The stars are lining up for junior WA nickel explorer Nimy Resources, which continues to generate strong results against the backdrop of a sharply rising nickel price.

Nimy’s latest results add signifcantly to the growing band of geological evidence which suggests that it is closing in on higher-grade nickel at its Mons project.

And Nimy’s Board would know given that it is chaired by Simon Lill, who is also Chairman of run-away WA gold explorer and Developer De Grey Mining (DEG).

Mons sits at the northern end of the world-famous Forrestania nickel belt, which hosts several highly lucrative nickel sulphide discoveries.

But despite its history of immense discovery success, next-to-no nickel exploration has been conducted at the northern end, where Nimy has accumulated a large, highly prospective land holding.

Nimy has established that all the key geological requirements for successful nickel exploration exist in abundance at Mons. Now it is a question of homing in on the higher grade areas with the potentail to underpin a large, lucrative operation.

This process has just taken another pivotal leap forward with cutting-edge geophysics leading to five electro-magnetic conductor plates being identified.

Known in the industry as EM plates, they are considered highly promising in exploration because their conductivity could be due to the presence of mineralisation.

Nimy has now identified five of these EM plates at three prospects within Mons. Importantly, soil sampling and drilling has confirmed anomalous nickel at or close to all three prospects. A total of 17 anomalies have been identified so far in the area covered by the geophysics survey.

Nimy is now preparing to drill all three prospects, including the Dease prospect, where drilling has already intersected nickel over substantial widths. This includes a highly promising intersection of up to 0.48% nickel in sulphides with copper and cobalt over a huge 316m intersection at Mons.

That result is considered particularly important because it sits directly below the nickel gossan outlined at Dease. This outcropping gossan has been mapped over 1.1km in a horseshoe shape.

The assay results from the Dease hole include:

  • 6m @ 0.31% Ni (14-20m), including 3m @ 0.37% Ni (14-17m), including 1m @ 0.48% Ni (16-17m)
  • 4m @ 0.30% Ni (26-30m), including 2m @ 0.37% (27-29m)
  • 226m @ 0.16% Ni contained within the 316m width open at end of hole

Nimy Resources Executive Director Luke Hampson said: “The Dease Gossan Prospect is the highest priority in the next stage of exploration.

“The EM conductor plates modelled follow the shape of the gossan outcropping found at surface and begin at 180m below surface.

“The combination of gossan outcropping, nickel sulphide mineralisation in diamond hole NRDD005 which passed between plates 2 and 3, and anomalous drill intervals of up to 1m at 1.05% nickel, increase our confidence in the prospect.

“We are dealing with a large, mineralised nickel system and expect further prospects to emerge as we move through the EM data foreshadowed by the 17 anomalies identified thus far”.

In addition to its highly promising nickel exploration program, Nimy also revealed recently that it had identified an extremely prospective rare earths feature at Mons.

Nimy says this rare earths target has key similarities to the lucrative Mt Weld rare earths deposit being mined by Lynas (LYC).

This geological feature is known as a carbonatite. Put simply, this is a type of rock which can contain deposits of rare earth elements (REE) as well as a suite of other minerals such as niobium and phosphate.

Rare earths are currently rivalling lithium for investor attention, with news of exploration success sending shares in the sector through the roof.

The surging interest reflects the crucial role of rare earths in the permanent magnets which are at the heart of electric motors and wind turbines.

Investor appetite for these critical elements also stems from the fact that they are currently caught in the midst of the geo-political tug of war between the US and China, which dominates the supply of rare earths.

The push among western countries, led by the US, to establish non-Chinese sources of rare earths has provided another impetus to the explorers in the sector.

The key line for investors in Nimy’s statement on the rare earths potential at Mons is: “The Nimy Resources Mons Project carbonatite presents geophysically as similar to the Mt Weld carbonatite, a world-class producer of REEs.

“Geophysics indicate a magnetic low presenting as a core (possibly a dike) within a circular magnetic high. There are no other interpreted magnetic anomalies high or low in the vicinity”.

Given the potential of the carbonatite at Mt Weld and the strong investor interest in the sector, Nimy is wasting no time is ramping up exploration.

Soil sampling is already underway and samples have been sent for assaying while drilling is expected to start as soon as the work permits are in place.

 

 

This article was developed in collaboration with Nimy Resources, 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.