it's difficult to get a definition of low grade so i like to convert to gold eq...heres a calculation i do all the time nickel (usa price) $17,938 nickel (au price) $ 27,180 so 1% nickel = $ 272 / tonne = 2.7 g / tonne gold eq. low grade gold open pit is considered to be 0.8 to 1.0 g / tonne so low grade nickel should be considered about 0.33% (present value about $91 per tonne of ore. economics depends on recoverability, if processing is complex and if nickel recovery is low, then obviously you would prefer to be treating low grade gold ore than low grade nickel ore.
at present the best nickel intersection adjacent to rez's ground is 34m / 0.32% (from 8m to 34m end of hole).. if this was in laterites it would probably not be worth considering as a mine, but as mainly oxidized and fresh mafics the processing would be relatively simple.
low grade, close to surface nickel sulphide mines are relatively rare, but when you consider that caravel minerals are going to mine 0.27% copper with value at about $18 per tonne of ore, then $91 / tonne of nickel ore looks attractive even without gold, cobalt and platinum group metal credits credits..
REZ Price at posting:
1.0¢ Sentiment: Hold Disclosure: Held
