Corazon exercises option to acquire WA nickel-sulphide project
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Corazon Mining has exercised its option to acquire the Miriam nickel sulphide project in the WA Goldfields.
Miriam is a highly prospective nickel exploration project, which the company says represents a strategic addition to its portfolio of nickel sulphide assets.
The project comprises five prospecting licence applications around 10km of Coolgardie ground on an ultramafic trend, which hosts Auroch Minerals’ (ASX:AOU) Nepean nickel deposits.
Corazon Mining (ASX:CZN) is excited by the project’s exploration potential, with previous drilling in the 1960s and 1970s intersecting ‘high nickel tenor’ massive and disseminated sulphides – which will be the initial exploration focus.
The company has successfully completed its due diligence process and made the Stage 1 consideration payment to the vendors of $125,000.
Corazon can complete the acquisition by paying the Stage 2 consideration of $400,000 to the vendor on the earlier to occur of the date that is six months after the date of exercise of the Option and the date of grant of tenure.
And the vendor will retain a net smelter return royalty of 2% and the right to mine mullock dumps (for gold mineralisation) and to metal detect for three years following the grant of tenure.
Corazon is now working to secure the granting of the tenement applications prior to commencing exploration.
The most recent geophysical testwork for nickel sulphide exploration was completed in the early 2000s, where electromagnetic geophysics proved successful in identifying drill defined mineralisation at the Miriam deposit.
The first phase of drilling will target the deposit, as well as other known nickel occurrences along the Miriam trend.
Past exploration results, including drilling and geophysics, will be integrated into the company’s drill targeting exercise.
The historical work defines a nickel-copper endowment for the Miriam deposit, however this is not compliant with today’s JORC standards, and further drilling is required for the definition of a JORC resource estimate at Miriam.
The company is also currently undertaking its next phase of drilling at its Lynn Lake nickel sulphide project in Canada.
This article was developed in collaboration with Corazon Mining, 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.