Australia's largest stock trading and investment forum Australia's #1 stock forum

CZI

0.00%

22.0¢ cassini resources limited

Ann: Drill Results at Succoth Demonstrate World Class Potential, page-42

First 42 Last

Share
Profile

Follow
Resurgam

2,151 Posts.

74

26/11/14

16:53

Post #: 14358374
Share

Originally posted by sounda ↑

Cassini Resources managing director Richard Bevan says the company’s first assay results for the Succoth deposit at its West Musgrave project have surpassed the expectations he had when the company acquired the project from BHP Billiton earlier this year.
Shares in Cassini shot up 20 per cent to 17.5¢ on the news that it had confirmed higher-than- expected grade at shallow depth at the deposit, which lies just 13 kilometres from the project’s two key deposits, Nebo and Babel.
The company has reported a 148 metre drill intersection at 0.94 per cent copper grade, which includes a hit of 1.38 per cent copper at 42 metres.
“The grade and depth are the things that make it most significant, compared to other projects around the world,” Mr Bevan said.
“Most projects in development have a grade of around 0.5 per cent so to find something that is near 1 per cent close to surface and near to Nebo-Babel is a couple of really big ticks for the project.”
The company has hailed the deposit as “one of the most significant greenfields projects in Australia” with the potential to become a “world-class” deposit.
The announcement improves on the results firmed up at Succoth by BHP, which discovered the deposit in 2009. Mr Bevan said the results now bring the company closer to firming up a JORC compliant resource, following further drilling currently underway.
“When we first acquired the project from BHP, we thought it would be a relatively easy compliance process to define a JORC resource but as we got into the data more and understood the geology and the systems, we probably realised how much we didn’t know,” he said.
Significant synergies

“Just going in and defining a JORC resource was more likely to undersell the project than define it correctly. The goal with this program was really to define the continuity and test some of these high grade veins at surface to give us a better understanding of the geological model and what the potential of the project is.”
Mr Bevan said that there are expected to be significant synergies between Nebo-Babel and Succoth if the projects advance.
“The current strategy is to produce a nickel and copper concentrate on site from the ore there, so assuming that gets up and running, we will have existing mine and processing infrastructure at Nebo-Babel,” he said.
“One of the big determinants for these projects is often capital expenditure and some of these copper mines have really big capital expenditure numbers but this opportunity to share infrastructure, we think, can really allow Succoth to piggy-back off Nebo Babel and reduce capex.”
Mr Bevan says the company aims to present the market with a scoping study for Nebo-Babel in March.
The Australian Financial Review

Expand

Scoping study in March - Noted, it in my diary. The market (or shareholders) won' t be able to argue with numbers.

CZI Price at posting: 18.0¢ Sentiment: Buy Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

FG1

Flynn Gold flags mid-grade drill hits and always eye-catching rock chips

Wealth Within considers potential takeover targets in Australia's booming infrastructure industry

Week 29 Wrap: Trump in spotlight again; China's Third Plenum a yawnfest; RBA's August move a mystery

IMR

Imricor raises $35M to pursue growth and expansion into Australia and NZ

AI stocks: What to expect in 2024-25

Talking Australia's very competitive property landscape: Realty Talks

Warren Tredrea’s weekly sports business wrap: the latest on business in sport

MCT

Metalicity looking for offers on Admiral Bay zinc project

GNX

NSW approves J-POWER's $380M buyout of Genex Power, giving it ownership of QLD net zero project

LKE

Lake Resources implies news article on job cuts made up; non-core sales "not material" and no rule 15.7 breach