Blackstone Minerals signs MoU with Korea’s Largest EV Battery Cathode Producer

THE BOURSE WHISPERER: Blackstone Minerals (ASX: BSX) has entered a memorandum of understanding (MoU) with Korea’s largest electric vehicle (EV) battery cathode manufacturer.

Blackstone has inked a non-binding MoU with Ecopro BM Co Limited that outlines an alliance structure whereby Ecopro BM and Blackstone will work in partnership to develop a downstream processing facility in association with the company’s Ta Khoa nickel project in northern Vietnam.

The MoU is a boon for both entities in that Blackstone wishes to engage a development partner to provide funding to commercialise the Ta Khoa nickel project, while Ecopro BM has indicated its willingness to enter into an alliance with Blackstone with a view to formalising a Joint Venture on the downstream processing infrastructure project in association with the project.

The intention of the MOU is for the parties to enter into an alliance to form a Joint Venture with the intention to develop a suitable nickel, cobalt or other battery mineral product for lithium-ion battery manufacturing.

“We are pleased to announce an MoU with Korea’s largest cathode manufacturer,” Blackstone Minerals managing director Scott Williamson saidn in the company’s announcement to the Australian Securities Exchange.

“Our Ta Khoa nickel project has significant potential to deliver the critical raw materials required for Ecopro’s cathode manufacturing process and meet the ever-increasing demand for high-nickel content cathodes driven by the imminent electric vehicle (EV) revolution.

“We look forward to finalising a formal agreement with Ecopro over the coming months.

“In the meantime, we continue the exploration and development of our flagship Ta Khoa nickel project in northern Vietnam.”

Blackstone is keen to deliver a maiden resource on the disseminated sulphide (DSS) at Ban Phuc over the coming months as it investigates the potential to restart the existing Ban Phuc concentrator through focused exploration on both massive sulphide veins (MSV) and DSS deposits.

The company has commenced a scoping study on the downstream processing facility at Ta Khoa, the purpose of which is to provide detail for potential JV partners to formalise a binding agreement.

Blackstone has commenced metallurgical testing on the Ban Phuc DSS orebody with an aim to develop a flow sheet for a product suitable for the lithium ion battery industry.

In addition, Blackstone intends to investigate the potential to develop downstream processing infrastructure in Vietnam to produce a downstream nickel and cobalt product to supply Asia’s growing lithium ion battery industry.

The Ta Khoa nickel project in Vietnam includes an existing modern nickel mine which has been under care and maintenance since 2016 due to falling nickel prices.

Existing infrastructure includes an internationally designed 450,000 tonnes per annum processing plant.

 

Email: admin@blackstoneminerals.com.au

 

Web: www.blackstoneminerals.com.au

 

Matsa Resources Records Multiple Gold Hits at Red October

THE DRILL SERGEANT: Matsa Resources (ASX: MAT) declared multiple intersections of very high-grade gold from recent drilling undertaken at the company’s Red October gold project in the Eastern Goldfields of Western Australia.

Matsa Resources completed 11 underground diamond drill holes, for a total of 1,451 metres focussing on extensions in the main mining area (ROSZ North).

The company said the gold assays produced confirm the high-grade potential of the Red October gold mine.

Gold intercepts for new zones include:

2.5 metres at 48.7 grams per tonne gold; and
2.55m at 4.89g/t gold.

Additional Red October Shear Zone (ROSZ) intercepts include:

6m at 2.21g/t gold; and
4.4m at 3.3g/t gold.

“We can again prove that substantial new mining opportunities remain at the Red October gold project,”

“The results achieved by this drilling program are extremely exciting for the company.

“Our belief continues to be, that substantial gold zones remain undiscovered and abundant opportunities exist to develop a long term, highly rewarding, underground gold mining operation at Red October.

“This belief was the core reason we acquired Red October.

“We will enthusiastically continue to grow and develop Red October and we expect many more exciting results.”

 

Email: reception@matsa.com.au

Web: www.matsa.com.au

 

Lithium Australia and Neometals Leading the Australian LIB Recycling Pack

THE BOURSE WHISPERER: There is little doubt that the world is currently in the thrall of the lithium-ion battery (LIB).

They help us survive the modern struggles that we encounter on a daily basis, such as maintaining a charge on our mobile phones or computer-related devices, thus keeping us contacted with the rest of the world and our family members in the next room.

They are, presently, our greatest source of portable power.

They are also, ironically, creating an environmental nightmare.

Analysts who like to make themselves important have made some big predictions in recent years, especially in regard to the market penetration of LIBs, particularly in the electric vehicle (EV) sector.

Through all the noise in this space, it has generally filtered through that it is likely that the availability of spent batteries will rise to more than seven million tonnes annually over the next 20 years.

Diligently, we sort our household rubbish each week, or fortnight, depending on the generosity of your local council, into different levels of importance, filling any number of bins to assuage our collective waste related guilt.

On a global basis, however, only around nine per cent of spent LIBs are recycled to keep them out of landfill and recover valuable metals.

In Australia, which is supposedly one of the recycling powerhouses, the recycling rate is embarrassing, some would say woeful, coming in at less than three per cent.

What this all means is that the world is missing out on a great opportunity – that being the large quantity of batteries discarded globally actually represents a potentially significant resource.

Australia is a long way behind the countries that are presently leading the battery recycling wars.

Belgium, South Korea, China and Canada recycle the most batteries, with the metals they contain generally recovered by smelting – or as it is referred to by those in the know – pyrometallurgical processing.

Pyrometallurgical processing of spent LIBs can efficiently recover nickel, copper, cobalt and manganese from LIBs, but not the lithium or graphite.

Research and development into the science by Western Australia-based battery recycling company, Lithium Australia (ASX: LIT) realised that a potential alternative to the downsides associated with pyrometallurgical processing is to take a hydrometallurgical approach.

Lithium Australia is developing a hydrometallurgical technique that recovers all metals, including lithium, from spent LIBs.

Lithium Australia has openly declared that its corporate intentions include shoring up an ethical and sustainable supply of energy metals to the battery industry, thus enhancing energy security in the process.

The company is eager to create a circular battery economy and has highlighted the recycling of old lithium-ion batteries to new is intrinsic to this plan.

In October 2019, Lithium Australia announced it had increased its equity in Envirostream Australia Pty Ltd (EA) to 23.9 per cent.

Envirostream is the only company in Australia with the integrated capacity to collect, sort, shred and separate all the components of spent LIBs.

Another string to Lithium Australia’s LIB bow is it 100 per cent-owned subsidiary company, VSPC Ltd that has developed advanced processes for manufacturing lithium-ferro-phosphate (LFP) cathode powders at its R&D and pilot plant facility in Brisbane, Queensland.

The cathode powders produced by VSPC possess simple nanotechnology that produces superior battery cathodes, provides control of composition and particle size in a precise manner and highly reliable quality control with low production costs.

Recent evaluation of VSPC’s Gen 4 LFP cathode material was undertaken at Chinese battery producer DLG Battery Co., Ltd. That saw the materials assessed in a commercial 18650 battery-cell format under a range of electrochemical and temperature conditions and subjected to long-term cycle testing.

The testing concluded that VSPC’s LFP material met DLG’s stringent specifications for use in LIB cells for both power and energy applications.

VSPC also received positive feedback from Japanese battery-cell producers, which are evaluating its LFP products at laboratory scale with the electrochemical performance of VSPC’s LFP material meeting the rigorous Japanese requirements.

“This year has seen a significant shift in the Chinese battery markets, with greater demand for LFP for use in short-range electric vehicle and energy-storage applications,” Lithium Australia managing director Adrian Griffin said.

“The test results from battery producers in China and Japan show clearly that the performance of VSPC cathode powders is comparable to other materials currently supplied for the production of LFP LIBs.

“We look forward to furthering our partnerships within the battery industry and, ultimately, supplying products that meet not only VSPC’s stringent quality specifications but those of its international customers.”

Lithium Australia anticipates the market for LFP to grow strongly in the next 10 years, due to its particular suitability for energy storage and certain types of transportation, which includes being a replacement for lead-acid batteries in various automotive applications and as back-up for power supplies.

Another Western Australian company that was an early battery recycling proponent is Neometals (ASX: NMT).

Neometals has been also carrying out LIB Pilot test-work, however its focus is the recovery of very high-purity (+99.9%) nickel-sulphate solution from the hydrometallurgical processing stage of its patent pending recycling technology.

The latest tests produced nickel recovery from shredded battery feed into nickel product that exceeded 98 per cent.

The Pilot test-work being is being undertaken on behalf of Neometals by SGS Canada Inc.

The work represents part of the pre-development activities for a proposed commercial LIB recycling venture targeting greater than 90 per cent recovery of LIB materials from electric vehicle and consumer electronics production scrap and end-of-life cells.

Neometals shredded and processed 2.3 tonnes of spent commercial LIBs during the initial Feed Preparation Stage of the Pilot test-work.

A total of 980 kilograms of mixed cathode and anode materials, known as Black Powder, fed the subsequent hydrometallurgical processing stage, from which chemical products are recovered and refined into high-purity cathode intermediate materials.

The Hydrometallurgical Processing stage leaches the Black Powder and sequentially recovers cathode materials, which are refined to generate high-purity chemical products for potential sale directly into the battery supply chain.

As the Pilot test-work program draws towards completion, it does so having recovered a suite of materials, including copper, manganese, cobalt and nickel-sulphates.

“The Pilot test-work continues to deliver very encouraging results that support the Neometals desire to sell high-purity cathode materials back into the battery supply chain,” Neometals managing director Chris Reed said.

“With provenance, ethical supply and material scarcity concerns, a sustainable, secure supply chain will be key for leaders in energy storage.

“Eco-friendly recycling will play that vital role and our development timing aligns well with global forecast cell capacity against the projected supply deficit in traditional mine-sourced battery minerals.”

Neometals said the purity and the recovery rates of the nickel product materially had exceeded its expectations, enabling it to tick off another milestone in the confirmation of the technical feasibility of the company’s proprietary process.

The company explained that the recovery of cobalt and nickel are key drivers of the project economics adding that the Pilot purity/recovery data strongly supports the validity of previous economic evaluations.

Neometals expects to hit its remains on schedule for completing the bulk of the Pilot stage by December 2019.

It is also expected that the recovery of lithium will be due to commence prior to year-end and be concluded in January 2020 along with outcomes from final purification and crystallisation to produce ultra-high purity, cathode materials.

Successful completion of the Pilot and confirmation of the mass-energy balances are the key technical considerations for SMS Group’s due diligence for a 50:50 joint venture decision.

 

Email: info@lithium-au.com
info@neometals.com.au

 

Web: www.lithium-au.com
www.neometals.com.au

 

Encounter Resources Generates New Paterson Province Copper Targets

THE DRILL SERGEANT: Encounter Resources (ASX ENR) has recently completed the application of advanced exploration technologies at the company’s Yeneena copper-cobalt project in the Paterson Province of Western Australia.

Encounter Resources, in collaboration with Independence Group (ASX: IGO) conducted a large scale (approx. 100-line km) magnetotelluric (MT) survey at the Yeneena project.

The MT survey was part of the company’s 2019 program that was designed to define the 3D geology and identify large scale copper targets by applying several advanced exploration technologies for the first time at the Yeneena project including:

The large-scale (MT) survey to better define the Yeneena basin architecture and further advance 3D target definition;

Detailed 3D audio-magnetotelluric (AMT) inversion modelling over the Aria iron oxide copper-gold prospect in order to better define possible conductive zones associated with significant Cu sulphide mineralisation;

End-of-hole trace multi-element geochemistry of historical AC drilling to define alteration footprints of copper deposits and the host rocks, which remains in progress; and

Application of new surface geochemistry techniques to detect base metal anomalies through shallow sand cover, the trial phase of which is complete with follow up sampling programs in progress.

The work completed to date has generated a suite of new copper targets at Yeneena.

“The Paterson Province is a highly fertile district with enormous potential for new copper discoveries under thin sand cover,” Encounter Resources managing director Will Robinson said in the company’s announcement to the Australian Securities Exchange.

“Applying new technologies is providing us with an improved understanding of the geological framework in areas where we have already drilled high grade copper mineralisation.

“These new targets generated are now being integrated and refined to be ready for drilling in the 2020 field season.”

The Yeneena project is an alliance between Independence Group and Encounter, under which IGO may, at any time before 1 March 2020, elect to enter an earn-in agreement to spend up to $15 million to earn a 70 per cent interest in the project.

The Yeneena project was recently expanded by 20 per cent through an option agreement completed covering 235 square kilometres of ground adjacent to Yeneena.

 

Email: contact@enrl.com.au

Web: www.enrl.com.au

 

Peel Mining Identifies New Southern Nights Mineralised Zone

THE DRILL SERGEANT: Peel Mining (ASX: PEX) claimed discovery of a new high-grade zone to the south of the Southern Nights deposit at the company’s 100 per cent-owned Wagga Tank-Southern Nights project, located south of Cobar in western New South Wales.

Peel Mining reported the discovery was made during an ongoing resource upgrade drilling program underway at Wagga Tank-Southern that had been primarily designed to develop higher confidence resources and to progress the project towards development.

The company said the new high-grade zone was encountered around 500 metres south of the high-grade Southern Nights Central Zone in an area that has been subjected to limited drilling, near the boundary of the existing resource model.

Drillholes WTRCDD229 and WTRCDDD238 intercepted healthy zones of very high-grade zinc and lead mineralisation, which the company said were similar to the intercepts returned from the Southern Nights Central Zone.

“The new high-grade intercepts at the southern edge of Southern Nights continue to underline the incredible quality and scale of these mineral systems,” Peel Mining managing director Rob Tyson said in the company’s announcement to the Australian Securities Exchange.

“The latest intercepts are on the edge of the current resource model offering excellent exploration upside.

“Most importantly, this mineralisation adds further weight to the future development prospects of the project, highlighting the opportunity to increase the grade and tonnage profile of the deposit.”

Elsewhere at Southern Nights, Peel received results from several drillholes targeting infill and extensions at the northern end of the Southern Nights Central Zone.

WTRCDD186 returned several zones of mineralisation including:

10.66 metres at 4.27 per cent zinc, 1.32 per cent lead, 242 grams per tonne silver, 0.24g/t gold from 390.11m, including 5.22m at 7.39 per cent zinc, 2.25 per cent lead, 454g/t silver, 0.44g/t gold from 390.11m.

WTRCDD221 also returned several zones of mineralisation including:

6.6m at 4.37 per cent zinc, 2.02 per cent lead, 26g/t silver and 0.13g/t gold from 367.9m; and
6.04m at 3.89 per cent zinc, 0.23 per cent lead, 0.21 per cent copper, 10g/t silver and 0.46g/t gold from 381.46m.

Drilling at Wagga Tank was carried out to test for north-south extensions to the existing resource, shallower up-dip extensions to the resource, and also to provide infill drilling to improve the confidence of the resource.

The company said results it has received to date generally confirm the grade and continuity of mineralisation, and the modelled geometry of the deposit.

WTRCDD214 returned several zones of mineralisation including:

18.6m at 1.1 per cent copper, 0.32g/t gold from 124.4m, including 9m at 1.7 per cent copper, 0.39g/t gold from 134m; and
2m at 4.44g/t gold, 0.85 per cent copper, 20g/t silver from 275m.

 

Email: info@peelmining.com.au

Web: www.peelmining.com.au

 

THE DAILY ROADHOUSE

 

Stavely Minerals Expands Thursday’s Gossan Mineralisation

THE DRILL SERGEANT: Stavely Minerals (ASX: SVY) received assay results for further diamond drill holes undertaken at the Thursday’s Gossan prospect, part of the company’s 100 per cent-owned Stavely copper-gold project in Victoria.

Musgrave Minerals Intersects High-Grades at Mainland

THE DRILL SERGEANT: Musgrave Minerals (ASX: MGV) reported high-grade gold results from reverse circulation (RC) drilling at Mainland on the company’s Cue gold project in Western Australia, where it has an option agreement to acquire 100 per cent of the basement gold rights.

Corazon Mining Adds Further Nickel to Lynn Lake Resource

THE DRILL SERGEANT: Corazon Mining (ASX: CZN) announced an upgraded Mineral Resource Estimate for the comapy’s Lynn Lake nickel-copper-cobalt sulphide project in Canada.

Matador Mining Progresses Cape Ray Environmental Assessment

THE BOURSE WHISPERER: Matador Mining (ASX: MZZ) updated the market on progress of the Environmental Assessment (EA) process for the company’s Cape Ray gold project in Newfoundland, Canada.

 

Stavely Minerals Expands Thursday’s Gossan Mineralisation

THE DRILL SERGEANT: Stavely Minerals (ASX: SVY) received assay results for further diamond drill holes undertaken at the Thursday’s Gossan prospect, part of the company’s 100 per cent-owned Stavely copper-gold project in Victoria.

Stavely Minerals declared that results from holes SMD054, SMD056 and SMD058, together with indications from ongoing drilling, continue to confirm and extend the shallow high-grade copper-gold discovery at the Thursday’s Gossan prospect.

Diamond hole SMD054, located 40 metres along strike to the north-west of discovery hole SMD050, returned high-grade assay results of:

11 metres at 4.62 per cent copper, 0.57 grams per tonne gold and 25g/t silver from 86m down-hole, including 7m at 7.10 per cent copper, 0.72g/t gold and 39g/t silver from 90m down-hole, including 3m at 10.87 per cent copper, 0.67g/t gold and 52g/t silver from 92m down-hole.

Drill hole SMD054 also intercepted another overlapping interval of nickel mineralisation, returning:

5m at 1.42 per cent nickel and 0.05 per cent cobalt from 96m down-hole.

Diamond hole SMD058, located between discovery holes SMD050 and the first step-out hole SMD051, intersected a broader zone of mineralisation:

23m at 1.34 per cent copper, 0.26g/t gold and 3.5g/t silver from 68m down-hole, including 3m at 6.33 per cent copper, 0.27g/t gold and 2.9g/t silver from 88m down-hole.

Diamond hole SMD056, targeted 40m below the discovery hole SMD050, did not reach target depth due to the drill rods breaking but still intersected encouraging mineralisation, including:

8.3m at 1.65 per cent copper, 0.23g/t gold and 7.2g/t silver from 157m down-hole, including 3m at 3.75 per cent copper, 0.25g/t gold and 10.2g/t silver from 157m down-hole; and

3m at 1.68 per cent copper, 0.18g/t gold and 8g/t silver from 79m down-hole.

Stavely has observed visuals from recently completed in-fill drill holes SMD059 and SMD060, located 160m and 120m south of SMD050 respectively, that it claims indicate thick, well-developed mineralised intervals.

Assays for these holes are pending.

The company is soon to commence drilling to test 100m of strike between SMD054 and historical hole SNDD001, which if successful could confirm the discovery of a strike length of over 500m.

“We are pleased that ongoing drilling continues to intersect well-developed, high-grade copper-gold-silver mineralisation with the added bonus of some quite unusual nickel-cobalt mineralisation,” Stavely Minerals executive chairman Chris Cairns said in the company’s announcement to the Australian Securities Exchange.

“As expected, we continue to see variation in widths and grade along the strike length of the discovery, but overall the picture is continuing to build strongly.

“In terms of the down-dip continuity, we still have an incomplete picture but the early indications are extremely encouraging.

“Of particular note from our recent drilling is that the visual observation of the mineralisation in SMD059 suggests that it extends beneath the low-angle structure (LAS).

“This provides encouragement that mineralisation does extend below the LAS and the depth potential of high-grade mineralisation is therefore not constrained by this structure.

“This opens up the entire discovery – and indeed the broader area below the shallow chalcocite blanket – quite significantly and represents a tantalising proposition.”

 

Email: info@stavely.com.au

 

Web: www.stavely.com.au

 

Musgrave Minerals Intersects High-Grades at Mainland

THE DRILL SERGEANT: Musgrave Minerals (ASX: MGV) reported high-grade gold results from reverse circulation (RC) drilling at Mainland on the company’s Cue gold project in Western Australia, where it has an option agreement to acquire 100 per cent of the basement gold rights.

Musgrave Minerals recently completed RC drilling that intersected high-grade gold at the Consols prospect at Mainland including:

19MORC018
12 metres at 8.1 grams per tonne gold from 108m down hole, including 6m at 14.2g/t gold from 114m;

19MORC019
2m at 55.4g/t gold from 52m down hole, including 1m at 108.3g/t gold from 52m; and

19MORC020
3m at 5.2g/t gold from 73m down hole.

The results have extended gold mineralisation at the Consols prospect along strike and down dip from the company’s initial drill program that intersected:

19MORC008
3m at 5.4g/t gold from 74m.

Consols remains open and untested along strike and at depth.

“This is a great early result at Mainland and supports the company’s view that there are significant gold discoveries still to be made in the Murchison,” Musgrave Minerals managing director Rob Waugh said in the company’s announcement to the Australian Securities Exchange.

“These early results are not dissimilar to the early results at Break of Day with the gold mineralisation remaining open to the west and down dip.

“Mainland has a long history of alluvial gold production and to discover a basement source for some of this historical production is a significant step forward.”

Musgrave Minerals indicated it was expecting further assay results for extensional drilling at Break of Day and Lena in mid-December following completion of the recent RC drilling program.

Meanwhile diamond drilling is underway at Lake Austin North as part of the Evolution (ASX: EVN) Joint Venture.

The Mainland area is excluded from the Earn-in and Exploration Joint Venture with Evolution Mining.

 

Email: info@musgraveminerals.com.au

 

Web: www.musgraveminerals.com.au

 

Matador Mining Progresses Cape Ray Environmental Assessment

THE BOURSE WHISPERER: Matador Mining (ASX: MZZ) updated the market on progress of the Environmental Assessment (EA) process for the company’s Cape Ray gold project in Newfoundland, Canada.

Matador Mining said it has made good significant progress in the latter half of this year regarding Environmental Assessments, specifically in the important areas of First Nation and Stakeholder Consultation.

The company has had meetings with the two Mi’kmaq First Nation Communities, from which it said positive feedback was received from the Chiefs and Band Councils.

Public meetings were also held in Port aux Basques and Isle aux Morts to present the project to the local communities that were both very well attended with local support for the project on show.

The company also provided insight to Environmental Baseline studies it has underway to satisfy Environmental Impact Statement Guidelines.

These are nearing completion and are expected to be completed early in 2020.

Meetings with officials at the provincial and federal environmental assessment agencies provided positive feedback on the process.

Matador has a Project Environmental Impact Statement (EIS) submission date targeted for Q3 2020 with approvals targeted for early 2021.

Other meetings have also been held with Newfoundland and Labrador Hydro (NLH) that have identified potential grid connection points and internal studies have been initiated by Newfoundland and Labrador Hydro to determine optimal grid connection points for project power.

Matador indicated this could have potential to reduce operating costs, which will be highlighted in the company’s development study that remains on track to be released during Q1 2020.

“The pace at which we have been able to move ahead with our Environmental Assessment for the Cape Ray gold project has been very encouraging and initial discussions with elected officials in Newfoundland have garnered significant project support with the permitting process expected to be completed in a relatively short time frame,” Matador Mining technical director Keith Bowes said in the company’s announcement to the Australian Securities Exchange.

“In parallel with our assessment work we are also pursuing options for grid power connections for a future operation.

“Newfoundland has an abundance of hydroelectric power (through the new Maritime link) which will benefit the project as grid connections are in close proximity to the site and power authorities have already expressed a willingness to support the project.

“Given the current status of the Environmental Assessment, the progress made with the exploration program and our initial assessment work, Matador is on track to potentially become the next major gold producing mine in Newfoundland.”

 

Email: info@matadormining.com.au

 

Web: www.matadormining.com.au

 

Corazon Mining Adds Further Nickel to Lynn Lake Resource

THE DRILL SERGEANT: Corazon Mining (ASX: CZN) announced an upgraded Mineral Resource Estimate for the comapy’s Lynn Lake nickel-copper-cobalt sulphide project in Canada.

Corazon Mining reported the current total Resource Estimate includes just six deposits within the Lynn Lake Mining Centre, with multiple additional areas of mineralisation yet to be evaluated as potential additions to the Resource base.

The upgraded Resource includes:

16.3 million tonnes at 0.72 per cent nickel, 0.33 per cent copper, 0.033 per cent cobalt (Indicated and Inferred, at a 0.5% Ni cut-off), for total contained metal of 116,800 tonnes of nickel, 54,300 tonnes of copper, and 5,300 tonnes of cobalt.

The upgraded Resource includes an internal high-grade Resource Estimate of:

5.4 million tonnes at 0.99 per cent nickel, 0.41 per cent copper, 0.043 per cent cobalt (Indicated & Inferred, 0.7%Ni cut-off) of high-grade material.

“Corazon now has almost 117,000 tonnes of nickel metal in sulphide Resource sitting in one of the best mining provinces in Canada,” Corazon Mining chairman Terry Streeter said in the company’s announcement to the Australian Securities Exchange.

“All indications are that this will be further expanded.

“We’ve a drill rig on site setting up on targets recently generated in and around the Mining Centre.

“The forecasts for Class 1 nickel demand is quite strong and we are keen for Lynn Lake to be in a position to take advantage of that market.”

Corazon declared the Mineral Resource Estimate to be of a very high quality that is well supported by drilling and historical mining data.

The company anticpates very little additional verification drilling and sampling will be required to upgrade the majority of the defined tonnages in the Resource to the higher Measured category.

The estimation has focused on the EL, N, O, P, Disco and Golf deposits within the Mining Centre.

The nickel sulphide deposits are close to each other, with the EL, N and O deposits having been subjected to historical mining and development.

The Golf deposit was drilled out just prior to mine closure and the Disco deposit was discovered in 2008, well after mine closure in 1976.

Lynn Lake hosts additional deposits, as well as numerous occurrences of drill-defined mineralisation, that are yet to be considered for resource studies.

These areas support the potential for further upgrades to Lynn Lake’s Mineral Resource.

The Lynn Lake deposits provide the opportunity for mining using large tonnage, low cost methods.

The historical mined grades at the A Plug were approximately 0.86 per cent and 0.44 per cent copper with the higher-grade EL Plug being mined at 2.5 per cent nickel and 1.15 per cent copper.

The company claimed the new Resource Estimate grades are consistent with the tenor of mineralisation previously mined at Lynn Lake.

 

Email: info@corazon.com.au

Web: www.corazon.com.au