"...A model of leaching nickel from the silicates simultaneously best explains the features seen at Avebury and increases the exploration potential for the rest of the property for similar style deposits. There are four versatile time domain electromagnetic (VTEM) anomalies identified in the regional VTEM survey flown by MMG associated with magnetic anomalies indicative of buried ultramafic rocks near the margin of the Heemskirk Batholith and Crimson Creek Volcanics. These represent priority exploration targets for ground electromagnetic surveys and drilling. MMG intersected Avebury-style SKSP ultramafic alteration and one significant nickel sulphide intersection of 3 m at 0.8% Ni from 61 m to 64 m in diamond drillhole A223 in the Trial Harbour area, in the vicinity of one such VTEM anomaly. This demonstrates similar processes as seen at Avebury have been active elsewhere within the project tenement holding. This intersection remains largely untested, and follow-up is required. A more detailed and modern electromagnetic survey over drillhole A223 and the VTEM target would better maximise the chances of hitting the centre of gravity of any potential target in the area."
Worth noting that Oz Minerals did limited drilling in 2010-2011 and yet lifted the resource by 4.8Mt. At say 1% Ni that would constitute 50,000t of contained Nickel... Hence, further development drilling will probably extend mine life faster than we mine the ore for a period before we go on to check other anomalies with similar properties in the area. Fantastic upside potential. Plus of course all the new territory they are in the middle of dealing in.
"The deposit remains open at depth in at least two directions – down plunge of Avebury East to the east and Viking to the west along the contact with the overlying Crimson Creek Formation. The 2010–2011 drilling in these areas added an additional 4.8 Mt in the East Avebury area and 2.5 Mt in the Avebury and Viking areas (including drilling from 2008 in the Avebury North Extended area). These areas are still open down plunge, and it could be reasonably expected that following these trends may lead to increased Mineral Resource tonnage, if not grade."
MYL Price at posting:
70.0¢ Sentiment: Buy Disclosure: Held