Neometals Ltd (ASX: NMT) has announced “encouraging” assay results from reverse circulation (RC) drilling at the Mt Edwards nickel project, 90 km south of Kalgoorlie.
Drilling, sampling and down-hole electromagnetic (DHEM) surveys were conducted across the Widgie 3 and Gillett deposits and the Widgie 3 North, Rhona and Widgie 3 South prospects.
These deposits and prospects (including Widgie Townsite) are collectively known as the Widgie South Trend and are located on Mining Lease M15/94 south of the community of Widgiemooltha.
In addition, further drilling was carried out at the Lake Eaton prospect on Exploration Licence E15/989.
The Gillett deposit was only ‘discovered’ late in 2006, and shortly after, the global financial crisis of 2008 curtailed the previous owners from undertaking drill definition that would typically be carried out to confirm the deposit’s mineralised extents.
Neometals’ drilling at Widgie South Trend and Lake Eaton comprised 15 RC holes for a total of 2,749 metres and included a sampling and assay program with rigid QAQC controls that will enable results to be used in potential future Mineral Resource estimations.
Neometals Managing Director Chris Reed said assay results support the interpretation of thick disseminated nickel sulphide intercepts (up to 21 metres down- hole width) with smaller high-grade zones of matrix, semi-massive to massive nickel sulphide.
The results also confirm strike extension of nickel mineralisation at Gillett, both to the North (~110 metres) and to the South (~275 metres), supporting at least a 50% increase in known strike length beyond the current Gillett Mineral Resource.
Mr Reed said Neometals is progressively increasing the quantity and quality of its Mt Edwards Nickel Mineral Resources and improving the geological understanding with modern geophysics.
The company is very pleased with the outcomes of this exploration program, which represents the first drilling for nickel at the Widgie South Trend since April 2008,” Mr Reed said,
The 4 km long Widgie South Trend zone, with its three Mineral Resources, contains an estimated 67kt of nickel, in a pro-mining jurisdiction located near major road, rail and energy infrastructure in a world class nickel camp.
In addition to the positive assay results, Neometals has conducted DHEM surveys on all 13 drill holes completed at the Widgie South Trend which show several conductors considered to be strong targets for nickel sulphide mineralisation.
Further DHEM surveys are currently being conducted on historic drill holes across the Widgie South Trend to generate further drill targets.
The company now has confidence that additional work in the area is justified and is keen to realise the potential of the Widgie South Trend.
Work planned for Q1 2020 includes infill drilling to improve the understanding of the Gillett, Widgie 3 and Widgie Townsite deposits, and to test the modelled electromagnetic (EM) targets.