Final assays from drilling at Caeneus’ Pardoo nickel project has indicated strong potential for deeper extensions at the Highway nickel-cobalt-copper-palladium deposit, in WA.

This follows the receipt of further shallow and thick mineralised intercepts that delivered extra knowledge on the structural and geological controls to the thick and shallow mineralisation.

Caeneus Minerals (ASX:CAD) noted that core nickel-cobalt-copper-palladium mineralisation appears to be tightly constrained within a hanging wall layered schist, a finding that provides confidence that reported significant mineralisation encountered at shallow depths should also be present at greater depths where this host lithology continues.

It has now engaged Perth-based nickel flotation expert Strategic Metallurgy to conduct a characterisation and flotation testwork program using a representative sample of fresh sulphide cuttings from the Phase 1 drill program at Highway.

This work will support the ongoing development and further assessment of the project with completion expected in September.

“We are delighted with the progress at the Company’s Highway nickel-cobalt-copper-palladium project. The occurrence of thick mineralisation definitely warrants further exploration,” chief executive officer Robert Mosig says.

“We aim to fast track the project through aggressively embarking on future drilling and kicking off metallurgical work immediately. We remain confident that we can build a maiden resource.

“The project is a high priority for us alongside our prospective Mallina Basin assets.”

 

Drill results and further activity

The final assays from the Phase 1 reverse circulation drill program returned assays such as:

  • CPRC006: 94m grading 0.43% nickel from a down-hole depth of 35m including 26m at 0.82% nickel from 94m with 1m at 1.95% nickel, and 115m at 0.04% cobalt and 0.16% copper from 35m;
  • CPRC007: 64m at 0.36% nickel from 61m including 14m at 0.5% nickel from 87m, 59m at 0.04% cobalt from 66m, 86m at 0.16% copper from 38m, and 27m at 0.1 grams per tonne (g/t) palladium from 36m; and
  • CPRC014: 87m at 0.3% nickel from 47m including 13m at 0.5% nickel from 66m and 16m at 0.47% nickel from 108m, 32m at 0.03% cobalt from 108m, 135m at 0.14% copper from 38m, and 59m at 0.12g/t palladium from 28m.

This follows on previous thick, shallow hits and sets the stage for a further 5,000m RC drill program in late July-August that will infill the deposit to a 50m by 50m spacing and provide sufficient data for the estimation of a maiden JORC resource.

The drilling is expected to be complete in September with assays starting to roll in from late November.

 

This article was developed in collaboration with Caeneus Minerals, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

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