Still very early days on the nickel.
Though nickel values up to 0.5% at such shallow depths hopefully point to something far more significant down deeper, so great to see that KWR are employing a MLEM survey going forward that can penetrate down to 300m perhaps deeper.
Remind yourself that this is still under lake sediments so it's never been properly drill tested for nickel previously either so the potential for a significant discovery is certainly there.
Even more so with the Ni/Cr ratio being greater than 1 and as mentioned above in another post its in bed rock - fresh rock so not lateritic nickel.
"A maximum value of 4m @ 0.64% Ni from 8-12m with a Ni/Cr ration of 2.34 was intersected in KGA00873."
The use of element ratios in geochemical exploration can help to distinguish mineralised from barren geological complexes, predict deposit types, and assist in estimating and evaluating dispersion of ore indicator elements. Exploration at Kambalda Nickel Operations, Western Australia, has focused on developing a repetitive robust geochemical method that can vector towards Ni–Cu–PGE sulphide deposits. One method has been developed so as to utilise element ratios in a manner which are compatible with the genetic geological exploration model for komatiite-associated massive Ni sulphide deposits. A particularly successful element ratio is expressed as [(Ni/Cr) × (Cu/Zn)]. The [(Ni/Cr) × (Cu/Zn)] ratio is effective in vectoring towards channellized komatiitic environments. This paper presents key examples that demonstrate the power of the [(Ni/Cr) × (Cu/Zn)] ratio in fresh komatiite rock, its intensely weathered equivalent, and in surface materials. Analytical techniques employing weaker acid attacks (HCl) and finer size fractions from surface materials enhance ratio contrasts. Exploration implications are discussed. Komatiites associated with Ni sulphides are low in Cr compared to barren komatiites. Low Cr values persist along the flow from Ni sulphide mineralisation in channellized komatiites. Mineralised basal komatiites flows are enriched in Ni compared to barren flows. Thus, utilising a Ni : Cr ratio, potentially mineralised flows (high Ni, low Cr) can be distinguished from barren flows (low Ni, high Cr) with Ni : Cr ratio values typically >1. This Ni : Cr signature can be traced down-plunge, on the basal komatiite, for >14 km and through the komatiitic stratigraphy. In addition, this signature is, in part, preserved through the weathered komatiite and in surface material. It has successfully identified new Ni sulphide occurrences and highlighted significant areas of exploration interest. Sulphide-bearing sedimentary horizons of variable thickness occur at the base of, and within, the komatiitic successions. These meta-sedimentary rocks typically have three times the Zn concentration (1500 ppm) to that of Cu (500 ppm). However, because nickel sulphides have a greater concentration of Cu than Zn, the Cu : Zn ratio can assist in discriminating Ni sulphide-bearing zones from those with no Ni sulphides. Combining the Ni : Cr and Cu : Zn ratios has the effect of reducing the influence of particular lithologies (e.g. sulphidic meta-sedimentary rocks) and aids in the delineation of Ni sulphide mineralisation. Multiplying the ratios enhances the contrast of element ratios related to mineralisation and subdues the effect of lithologies. Utilisation of the [(Ni/Cr) × (Cu/Zn)] ratio increases contrast between background and mineralisation, and thus the ability to vector towards basal komatiite channellized environments through the distinctive behaviour of Ni, Cr, Cu and Zn.
KWR Price at posting:
18.0¢ Sentiment: Buy Disclosure: Held
