anyone else into this?

Picked a handful up after the pullback. I find the announcement today to be of significance.

Any other views?


Exclusive agreement in Solomon Islands for a world class nickel deposit

Axiom has signed an exclusive option agreement with the customary land owners of the Isabel Nickel Deposit (the Project).

The exclusive option is for an 80% interest with the customary landowners in the Project.

The customary landowner groups, Kolosori and Bemusule Trustees, will work with Axiom to provide full support and access to the Project subject to the granting of a Prospecting Licence.

Historical resources of 159 MT @ 1% Nickel and 0.07% Cobalt.

Axiom signed an exclusive option agreement to acquire an 80% interest over the Isabel Nickel Deposit project on 15 October 2010 in Honiara. The trustees of the Kolosori and Bemusule people (Trustees) are the customary landowners of the Isabel and San Jorge islands in the Solomon Islands where the deposits are located.

Under the agreement, Axiom has three years to exercise a right over an 80% interest with the customary landowners in the Project subject to certain milestones being achieved. These milestones include the issue of a Prospecting Licence by the Minister under the Mines and Minerals Act in the Solomon Islands. The customary landowners will retain a 20% interest for the life of the Project.

Axiom has had a relationship with the Kolosori and Bemusule people for some years but did not have a commercial agreement in place to the satisfaction of the current Board.

Following the company?s restructure earlier this year, Axiom was invited to meet with the Trustees to negotiate a mutually acceptable proposal that would see Axiom and the Trustees work towards developing this world class nickel and cobalt deposit.

As a result Axiom?s new Chairman and Chief Executive Officer, together, have met, negotiated and secured the current agreement to work exclusively with the Trustees towards the development of the Project with clear responsibilities and milestones for each party The Solomon Islands Government international tender for the Isabel Nickel Deposits closed on 15 September 2010.

To date there has been no announcement of a successful tenderer, but any party will be required to seek an access agreement with the traditional landowners before a Prospecting Licence can be activated.

While Axiom did not tender, it has since decided to secure this agreement with the full support of the Trustees.

The Trustees are now engaging with the Solomon Islands Government with Axiom as their preferred partner and are confident of a successful outcome.

Axiom's Chief Executive Officer Ryan Mount said: "This is the first but most significant step in securing and working to develop these world class Pacific laterite deposits. We are very fortunate to have been invited to join with the Kolosori and Bemesule people as their preferred partner to participate in this project. We are enthused by their strong support and we are equally motivated by their desire to rapidly develop the project for our mutual benefit.

"We look forward to working closely with the Bemusule and Kolosori people, and of course the Solomon Islands Government, to progress this project in the best interests and for the benefit of all.


The Option Deed

The binding Option Deed signed by the Trustees and Axiom provides for the incorporation of a company wholly owned by the Trustees, which will apply for a Prospecting Licence with the assistance of Axiom. Axiom has three years to exercise its option over an 80% interest in the Project.

The agreement clearly outlines each party's obligations, including Axiom's milestone payments, the Trustees procuring the relevant licences and granting surface access rights the details of which are confidential between the parties.

The Trustees are responsible for obtaining a Prospecting Licence with support from Axiom. The Solomon Islands Government is the sole authority on the issue of such licences, including the terms and conditions that apply.

Importantly, the Kolosori and Bemusule people will retain a 20% free carried interest in the Project, up to commissioning of the plant, if Axiom exercises the option and will receive the benefits for the life of the Project.


Land and ownership rights in the Solomon Islands

The Project is located on Isabel Island where the Bemusule people are the customary landowners and San Jorge Island where the Kolosori people are the customary landowners. In the Solomon Islands Government and the Constitution recognise the land rights of traditional and customary owners, including the mineral resources that lie on the land.

The Trustees expect and are confident that the Government will respect their rights as the customary landowners to select their partner in the Project.


The Project and its history

Nickel-cobalt laterites were first identified on Isabel and San Jorge Islands by the British Geological Survey.

With development and advances in commercial metal recovery processes, such deposits became major sources of nickel and cobalt. The international Nickel Company of Canada (INCO) began exploring the two deposits in the late 1950s and conducted major exploration programs over a 15-year period. These included a number of feasibility studies on mine development.

In June 1975 the Solomon Islands became an independent state. The Constitution adopted by the new country granted land access rights to the traditional landowners and this event interrupted exploration activities.

The next period of exploration on the Isabel-San Jorge laterite deposits was done in the early 1990s when Kaiser Engineers International Inc. (Kaiser) was engaged to complete a feasibility study on the deposits.

Kaiser independently tested parts of the deposits for comparison with INCO?s work and concluded that a measured reserve under then existing Australasian Institute of Mining and Metallurgy reserve reporting rules was sufficient for a 2800 t/day, 15-year mining operation.

Total limonite (high iron) and saprolite (low iron) resources were estimated at 159mtn @ 1.045% nickel and 0.07% cobalt at a specific gravity of 1.2 by Kaiser in 1993. This is a historic estimate and is not a JORC compliant resource.


Tropical laterite deposits

Tropical laterite deposits such as those at San Jorge and Santa Isabel (Takata) have much more favourable metallurgical characteristics than dry land laterites.

This has seen development of many mining operations worldwide from Cuba in the west to Indonesia, New Caledonia, the Philippines and more recently, Papua New
Guinea in the South Pacific. Tropical deposits offer a variety of development options ranging from direct shipment to smelters, high pressure acid leach (HPAL) processing, atmospheric leach processing and heap leach operations.