THE BOURSE WHISPERER: Rox Resources (ASX: RXL) has exercised its option to acquire 100 per cent, the mineral tenements covering the Camelwood, Musket and Cannonball nickel sulphide mineral resources at the company’s Fisher East nickel project, located north of Kalgoorlie in Western Australia.
The Mineral Resource at Fisher East currently sits at 3.6 million tonnes at 2 per cent nickel for 72,100 tonnes (159 million pounds) of contained nickel.
The company anticipates providing an update to this Resource soon.
This acquisition brings the total area 100 per cent-owned by Rox at Mt Fisher to 600 square kilometres.
The company completed a Scoping Study earlier this year, which demonstrated the project to be technically low-risk with a cost base similar to other nickel sulphide projects currently operating in WA.
A Pre-Feasibility Study involving new resource modelling, geotechnical assessment, mine planning and scheduling, metallurgical testwork and environmental studies is currently underway.
Rox Resources managing director Ian Mulholland said in the company’s announcement to the Australian Securities Exchange.
“The acquisition of these tenements gives Rox 100 per cent ownership of all of the nickel resources identified in the area to date for less than 1.5 cents per pound of nickel.
That, together with our discovery cost to date of less than 5 cents per pound of nickel highlights the attractiveness of the project and why we continue to focus on the area.
“Having recently moved to pre-feasibility at the Fisher East nickel sulphide project it was imperative that we secured absolute ownership of the tenements.
“Not only have we acquired the nickel resources for a very attractive price and increased the area we control to 600 square kilometres, but we also have an option to acquire an additional 75 square kilometres of very prospective acreage that has a further 15 kilometres of strike of the nickel rich ultramafic belt and which contains the recently discovered Sabre and Tomahawk mineralisation.
Mulholland explained the tenements acquired also include a number of gold prospective areas, including the historic Mt Fisher gold mine where more than 25,000 ounces of gold has been mined at grades above 4g/t gold.
“We continue to focus on the Fisher East nickel sulphide project, but there is also still considerable gold potential on the tenements,” he said.
“We haven’t lost sight of that potential.”