Australian Mines detects conductor below mineralisation

THE DRILL SERGEANT: Australian Mines (ASX: AUZ) claims to have detected a strong late-time bedrock conductor whilst carrying out an ongoing electromagnetic (EM) survey over the company’s Marymia project in Western Australia.

The company said the newly identified conductive body lies directly beneath a thick layer of nickel oxide mineralisation it had previously intersected during scout drilling of this particular nickel region.

Rotary air blast (RAB) drill hole NKB0724, which was completed as part of the scout drilling program returned:

22 metres at 0.58 per cent nickel from 22m, including 4m at 1.07 per cent nickel from 28m.

Australian Mines indicated this intersection was achieved immediately above the new bedrock conductor.

An adjacent RAB hole NKB0723, which is the only other hole drilled over this target area to date, also intersected nickel oxide mineralisation, returning:

16m at 0.67 per cent nickel from 8m down hole.

The company said modelling of the newly-detected EM conductor at Marymia, now known as the Burton prospect, indicates the top of the body occurs at a depth of 140m.

 

Location of the newly detected conductive body (Burton prospect)
superimposed over a coloured image of the high-resolution aeromagnetic
data. Source: Company announcement

 

Australian Mines flagged its intention to drill test the 600m strike length conductor in February 2015.

The company also said it would be continuing its expanded EM survey at Marymia, which will include testing the northern extension of the Simmons prospect, where it claims recent drilling confirmed the presence of sulphides near the basal contact of a komatiitic unit.

The current ground-based EM survey is expected to be completed by mid-December with the results due by February 2015.

“The identification of a late-time conductor beneath a thick layer of nickel oxide mineralisation further strengthens our belief that Marymia has the potential to host significant Kambalda-style nickel sulphide mineralisation,” Australian Mines managing director Benjamin Bell said in the company’s announcement to the Australian Securities Exchange.

“We look forward to providing further updates on our exploration activities as we finalise the EM survey in the coming weeks.”

Email: office@australianmines.com.au

Website: www.australianmines.com.au