Caspin Resources Lays Out 45% Bigger Kelpie Tin Resource and Next Drilling Targets
Key Takeaways
- Kelpie's October 2026 resource stands at 6.5Mt @ 0.43% Sn for 28kt of contained tin, up 45% on the maiden estimate from only 8,400m of additional drilling.
- A maiden Indicated resource, 25% of the total, lifts geological confidence and moves Kelpie past what management calls an important development threshold.
- Test work delivered 83.8% combined gravity and flotation recovery at 53.6% Sn, ahead of the 75-80% commonly seen, supporting a simple flowsheet with staged development options.
- Kelpie's contained tin is smaller than each open pit peer shown, so the case rests on grade (0.43% Sn) rather than scale.
- RC drilling starts in November, with diamond assays pending, while market cap sits near A$31M and the A$7M cash figure dates from 30 June 2026.
Caspin outlines 6.5Mt @ 0.43% Sn Kelpie resource in October 2026 presentation
In its 13 October 2026 investor presentation, Caspin Resources (ASX: CPN) outlined an October 2026 Kelpie Deposit Mineral Resource Estimate (MRE) update of 6.5Mt @ 0.43% Sn for 28kt of contained tin (Indicated and Inferred). Managing Director Greg Miles presented the update for the Kelpie tin deposit, part of the company’s Bygoo Tin Project in New South Wales.
Management highlighted a 45% increase in contained tonnes since the maiden MRE, from only 8,400m of additional drilling. The Indicated portion represents 25% of the total MRE, which the presentation described as a maiden Indicated resource.
The Bygoo Tin Project is 100% owned and covers 1,500km². It surrounds the excised Ardlethan Tin Mine, which produced >31kt Sn until 1986.
Key figures from the presentation’s capital structure slide (as at 12 October 2026):
- Share price: A$0.105
- Market capitalisation: ~A$31M
- Cash balance: ~A$7M (reported from the 30 June 2026 Quarterly Report, so not a current figure)
The company’s investment proposition states the update “reaches an important development threshold.” In plain terms, a first Indicated resource is a step up in geological confidence, which is the level of certainty that the tin is where the model says it is.
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Kelpie resource growth and drilling upside
Maiden Indicated resource and pit potential
Management attributed the Indicated resource to an improved geological model and increased drill density. The presentation said the estimate is supported by Caspin’s own process flowsheet and independent costings.
The presentation also detailed approximate 200m deep pit shells, with mineralisation currently extending to 240m. Latest drilling outside the MRE indicates good potential for extensions, according to the company.
Exploration success and next drilling
The company highlighted the discovery of Errol’s Zone, which returned 20m @ 2.11% Sn (BRC055). Management said this demonstrates prospectivity between Dumbrell’s and Stewart’s Lodes.
Large gaps in effective drilling of over 200m near-surface still exist between Dumbrell’s and Errol’s Zones. Reverse circulation (RC) drilling is a high priority and is scheduled to start in November.
Diamond drilling has tested down-plunge extensions on Stewarts and Dumbrell’s Zones. Strong greisen alteration (the altered host rock associated with tin mineralisation) was intersected in all four holes completed to date, with assays pending.
Management noted positive indications for mineralisation 80m down-plunge on Dumbrell’s, which remains open. Selected long section intercepts shown in the presentation include:
- BRC001: 16m @ 1.35% Sn
- BRC004: 11m @ 2.30% Sn
- BRC019: 24m @ 0.50% Sn
- BRC012: 19m @ 0.49% Sn
Until the diamond assays arrive, the alteration is a positive sign rather than a confirmed result.
Tin explained: why recovery and flowsheet simplicity matter
Tin is mainly recovered from cassiterite (SnO₂), and the presentation described Kelpie as having clean cassiterite mineralisation. Recovery is the share of the metal in the ore that is captured in a saleable concentrate, so it directly shapes project economics.
A flowsheet is the sequence of processing steps. Management argued that a simple one is a competitive advantage, and the metallurgy test work behind the MRE shows why.
| Product stream | Mass (%) | Sn grade (%) | Recovery (%) |
|---|---|---|---|
| Feed | 100 | 0.74 | 100 |
| Gravity Concentrate | 0.75 | 58.3 | 58.7 |
| Flotation Concentrate | 0.41 | 45.2 | 25.1 |
| Gravity Concentrate + Flotation Concentrate | 1.16 | 53.6 | 83.8 |
Management said the results compare favourably to every tin mine and development project, with recoveries commonly circa 75-80%. The presentation outlined options that give flexibility for financing conditions at any given time:
- A gravity-only flowsheet
- A gravity plus tin flotation flowsheet
- A staged development covering both
Ore sorting is at an early stage. Positive first inspection testing at TOMRA warrants bulk testing, and management said it is likely to provide further optionality to development scenarios.
The high grade sample (feed 1.11% Sn) produced a product of 3.33% Sn at 88% recovery. The low grade sample (feed 0.19% Sn) produced 1.16% Sn at 50% recovery.
Peer comparison and district-scale upside
Kelpie versus ASX tin peers
The presentation framed Kelpie’s grade, scale and predominantly open pit potential as a clear differential to peers. It described the grade as exceptional for an open pit mining scenario. The comparison below covers the open pit peers shown in the presentation.
| Company / Project | Grade (Sn %) | Tonnes (Mt) | Contained Sn (kt) | Mine type |
|---|---|---|---|---|
| Caspin / Bygoo | 0.43% | 6.5 | 28 | Open Pit |
| Sky Metals / Tallebung | 0.11% | 32.7 | 36.8 | Open Pit |
| Elementos / Oropesa | 0.39% | 19.6 | 75.8 | Open Pit |
| First Tin / Taronga | 0.09% | 157 | 148 | Open Pit |
The table shows the differential is about grade, not total contained tin. Kelpie’s contained tin is smaller than each peer listed here, and the peers are at different stages (Tallebung at PFS, Oropesa and Taronga at DFS, Bygoo at resource expansion). Oropesa is also located in Spain.
Regional targets
Kelpie and its extensions represent just 5% of the 20km prospective eastern contact of the Ardlethan Granite. The presentation said there has been very little modern exploration along that contact.
Prospects highlighted alongside Kelpie:
- Moss: A blind greisen target and Kelpie analogue, part of a >1,000m geochemical tin anomaly. Initial drilling is completed, with results pending.
- Ardlethan East: 4m @ 0.49% Sn, located 700m from the Ardlethan open pit.
- Ardlethan South: A Kelpie-style conceptual target with a geochemical anomaly.
- Taylors Hill: Historical drilling returned 3.0m @ 3.69% WO₃ & 0.39% Sn from 44.2m (Hole 12).
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Investment thesis and upcoming catalysts
Caspin’s investment proposition rests on four points:
- The October Kelpie MRE update reaches an important development threshold.
- Numerous opportunities exist to grow Kelpie and find new deposits across the project.
- High metallurgical recovery from a simple flowsheet is described as a competitive advantage.
- Very strong long-term supply and demand fundamentals for tin, with limited new supply and increasing demand in electronics (data centres, new solar cell technology) and EV growth.
The indicative timeline for the Bygoo Project:
- September: Kelpie Diamond, Moss RC drilling
- October: Kelpie Deposit Resource Update
- November: Kelpie extensional drilling continues
- December: Regional sampling and geophysics
- February: Regional reconnaissance RC drilling
An appendix also noted that Caspin holds a 10-year right arising from the 2020 scheme of arrangement to receive a potential cash payment of up to A$20m from OZL (which became a BHP subsidiary in 2023). It only applies if specific conditions are met, so it should not be treated as assured.
For investors, the near-term test is whether the November drilling and pending assays extend Kelpie beyond the current 28kt estimate.
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