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ASX Resources Top 5: Could this be Australia’s next nickel discovery?
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- Galileo locks onto large nickel target in the Fraser Range
- Silver City picks up visible gold at ‘Austin’ project
- Tiny explorer Strickland bolstered by $5m cash injection and fresh management team
Here are the biggest small cap resources winners in morning trade, Monday April 12.
The explorer has dialled in a “significant” nickel target in the Fraser Range of WA.
Geophysical modelling at the ‘Delta Blues’ nickel-copper prospect has uncovered an EM conductor 350m to 500m long, and 250m to 500m deep.
The top of the target is 125-185m below surface.
EM surveys map sub-surface changes in electrical conductivity and are a useful tool for finding nickel sulphides.
“We have completed our target generation work at the Delta Blues prospect and are ready for the drill testing phase to begin,” Galileo managing director Brad Underwood says.
“All available information presents a compelling case for the potential of mineralisation at the prospect.
“Electromagnetic, gravity, magnetic, and aircore drilling data, have combined to create a well-developed drill target.”
SILVER CITY MINERALS (ASX:SCI)
Silver City just picked up super high grade rocks up to 1,109 g/t gold from the ‘Brians’ prospect, part of the Austin project in WA.
Here’s what that looks like:
Pretty.
These rocks look similar to those found at the nearby high grade ‘Starlight’, ‘White Light’ and ‘White Heat’ discoveries by Musgrave Minerals (ASX:MGV), Silver City says.
Limited shallow drilling at Austin in the past also returned a number of high-grade hits, including 6m at 15.8 g/t gold from 36m.
Anything above 5g/t is generally considered high grade.
The explorer also picked up rock chips up to 57.1 g/t gold (1.8 oz/t) from the ‘Teds’ and ‘Mt Sandy’ prospect areas.
The stock is now up +433% over the past 12 months.
Lethargic explorer Strickland – formerly Alloy Resources – has been invigorated with +$5m in the bank and an experienced management team at the helm.
The explorer is raising the cash “to fund continued exploration at the company’s existing exploration projects and potential project acquisitions”.
New appointments include Andrew Bray as chief exec, Trent Franklin as non-exec director and Peter Langworthy as technical advisor.
These three experienced mine finders and builders are involved with Gateway Mining (ASX:GML), which has just embarked on a major 35,000m drilling campaign at the 240,000oz-and-growing ‘Gidgee’ gold project in WA.
(Up on no news)
The rare earths explorer has been riding the proverbial rollercoaster since an anti-uranium party scored the majority of votes in national elections, leaving investors to fear the company’s project was in jeopardy.
While uranium is not “of great economic significance” to the Kvanefjeld rare earths project, “revenues along with those from other by‐products would serve to reduce rare earth production costs”, it says.
“In the lead up to the election, the IA Party leadership expressed an anti‐uranium position and has reaffirmed this position since the election win,” the company said April 9.
“The company will look to update the market as further information relating to the status of the Kvanefjeld Project is available, and the forward strategy.”
(Up on no news)
In March, Traka hit more high-grade gold at the old ‘Maori Queen’ mine part of the Mt Cattlin project in WA.
The highlight drilling results were 1m at 15.7 g/t gold which “continue to demonstrate high gold grade continuity to depth”.
At the time of the announcement drilling was completed, but Traka was awaiting assay results for some of the drill holes.
