Cornish Metals (AIM: TIN) has successfully placed US$210 million of six-year bonds to secure the debt component of the development financing for its South Crofty tin project in Cornwall, UK, the company announced in May 2026. (FACT: International Tin Association / Cornish Metals, May 2026)
The bonds carry a fixed 13.5% per annum coupon and were met with "strong investor demand across European, North American, and other international markets," according to the company. Issuance was expected around 21 May 2026, subject to certain conditions including the completion of an equity raise of no less than US$161 million. (FACT: International Tin Association, May 2026)
Cornish Metals CEO Don Turvey said the company now expects to be "fully funded" and to announce the final investment decision (FID) for South Crofty this summer. (FACT: International Tin Association, May 2026)
South Crofty — the highest-grade tin project in the global development pipeline — is targeting first tin concentrate production in mid-2028. Post-ramp-up, the mine is expected to produce an average of 4,700 tonnes of tin-in-concentrate per year, according to the October 2025 Preliminary Economic Assessment (PEA). (FACT: International Tin Association / Cornish Metals, October 2025 PEA)
The mine, which closed in 1998 following the tin price crash of the mid-1980s, has a pre-production capital expenditure estimate of £198 million (approximately US$270 million). Cost benchmarking by the International Tin Association indicates the operation will sit in the lowest quartile for mining costs, with an all-in sustaining cost (AISC) of US$14,461 per tonne of tin produced. (FACT: International Tin Association, 2026)
The financing milestone comes against a backdrop of acute supply tightness in global tin markets. LME 3-month tin settled at US$54,174/t on 22 May 2026, with total LME inventories of just 8,285 tonnes — near-historic lows that provide minimal buffer against disruptions. (FACT: LME day-delayed data, 22 May 2026)
The global tin market is forecast to shift into deficit in 2026, with refined demand growth (+3.5%) outpacing supply growth (+3%), according to Coface. The International Tin Association projects demand will rise 25% by 2035, while underinvestment in new mining capacity remains a structural concern. (FACT: Coface / ITA, 2026)
In a further sign of strategic interest, Cornish Metals received a non-binding letter of interest from the US government-backed Export-Import Bank of the United States in February 2026 for up to US$225 million in financing, in return for exporting tin concentrate to the US, likely to refiner Nathan Trotter. (FACT: International Tin Association, February 2026)
South Crofty is one of the most advanced Western tin development projects at a time when the concentration of supply in developing economies — which account for 97% of global output — is raising supply-chain security concerns. The ITA notes that approximately 40% of global tin supply comes from artisanal and small-scale miners, and disruptions in key producing regions such as Myanmar and the DRC — which together account for 20% of global production — remain unresolved. (FACT: mining.com.au / ITA, 2026)
Solder, used in electronics assembly, represents approximately 50% of world tin demand, making the metal a critical input for the technology, renewable energy, and electric vehicle supply chains. (FACT: mining.com.au, 2026)
Action: For tin concentrate buyers, South Crofty's 4,700t/yr output starting in 2028 is a medium-term positive but does nothing for immediate supply tightness. With LME inventories at just 8,285 tonnes (near-historic lows) and the global market shifting to deficit, secure H2 2026 volumes now. The US EXIM Bank's $225M financing interest signals strategic US demand for non-Chinese tin supply — expect increased competition for Western tin concentrate.
Horizon: Near-term tin tightness persists through 2027. South Crofty's first production in mid-2028 is the earliest new Western supply.
Trigger: Watch LME tin inventories — below 5,000 tonnes would indicate a physical squeeze. Also monitor the FID announcement for South Crofty (expected summer 2026) as the key milestone.