announcement out

GOLDEN RIDGE DRILLING RETURNS NEW NICKEL SULPHIDE INTERSECTIONS
Pioneer Nickel Limited (ASX: PIO) is pleased to announce excellent drilling results from its Golden
Ridge Project, (“GRJV”) a joint venture with Australian Mines Limited (ASX: AUZ).
Pioneer Managing Director David Crook said the Blair South Prospect, located 2.8km south of the
operating Blair nickel mine (AUZ owned and operated) continued to return highly encouraging
drilling results.
“This round of drilling repeatedly intersected a relatively shallow, wider zone of magmatic nickel
sulphide mineralisation over a horizontal strike of approximately 100m.” Mr Crook said.
Significant intersections included:
• 9 metres at 1.20% Ni and 0.12% Cu from 86 metres (GRR014); and
17 metres at 1.16% Ni and 0.12% Cu from 99 metres (GRR015).
These results are in addition to Pioneer’s first drill hole at Blair South which returned 15 metres at
1.12% Ni and 0.13% Cu from 98 metres (GRR008) reported last month. These and other
significant drill results are summarised in Table 1.
Mr Crook said the newly identified zone of heavy-matrix sulphides is sub-horizontal and at a vertical
depth between approximately 80 and 100m (see Figure 1). Drilling at the prospect will now include
testing for mineralisation that could be extracted by open pit mining. Importantly, in many Western
Australian nickel mines, the discovery of massive nickel sulphide ore bodies has followed the
identification of matrix sulphide mineralisation and the resolution of its geological environment.
Drilling is scheduled to recommence at Blair South following the completion of Down-Hole EM and
direction surveys, which are currently underway. The programme will then move to test for new
mineralisation along the highly prospective, but under explored, ground between Blair South and the
Blair Mine (see Figure 2). Targets generated by the recent drilling programmes at Marshalls and
20SW Prospects will also receive further testing.
The drilling programme at the GRJV is part of a $1 million, 5,000m target appraisal programme
being conducted by Pioneer at the project. Under the terms of the GRJV, Pioneer has the right to
earn an initial interest of 51% by expending $2.25 million and up to 80% by expending an additional
$3.0 million over six (6) years.
The Project is located 30 kilometres SE of Kalgoorlie, WA and is joined by haul road to the
Kambalda nickel concentrator, located 40km to the south.
Phone: (08) 9091 6974
Fax: (08) 9022 2294
Email: [email protected]