Poseidon closes in on Golden Swan resource with more high-grade nickel
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Poseidon’s Golden Swan has cemented itself as high-grade discovery with the latest drill results returning grades of nearly 18% nickel, laying a solid foundation for the company to deliver a maiden resource for Golden Swan in the current quarter.
Additional results from six drill holes at Poseidon Nickel’s (ASX:POS) Golden Swan deposit in Western Australia has delivered intercepts of 9.8m at 4.95% nickel; including 2.95m at 11.1% nickel and 0.56% copper from 216.2m, 0.95m at 14.9% nickel from 216.8m and 0.4m at 15.8% nickel from 217.75m.
One hole returned a top hit of 0.45m at 17.7% nickel from 181.6m from within a broader 12.4m at 3.65% nickel intersection.
Just last month, the company booked one of its best high-grade nickel hits yet with a best result of 2.1m at 13.79% nickel, including 1.3m at 12.07% and 0.8m at 16.5%.
Some of the latest grades reported are even higher again.
“The Golden Swan Resource definition drilling program has been completed and assay results continue to be received with more high-grade intersections confirming that Golden Swan is a high-grade mineralised zone,” managing director Peter Harold said.
“Once all the assay results are received, we will be able to prepare a maiden resource which we plan to release late in the September 2021 quarter.”
Poseidon began the resource definition drilling program in April, targeting an increase in the confidence in the continuity of the Golden Swan mineralisation to JORC 2012-compliant inferred and indicated levels.
The drill program was completed ahead of schedule at the end of July with 60 holes drilled for a total of 15,968m.
Golden Swan was first discovered in March 2020 after the first two holes hit high-grade massive nickel sulphides.
Since then, drilling has confirmed the continuity of high-grade mineralisation at the discovery, which remains open in both plunge directions.
Poseidon’s focus is now firmly set on finding more Golden Swan replicas.
“Drilling has now recommenced on the Southern Terrace, where we are looking for more Golden Swan style high-grade mineralised zones,” Harold said.
“In addition, we are looking to start the Silver Swan reserve upgrade drilling program in the near future which is designed to increase the high-grade nickel mining inventory at Black Swan.”
Black Swan, which Poseidon bought from Norilsk Nickel at the end of 2014, already has a 2.2Mtpa processing plant in good condition and contains 195,000 tonnes of nickel in resources including 16,000 tonnes grading 9.5% nickel at the Silver Swan underground and 179,000 tonnes in lower grade open pit and stockpiled material.
This article was developed in collaboration with Poseidon Nickel, 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.