Sky Metals Limited Achieves 78% Tin Recovery Breakthrough at Doradilla Tin Deposit, Unveiling a 10–15Mt Exploration Target with 32,000–63,000 Tonnes of Tin Potential
Monday, July 14, 2025
at
8:59 am
SKY METALS LIMITED has achieved a breakthrough at its Doradilla Tin Deposit, recovering up to 78% tin with an innovative processing method. This advancement produces saleable tin concentrate, enhancing development potential and supporting further drilling to bolster the company’s growth strategy amid rising global demand for tin.
Sky Metals Limited has reported a significant breakthrough at its Doradilla Tin Deposit, located approximately 45km south-east of Bourke in New South Wales. The company has developed a novel metallurgical processing method that combines conventional gravity, magnetic, and flotation techniques. This new approach has allowed the recovery of approximately 78% tin into a high-grade, saleable tin-oxide (cassiterite) concentrate from the oxide zone of drill core samples. The enhanced recovery rates address previous processing challenges, boosting the economic prospects of the deposit.
The Doradilla Tin Deposit spans over 7.5km of strike length, forming the south-western end of an 18km-long mineralised trend known as the DMK line. Historical drill data, which includes intercepts such as 11m at 1.04% tin (with 5m at 1.65% tin), supports the establishment of a maiden Exploration Target over 2.5km of the deposit. This target is estimated to cover 10 to 15 million tonnes at a tin grade between 0.32% and 0.42%, potentially containing between 32,000 to 63,000 tonnes of tin at a modest cut-off grade of 0.20%. There is also demonstrable potential to extend the target by an additional 2.5km to both the northeast and southwest, potentially tripling the strike length of the current exploration area.
In addition to the metallurgical success, Sky Metals is planning a comprehensive follow-up program. This includes infill and step-out drilling to confirm the observed mineralisation continuity and further optimise the process results. The company also intends to conduct additional metallurgical test work on both oxide and sulphide zones, which may eventually lead to formal resource classification in accordance with industry standards. This development aligns with the broader, long-term strategy of complementing their flagship Tallebung Tin Project with a new, geopolitically favorable tin asset, enhancing the company’s overall growth pipeline.
Market sentiment could be viewed in two ways. From a bullish perspective, the breakthrough significantly de-risks the Doradilla Project by demonstrating robust tin recovery and supporting a sizable, potential resource that could strengthen Sky Metals’ position as a key supplier amid growing global tin demand. Conversely, a bearish view might argue that the resource estimates remain conceptual and further drilling, as well as metallurgical optimisation, is required before the asset can be fully classified and its economic feasibility proven. Overall, while technical and exploration risks persist, the advancement provides a strong catalyst for the company’s growth profile in an environment of constrained global tin supply.