The work NickelSearch Ltd (ASX:NIS) has done since it became an ASX-lister – including drilling, validation of historical data and metallurgical test work – is now paying dividends, with the improving confidence in the sulphide mineral resource estimate (MRE).
Work paying off
The company has welcomed a significant upgrade of nickel sulphide indicated resources at the Carlingup Nickel Project near Ravensthorpe, Western Australia, to 8.3 million tonnes at 0.52% nickel, 0.06% copper and 0.01% cobalt.
The updated sulphide MRE is 11.6 million tonnes at 0.56% nickel, 0.05% copper and 0.01% cobalt.
According to the updated MRE, the project boasts 155,000 tonnes of contained nickel, of which 64,900 tonnes is from nickel sulphides. These now represent 65% of the total resource.
This increase in confidence is a result of the success of the infill drill programs conducted last year.
The MREs recorded for RAV1, RAV4 and RAV4 West show that the company can continue to add resources through expansion of those shallow open pit resources and the discovery of new deposits across the project.
More than 30 nickel sulphide targets with limited or no previous drilling have been singled out across Carlingup, thanks to the company’s “industry-leading” approach to geological modelling and resource reporting.
MRE will continue to expand
A priority high-grade underground mineralisation zone at RAV8 is to be tested this year, aiming to materially extend the zone that contained 8,400 tonnes nickel at 3% nickel.
There is immediate upside from the low-cost assessment of historical surface dump material, which is from the RAV8 mine, where only material above 1% to 1.5% nickel was processed.
The focus for the balance of 2023 is to deliver high-grade nickel discoveries to complement the existing shallow resource base through testing of high-priority regional targets:
- maiden RC programs at Serendipity and B1, scheduled for April 2023;
- follow-up drilling at recent nickel sulphide intersections at Sexton; and
- extensional drilling at RAV8 high-grade underground mineralised zone and testing newly identified potential near-surface mineralisation.
NickelSearch managing director Nicole Duncan said: “NickelSearch is focused on exploration for high-grade nickel sulphides at our Carlingup Project, which is underexplored at depth.
“We are confident that our systematic approach to exploration will deliver a nickel sulphide discovery, as we prioritise and test our prospective greenfield targets.
“We are off to a great start to our greenfields exploration program following the successful nickel sulphide intersections at Sexton. We are extremely excited to test our high-priority targets at Serendipity, B1 and the high-grade underground extensions at RAV8.
“Today’s significant upgrade to Carlingup’s nickel sulphide indicated resources is an important milestone, providing a base from which we can confidently grow, including at RAV8.
“NickelSearch is committed to delivering value through increasing the confidence of our existing shallow resource base and progressing our heap leach processing solution, which we believe will be the most economic pathway forward.”