Poseidon Nickel Ltd (ASX:POS, OTC:PSDNF) has leveraged a geological assessment of the Windarra Nickel Project in Western Australia to identify two new highly prospective nickel sulphide targets, bringing the total to six for the tenure so far.
The new exploration targets are channel structures at the basal contact separating one rock body from another, mirroring the other four channel structures discovered in exploration over 10 kilometres of a 21-kilometre feature.
POS is particularly interested in these latest two targets, as they are overlayed by prospective geology and supported by field mapping data as well as surface geochemistry.
Most importantly, a drill hole resampling above one of the targets (NW05) revealed nickel sulphide mineralisation of 1 metre at 0.47% nickel from 341.2 metres of depth.
Collaboration pays dividends
“Over the last 12 months, the company has engaged a number of specialist exploration consultants, working in conjunction with the Poseidon geological team, to advance several quality greenfields nickel and lithium targets at Lake Johnston,” Poseidon Nickel CEO Craig Jones said.
“This collaboration has also greatly re-rated the nickel potential at Windarra with two new targets identified and a re-assessment of existing targets.
“In regards to Windarra, it’s important to note that the nickel sulphide prospectivity is underpinned by its large nickel endowment consisting of 114,000 nickel tonnes in ore historically mined and 148,000 tonnes of nickel within the existing mineral resources.
“The recently completed stage one geological assessment focused on modelling the basal contact and characterising the overlying ultramafic rocks.
“The assessment has identified new windows of opportunity along the extensive 21 kilometres of preserved basal contact strike, where only 10 kilometres has been meticulously assessed and validated to date.”
Poseidon intends to undertake a stage 2 geological assessment of the ground between Windarra South and Cerebus to complete its examination of the remaining 11 kilometres of basal contact strike at Windarra.
Opportunity for low-cost exploration
“Most importantly the results of the assessment identified two new prospective target positions called NW05 and NW04 and re-rated the prospectivity of the four previously identified Windarra targets,” Jones continued.
“There is a great opportunity for further low-cost exploration techniques to expand on the exploration model prior to deeper drilling where there has been limited exploration, leaving a large window for new resources to be discovered.
“The company looks forward to advancing these channel targets to the next stage with the planning of work programs well underway.”
POS is planning a suite of high-priority exploration programs for the NW05 and NW04 targets, including additional soil sampling and reconnaissance drill lines.