Avalon Rare Metals {TSX.V: AVL} have announced they are to commence a 2000 metre $1.3 million drill program and assessment work at their East Kemptville project in Nova Scotia.

This former tin producing area is highly prospective, especially with advances in modern technology since the 1980’s.

The  2000 metre diamond drill program at East Kemptville, a  tin-indium project, will cost some $1.3 million. This work will commence in July,and include some metallurgical process test work and preliminary environmental studies.

The work will generate the data required to complete a PEA by November 2015, with initial results expected to be available at the end of August.

Avalon was granted a new special licence by the Province of Nova Scotia in march 2015, covering the whole East Kemptville mine area and encompassing all the known tin deposits. This licence has a three year term expiring Jan. 31, 2018, renewable for two additional terms of one year each. The licence requires Avalon to spend $5,250,000, over three years including $750,000 in the first year.

Discussions continue towards reaching an agreement to transition the property to Avalon, with agreement expected later in 2015.

The drilling program will increase confidence in mineral resources in two zones on the property, collect fresh sample material for bench-scale metallurgical process testwork and test two exploration targets (Duck Pond and South Grid) where there are encouraging
results from historical drilling.

It is anticipated that advances in process technology achieved since the 1980’s will result in improved recoveries and also confirm the presence of significant indium in the zinc concentrate.

The Rio Algom tin mine formerly operated in the area from the mid-1980s to 1992, employing around 200 people in Yarmouth and Shelburne counties. Tin now sells for double the price than at the time of the shutdown.

Avalon CEO Don Bubar commented “This summer’s work program will allow us to complete a preliminary economic assessment by the end of 2015 and move us one step closer to realising our goal of re-establishing Nova Scotia as the tin capital of North America. The mine would create 200 jobs if it were put back into production”