[mcr] re: going up soon Gone into PreOpenNew Nickel Sulphide...

[mcr] re: going up soon Gone into PreOpen

New Nickel Sulphide Extensions discovered at Wannaway

Mincor Resources NL’s (ASX: MCR) recently expanded exploration push in the Kambalda
region is already paying dividends with the discovery of a new zone of ore grade nickel
sulphide mineralisation beneath its operating Wannaway Nickel Mine, indicating the
potential for a significant down-plunge extension to the orebody.
Mincor said today (Wednesday) that two of four underground drill holes at Wannaway –
one of its original flagship Kambalda nickel operations – had intersected ore grade nickel
mineralisation immediately beneath the NO1 ore body:
• UWA-04-01: 5.47 metres at 2.95% nickel (1% Ni cut-off), including 4.99 metres at
3.08% nickel (1.5% Ni cut-off). True width is approximately 2.50 metres, 590 metres
below surface; and
• UWA-04-02: 7.14 metres at 3.20% nickel (1% Ni cut-off). True width is 4.0 metres,
approximately 585 metres below surface.
Given the nature of the ore bodies at Wannaway, the Company believes there is a
significant possibility of a new ore zone opening up beneath the low-grade ore reserve
that is currently being mined (see long section attached).
The new results come as Mincor’s aggressive exploration push in the Kambalda region
gathers momentum, with encouraging results also announced today at other prospects
including Jeremy Dee, near the Redross Mine, Redross itself and South Miitel. The
Company announced a $7 million exploration budget in March this year aimed at
doubling its current Ore Reserves through ‘extensional’ exploration of existing orebodies
and at discovering a new million tonne, high-grade nickel ore body.
Mincor’s Managing Director, Mr David Moore, said the new ore zone at Wannaway was
located just 45 vertical metres below existing mine development.
Hole number UWA-04-02 terminated in mineralisation due to poor ground conditions. A
review of adjacent historical drill hole WU860-6 indicates that further ore may be present
immediately beneath UWA-04-02 and that mineralisation may be developed over a true
thickness of up to 10 metres. WU860-6 contains strongly developed mineralisation
(10.48 horizontal metres at 2.75% nickel from historical records) within a sediment-free
window on the basal contact.
The discovery of continuing nickel mineralisation beneath the N01 ore body indicates
that, rather than terminating at depth, the orebody is open ended. This represents an
exceptional exploration target along the trend of what appears to be the original
“channel” direction. The new drilling also suggests that the sediment along the basal
contact is thinning, providing further evidence that this may be an original channel
position and that the ore body is open at depth.
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“Wannaway continues to excite”, Mr Moore said. “We have already doubled its original
mine life, and these results highlight the potential for a whole new ore system downplunge.
Importantly, we already have $20 million worth of infrastructure in place to mine
anything we find there.”
Mr Moore said a deep surface hole was now being planned, targeting a major step-out
position from the two holes reported above. “That will be the acid test,” he said. “We
need to find out whether this is just a small pod, or the start of something big.”
Other exploration results included high-grade nickel sulphides intersected at Jeremy Dee,
located close to Mincor’s Redross Mine (currently under development). A step-out hole
200 metres down-plunge of the previous drilling intersected a narrow zone of high grade
mineralisation:
MDD042: 0.95 metres at 4.70% nickel from 474.43 metres down hole, using a 1%
nickel cut-off (true width estimated at 0.80 metres).
The hole intersected an upper “flanking contact” followed by further mineralisation in a
basalt-basalt “pinch-out” position. This suggests that possible mineralisation associated
with the main channel is likely to be up-dip, and further drilling is planned.
The Jeremy Dee structure has now been demonstrated to extend over a strike length of
500 metres (see long section attached). Down-hole electromagnetic surveying is currently
underway. Future drilling will test both continued strike extensions and the up-dip width
of the mineralisation, the latter being the vital element required to provide sufficient
tonnes per vertical metre for economic extraction.
The first of a fence of planned holes down-plunge of the Redross ore body itself has also
been completed (MDD40), intersecting low-grade mineralisation. However, a down-hole
electromagnetic survey of the hole identified a “nearby” strong anomaly. Drilling is
continuing.
After a second disappointing hole at South Miitel, the third hole, some 160 metres
further down plunge, has intersected a narrow zone of massive sulphides (40
centimetres), with assay results pending. The geological setting of the intersection is
considered highly encouraging, being a “basalt-basalt” pinch-out zone beneath a barren
open contact. This suggests that the main zone of mineralisation may be present up- or
down-dip. The hole is being prepared for a down-hole electromagnetic survey, to be
followed by drilling of a wedge hole angled off the parent hole.
An ultra-detailed airborne magnetic survey has been completed over the East Widgie
Block and the Lake Zot dolerite to the east of the Mariners mine. The incorporation of all
data for the Widgiemooltha Dome into a three-dimensional model is at an advanced
stage.