Mandrake’s plans to replicate Chalice discovery success are falling into place
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Special Report: All the elements appear to be coming together for Mandrake Resources to replicate the success of Chalice Gold Mines in making a significant nickel-copper-platinum group elements (PGEs) discovery in the Jimperding Metamorphic Belt a short drive north-east of Perth.
Mandrake (ASX: MAN) is farming in to the Jimperding Project, 30km to the east of Chalice’s Julimar discovery, where in March this year the first hole drilled produced a stunning hit intercept of 19m at 2.59% nickel, 1.04% copper, 8.37 g/t palladium and 1.11 g/t platinum from 48m.
Since striking the deal to earn up to 80% of the project in April, Mandrake has been working up the Newleyine prospect at Jimperding to develop drilling targets and has been highly encouraged by the similarities it has observed with Julimar.
Along with residing in the same geological terrane, Newleyine has produced rock chip samples up to 0.36 g/t palladium, 0.27 g/t platinum, 0.65% nickel and 0.19% copper that suggests the presence of Julimar-style mineralisation.
Ground magnetics also identified an area of strong geophysical anomalism – a classic magnetic “bullseye” – coincident with high-grade rock chip and anomalous nickel concentrations returned in historical drilling at the prospect.
And on Monday the company confirmed that a fixed loop electromagnetic survey had identified three discrete bedrock anomalies within the bullseye potentially indicating the presence of massive sulphide mineralisation.
“Mandrake has been methodically advancing exploration at Newleyine, with ground magnetics, surface rock chips and historical drilling indicating good potential for a mineralised system,” managing director James Allchurch said.
“The recent detailed FLEM survey has now identified three compelling late-time bedrock anomalies that demand drill testing.
“Given the proximity and similarities with the Julimar discovery, Newleyine represents an extremely exciting drill target and we will now move to obtaining all approvals required to drill in Q4 2020.”
Although drilling was conducted on the Jimperding tenements in the late 1970s, the samples collected as part of those programs were never assayed for PGEs or gold.
Should Mandrake produce a hit anything like that from the first hole at Julimar, the company’s share price should rise substantially.
Chalice shares rocketed from 16c to $1.23 within a month of announcing that initial result, and climbed to a record high of $1.64 in late August with strong assays continuing to flow from the project.
While the Jimperding Project has been its focus, Mandrake began an RC drilling program at its Berinka Pine Creek gold project in the Northern Territory in mid-August.
Assay results from this program, which was following up strong gold anomalies derived from soil, rock chip and trench sampling at four separate prospects, should be received by the company shortly.