Early works have wrapped up at the Kolosori Nickel Project on Isabel Island in the Solomons, where samples from test pit work are in the process of being dispatched for assaying.

Early works at the project site included the construction of infrastructure such as an access road, camp site and stockpile site, excavation of a test pit to assess mining and stockpile designs, and an assessment of the quarry sites to provide construction materials for wharf and road construction.

Pacific Nickel Mines (ASX:PNM) says a geotechnical report has also been completed and is now being assessed in preparation for the definitive feasibility study and the construction design of the wharf area – a critical element for the development of the project.

Test pits

A series of grade control holes in the test pit area were completed where mining operations are likely to be conducted over the first two years of operations

Samples from the first test pit are currently being dispatched for assaying and material is also being stockpiled so that moisture content can be analysed over time to measure its drying characteristics.

This test pit has also provided the PNM with additional valuable information which will be used in the definitive feasibility study (DFS), including suitability of mining equipment, confirmation that the ore and overburden are free-dig and will not require blasting, and confirmation of preferred excavator and truck fleet requirements.

Around 6,000 tonnes of saprolite ore and 1,500 tonnes of transition saprolite has been mined and stockpiled from the test pit.

Planned activities for the quarter

Although impacted by the outbreak of COVID-19 in the Solomon Islands, the nickel explorer is on track to progress regulatory approvals and expects to receive a mining lease for the Kolosori project in Q1, 2022.

A saprolite marketing report from independent consultants, CM Group has been received with PNM set to release key findings once the report has been reviewed in detail.

Additionally, several meetings have been held with prospective project financiers to update them on the progress of the early works program and will now seek indicative proposals as soon as practicable.

The company is in the process of recruiting a commercial manager to be based in the Solomon Islands to assist in the development of the project and its subsequent operations.

 

 

 

This article was developed in collaboration with Pacific Nickel Mines, 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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