioritise these activities, a proposed cost reduction programme will need to be implemented, including a further approximate 25% reduction in staff costs via redundancies, reduced hours and resignations. In line with this, the Company has initiated a collective consultation process with staff and expects to announce the results of this exercise in September 2023. In another move to manage liquidity, the Company is in the process of agreeing deferred payment plans and restructuring supply agreements with a number of creditors.
