potential for massive ni cu discovery...

Potential here is huge.

FCN's 2004 hole shows a massive gabbro with the final 300m of their hole in sulphide bearing gabbro including low level ni-cu-pge.

THE LOW LEVEL NI-CU-PT IS ACTUALLY VERY ENCOURAGING AND THE LARGE GABBRO INCREASES THE CHANCE OF FINDING A MASSIVE VOISEY BAY OR NORILSK TYPE OF DEPOSIT PARTICULARLY SINCE WE NOW KNOW THERE IS A MASSIVE 10KM BY 2KM STRONG CONDUCTOR AT THE BASE WHERE DIFFERENTIATED SULPHIDES WOULD ACCUMULATE!!!

Gabbro's are an igneous intrusion (i.e. in laymans terms a big pool of lava intruding into the earth). For economic mineral deposits to form you need the 'lava' to cool down very slowly in order for the minerals to differentiate. Heavy minerals such as nickel-copper-pge then settle towards the bottom of the gabbro. These are layered gabbros. Economic deposits can also be found in the feeders to these systems.

A lot of gabbro's are too small and hence they cool down quickly and don't allow for differentiation. What we have here is a very large gabbro. 300m thick and still going. The conductor is over 10km long by 2km wide (gabbro is bigger). Hence we have a very large pool of lava that would of taken a long time to cool down and hence provides the perfect conditions for differentiation of minerals.

The low level ni-cu-pt encountered at higher levels indicates that yes - nickel and copper are present and that it also may have differentiated to the extent that massive sulphides may be encountered towards the bottom.

FCN's 2004 drilling stopped short. Still in the gabbro. The conductors are between 700m and 1000m (below where FCN drilled). If the gabbro goes down to 1000m (i.e. 500m width). Thats a big gabbro!

Voisey Bay is the type of target they are after. Voisey Bay has resources of 136 million tones, grading 1.59 percent Ni and 0.85 percent Cu. One of the deposits at Voisey - the Ovoid Zone (located at the base of the gabbro) consists of 31.7 Mt of near-massive to massive sulphides, mainly pyrrhotite, pentlandite and chalcopyrite. It is approximately 70% massive sulphide, grading roughly 2.8% Cu, 1.7% Ni, 0.1%Co. The Ovoid is about 900m long, 500m wide, and is over 100m thick at the center.

Norilsk is another similar target. There are a number of different deposits held by Norilsk (the Company). Proved and probable ore reserves of the deposits of the Taimyr and Kola Peninsulas contain over 6 million tonnes of nickel and over 9 million tonnes of copper. Additional measured and indicated mineral resources in the Taimyr Peninsula and the Kola Peninsula deposits contain more than 10 million tonnes of nickel and more than 16 million tonnes of copper. Proved and probable ore reserves in the Taimyr Peninsula deposits also contain 63 million ounces of palladium and 16 million ounces of platinum at a combined grade of 7.54 grams per tonne. Measured and indicated mineral resources in the Taimyr Peninsula deposits contain almost 140 million ounces of palladium and over 40 million ounces of platinum.

A good laymans description is here: http://maurice.strahlen.org/siberia/norilsk.htm

More here:

http://www.portergeo.com.au/tours/nickel2006/nickel2006deposits.asp

Note how each of these deposits occur at the base of the gabbro's!!! For that to happen the lava needs to cool down slowly which occurs when we have a big intrustion. FCN's is big.

References:

http://www.fugroairborne.com/resources/case_studies/minerals/voiseys.html

http://www.nornik.ru/_upload/editor_files/new_upload/file0126.pdf

Not for the faint of heart, but expect FCN to go up in the next few days. It will take about 10 days to drill down to 700-800m (where we will find out what is causing the anomaly) so I would expect FCN to move up in anticipation. Some may want to take profits on the way up as if it turns a duster it will get dumped.

The large conductor is quite likely to be sulphides, it's just a matter of what is in the mix. Mostly pyrite/pyrrhotite ? Voisey Bay goes up to 90% sulphides, but mostly pyrite, but with nickel/copper etc accumalated in higher economic concentrations. Presence of nickel higher up in the gabbro is encouraging as it shows nickel is present in the gabbro! Time will tell. Definitely worth a punt.

Deep yes, but ni-cu-pge is a very high value mix to be chasing and the target could be large which makes it very economic if it exists.

30% only? Of what? A potential Voisey Bay/Norilsk? These deposits are in the Olympic Dam scale. Wouldn't mind 30% of that!

I predict three scenarious:
Scenario 1: SP goes up to 40 over next week or so as investors jump on. Hole turns a duster, something other than sulphides. Maybe a magnetite body below the gabbro? Share gets dumped down to low 30's and drifts lower over next few weeks.

Scenario 2: SP goes up to 40 over next week or so as investors jumm on. Hole intersects massive sulphides, tenor uncertain, some visible copper (i.e. can't tell if nickel is present as looks similar to pyrite, PGE also can't be seen). SP jumps up and we have a MOX scenario. 6 weeks later assays come back if good up if bad down.

Scenario 3: SP goes up to 40 over next week or so as investors jump on. Hole intersects massive sulphides with strong visible copper. SP goes through roof. Assays come back with Ni-cu-pge. SP goes higher.

Lots of in between scenarious.

IMO scenario 1 is unlikely. The gabbro is there. The anomaly is conincident with it and at the inferred base. Very likely to be sulphides of some sort.

Scenario 2 is the most likely. In which case we won't know until assays are in as to what exactly is there. Note that even if they come back with an announcement stating "100 - 200m of massive sulphides, some visible copper" that is a significant discovery. This is a big anomaly and remember Voisey Bay (Ovoid) is at the base and only measures 900m long. This anomaly is 10km by 2km.

Scenario 3 is winning lotto ticket!

Get your ticket now!