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Pioneer Resources Intersects New Lithium and Caesium

THE DRILL SERGEANT: Pioneer Resources (ASX: PIO) has just recently completed a drilling program at the company’s 100 per cent-held Pioneer Dome project, located in the Eastern Goldfields of Western Australia.

Pioneer Resources had designed the drilling to further test lithium and caesium extensions north and south of the recently completed Sinclair Caesium Mine Stage 1 Pit.

Drilling Highlights included:

Lithium

PDRC235
11 metres at 1.94 per cent lithium oxide (Li2O) from 40m (petalite)

PDRC236
8m at 3.1 per cent Li2O from 42m (petalite)

PDRC252
14m at 1.68 per cent Li2O from 38m (petalite)

PDRC241
21m at 1.96 per cent Li2O from 38m (petalite and lepidolite)

PDD258
11.2m at 1.77 per cent Li2O from 50m (petalite and lepidolite)

PDRC255
10m at 2.13 per cent Li2O from 40m (lepidolite)

PDD259
11.2m at 2.17 per cent Li2O from 52.5m (lepidolite)

Caesium

PDD262
2.8m at 14.58 per cent caesium oxide (Cs2O) from 51.9m (pollucite)

PDD261
1.9m at 23.92 per cent Cs2O from 54.5m (pollucite)

PDD259
0.8m at 14.01 per cent Cs2O from 54.7m (pollucite)

Pioneer conducted the drilling during late May and June 2019, consisting 24 RC drill holes (PDRC233- PDRC256 for 2,160m) and six diamond drill holes (PDD257 – PDD262 for 400.3m of core).

The company indicated the drilling intersected some of the thickest and highest-grade lenses of lithium (petalite and lepidolite) mineralisation to date (including a high-grade petalite intersection of 8m of 3.1% Li2O), as well as potash (K) feldspar and quartz, being continuations of zones encountered in the stage 1 Sinclair Caesium Mine.

The caesium mineral pollucite was intersected where targeted in three drill holes.

The extremely differentiated pegmatite core, where pollucite may occur, extends both north and south of the Sinclair Mine, albeit in this programme pollucite was intersected only as small pods north of the stage 1 pit.

Pioneer signalled it would now be commencing drilling for spodumene at the SPOD1 and SPOD2 targets, following identification of outcrops of spodumene at the Dome North prospect.

The company has been in discussion with pollucite offtaker, Sinomine Specialty Fluids Limited, resulting in variations to sale and shipping terms to expedite the shipping of pollucite stocks.

A shipment of approximately 2,000 tonnes of pollucite has been containerised ahead of a shipping date of 27 August 2019.

The company received a pre-shipment payment of US$700,000 ($1.029 million) on 12 August 2019, with a second pre-shipment payment of US$650,000 (~$0.956 million) due before containers are loaded onto the ship.

Further discussions are continuing with potential offtake parties interested in minerals other than pollucite that were stockpiled during excavation of the Sinclair Caesium Mine Stage 1 open pit.

“Several parties have, or are, undertaking test work on samples of the stockpiled materials, with most interest received for petalite to date,” Pioneer Resources said in its ASX announcement.

“Market feedback indicates that each of the stockpiled materials in its current form (i.e. run-of-mine) will require beneficiation to increase saleability and margins.

“Ore sorting test work is in train, and the results of this drilling program will contribute to the study of the viability of a future pit expansion.”

 

Website: www.pioresources.com.au

 

Pioneer Resources Identifies Spodumene Targets at Pioneer Dome

THE DRILL SERGEANT: Pioneer Resources (ASX: PIO) has identified two spodumene-bearing pegmatites at the Dome North prospect within the company’s 100 per cent-held Pioneer Dome project near Norseman in Western Australia.

Pioneer Resources identified the two targets from recent mapping and rock sampling, resulting in the first time that spodumene, a major source of lithium, being identified within the Pioneer Dome project.

Spodumene Target 1: Orientation rock chips assays returned 1.4 per cent lithium oxide (Li2O); 1.71 per cent Li2O and 1.73 per cent Li2O.

Pioneer said these and a further four samples of outcropping rocks were confirmed as containing spodumene using a Bruker Bravo Raman spectrometer.

Samples were taken over a strike length of 150 metres.

Spodumene Target 2: 18 rock chips containing spodumene were taken along 400m of outcropping pegmatite before becoming covered by soil.

Spodumene was again confirmed by Raman.

Pioneer has submitted both targets for confirmatory chemical analysis, however, it did acknowledge that it already considers both targets drill ready.

The company has completed a program of extensional drilling at its Sinclair pollucite mine and is currently waiting on assay results.

The drilling encountered lithium mineralisation (lepidolite and petalite) along strike, running approximately 150 metres to the north of the northern pit wall and 80 metres to the south of the southern pit wall.

Pioneer has now received payments totalling US$2.6 million for sales of pollucite, from which it has repaid the loan facility of US$4.8 million provided by offtake partner Cabot Specialty Fluids Limited.

The Resources Roadhouse spoke with Pioneer Resources CFO Tim Spencer at the 2019 Gold Coast Investment Showcase to get the lowdown on the company’s recent progress.

 

 

Email: pioneer@pioresources.com.au

Website: www.pioresources.com.au

 

Companies of Interest Presenting at Gold Coast Investment Showcase

THE CONFERENCE CALLER: The 2019 Gold Coast Investment Showcase is just two weeks away and The Resources Roadhouse continues its look at companies that will be in attendance.

 

Pioneer Resources (ASX: PIO) informed the market of TSX-listed Novo Resources Corp.’s intention to enter into a US$30 million farm-in and Joint Venture agreement with Sumitomo Corporation of Tokyo, Japan, and its wholly-owned Australian subsidiary.

The aim of the JV is to advance Novo’s Egina project located approximately 80 kilometres south-southwest of Port Hedland in Western Australia.

The Egina project includes Pioneer Resource’s Kangan gold project, where Novo is currently earning an interest under a binding memorandum of agreement that has now been replaced with a new agreement on essentially the same terms that allows Sumitomo to become a party to it.

Pioneer retains a 30 per cent free-carried interest in the Kangan project up to a decision to mine, after which it becomes a contributing JV partner.

Pioneer explained that Sumitomo, via an Australian subsidiary, has agreed to join Novo in spending $460,000 within the next 18 months to earn a joint 70 per cent interest in the Kangan gold project.

Upon Novo and Sumitomo earning their combined 70 per cent interest, Pioneer is free carried up to a decision to mine and thereafter contributes in proportion to its JV interest.

The Kangan gold project, currently held 100 per cent by Pioneer, forms a key part of Novo’s Pilbara exploration portfolio and sits within that company’s Egina project, which lies in the heart of the Pilbara conglomerate gold province.

“The addition of Sumitomo to the Kangan farmin/JV adds significant financial and technical power to support Novo’s efforts at the Kangan JV project, and we look forward to receiving results as exploration programs at Egina and Kangan advance,” Pioneer Resources managing director David Crook said.

The gold deal comes as Pioneer maintains its caesium-focus with drilling underway at the company’s Sinclair lithium-caesium-tantalum (LCT) Pegmatite at its 100 per cent-held Pioneer Dome project near Norseman in Western Australia.

The drilling coincides with the company’s plans for a third shipment of pollucite scheduled for the third week of June 2019.

The RC drilling, comprising 2,000m, has been designed to discover extensions to the core zone of the Sinclair Pegmatite, which contains the complex array of alkali metal minerals including pollucite, potash feldspar, petalite, lepidolite and cleavelandite.

Drilling will test a zone approximately 150m long both to the north and south of the pit.

A further 500m of diamond core drilling will commence as the RC drilling phase nears completion, targeting pollucite mineralisation extensions and caesium anomalies that occur to the north of the Sinclair Pit.

 

Matsa Resources (ASX: MAT) recently announced the execution of an Ore Purchase Agreement with AngloGold Ashanti Australia (AGAA) for the purchase of ore from the company’s Red October mine.

Matsa Resources informed the market that ore from Red October is to be treated at the AGAA-owned Sunrise Dam gold mine, for up to five years.

The 3.8 million tonne per annum mill at the Sunrise Dam gold mine is located approximately 60 kiloetres from the Red October gold mine and provides Matsa with access to a nearby milling solution for its Stage 1 production ore and for a further 4.5 years thereafter.

Matsa has previously delivered ore from its Fortitude and Red Dog gold mines to Sunrise Dam and is confident in the outcomes of the ore processed there.

Matsa will be responsible for mining and transporting the ore to Sunrise Dam with AGAA taking possession of ore once delivered.

The company said the agreement will allow Matsa to continue to progress mining at the Red October gold mine at a relatively low capital cost.

“The execution of the Agreement with AngloGold Ashanti continues our strong relationship and builds on the MoU both parties entered into in mid-2018,” Matsa Resources executive chairman Paul Poli said.

“Previous mining campaigns at Fortitude and Red Dog have been successfully processed at Sunrise Dam with minimal fuss and we expect this to be no different.

“The fact that AngloGold are prepared to potentially accept all ore from Red October for up to five years is testament to this as Matsa looks to develop a longer term mine plan in the future.”

 

Graphite-focused Renascor Resources (ASX: RNU) has been bust at the company’s 100 per cent-owned Siviour graphite project, located in South Australia’s Eyre Peninsula.

Renascor Resources received a Letter of Interest (LoI) for export credit agency (ECA) cover from Atradius Dutch State Business, the Government of the Netherlands’ official ECA

The LoI came after a preliminary assessment of the Siviour graphite project by Atradius on behalf of the Dutch State, confirming in principle project finance support under the Dutch export credit guarantee scheme.

Atradius is the official ECA that administers the ECA scheme for the Government of the Netherlands.

In order to promote Dutch exports, Atradius offers insurance and guarantee products for projects involving the export of capital goods from the Netherlands.

ECA Cover from Atradius is often used to assist Dutch exporters in winning export transactions and increasing the capacity to raise finance from banks for projects involving Dutch exports.

The Dutch ECA scheme was identified as applicable to Renascor’s Siviour project based on the sourcing of Dutch content through Renascor’s Dutch strategic engineering partner, Royal IHC.

Renascor has estimated that up to approximately 60 per cent of project capital expenditure is expected to qualify under the Atradius ECA Cover.

Renascore also had a Mineral Lease for the Siviour graphite project granted by the South Australian Minister for Energy and Mining.

The grant came on the back of three-years of preparation and review of all potential environmental, social, economic and technical aspects of the project.

A positive Pre-Feasibility Study confirmed the opportunity to unlock further value from Siviour through Australia’s first integrated graphite concentrate and spherical graphite operation.

Renascor believes the project economics of the Spherical PFS highlight Siviour’s potential to achieve high economic returns through the vertically integrated development of a mine and flake graphite concentrate operation, plus downstream production of spherical graphite.

The company also upgraded the JORC Mineral Resource estimate for the Siviour project after completion of an infill drill program, which was conducted to improve the confidence in the Siviour Indicated Resource

This resulted in a Measured Resource estimate of 15.8 million tonnes at 8.8 per cent total graphitic carbon (TGC) for approximately 1.4 million tonnes of contained graphite.

The total (Measured, Indicated and Inferred) Siviour Mineral Resource estimate now consists of 87.4 million tonnes at 7.5 per cent TGC for 6.6 million tonnes of contained resource (with 64 per cent classified as Measured or Indicated).

 

Pioneer Resources and Novo Resources Welcome Sumitomo to Kangan Gold JV

THE BOURSE WHISPERER: Pioneer Resources (ASX: PIO) informed the market of TSX-listed Novo Resources Corp.’s intention to enter into a US$30 million farm-in and Joint Venture agreement with Sumitomo Corporation of Tokyo, Japan, and its wholly-owned Australian subsidiary.

The aim of the JV is to advance Novo’s Egina project located approximately 80 kilometres south-southwest of Port Hedland in Western Australia.

The Egina project includes Pioneer Resource’s Kangan gold project, where Novo is currently earning an interest under a binding memorandum of agreement that has now been replaced with a new agreement on essentially the same terms that allows Sumitomo to become a party to it.

Pioneer retains a 30 per cent free-carried interest in the Kangan project up to a decision to mine, after which it becomes a contributing JV partner.

Pioneer explained that Sumitomo, via an Australian subsidiary, has agreed to join Novo in spending $460,000 within the next 18 months to earn a joint 70 per cent interest in the Kangan gold project.

Upon Novo and Sumitomo earning their combined 70 per cent interest, Pioneer is free-carried up to a decision to mine and thereafter contributes in proportion to its JV interest.

The Kangan gold project, currently held 100 per cent by Pioneer, forms a key part of Novo’s Pilbara exploration portfolio and sits within that company’s Egina project, which lies in the heart of the Pilbara conglomerate gold province.

“The addition of Sumitomo to the Kangan farmin/JV adds significant financial and technical power to support Novo’s efforts at the Kangan JV project, and we look forward to receiving results as exploration programs at Egina and Kangan advance,” Pioneer Resources managing director David Crook said in the company’s announcement to the Australian Securities Exchange.

 

Email: pioneer@PIOresources.com.au

Website: www.pioresources.com.au

 

Pioneer Resources Moves to 51% at Mavis Lake

THE BOURSE WHISPERER: Pioneer Resources (ASX: PIO) completed a busy week by reaching an agreement with its Joint Venture partner, TSX Venture-listed International Lithium Corp. (ILC).

Pioneer Resources finalised the deal with ILC to fast-track its earn-in into the Mavis Lake lithium project in Canada to 51 per cent.

Both Pioneer and ILC see merit in the JV focussing its attention solely on the Mavis Lake project, following the completion of two drilling programs carried out during the 2017 and 2018 winters which intersected thick zones of spodumene mineralisation.

“Changes to the agreements in place with ILC are a win-win for both parties and reflect the good working relationship between Pioneer and ILC,” Pioneer Resources managing director David Crook said in the company’s announcement to the Australian Securities Exchange.

“Our strategy is to ensure that our best projects get the money and attention they deserve and this Agreement will allow Pioneer to focus its exploration attention in Canada on the Mavis Lake project.”

 

Email: info@pioresources.com.au

Website: www.pioresources.com.au

 

Pioneer Resources Receives US$4.8M for Sinclair Caesium

THE BOURSE WHISPERER: Pioneer Resources (ASX: PIO) is cashed up following the receipt of funds regarding the Offtake and Loan Facility Agreement it has with NYSE-listed Cabot Corporation.

Pioneer Resources said the funds would be applied to the Stage 1 activities underway at the Sinclair caesium mine, located within the company’s 100 per cent-held Pioneer Dome project, south of Kalgoorlie in Western Australia.

The Sinclair mine is to be Australia’s first ever commercial pollucite (a caesium mineral) producer.

Under the terms of the agreement, Cabot has provided Pioneer a US$4.8 million Loan Facility for the Sinclair caesium mine that is to be repaid by the delivery of caesium ore.

“Further to our project update of the 29 August 2018, we are pleased to advise that we have now received US$4.8 million, which equates to approximately AUD$6.5 million, provided for under our Offtake and Loan Facility Agreement with Cabot,” Pioneer Resources managing director David Crook said in the company’s announcement to the Australian Securities Exchange.

“The funding is expected to fully cover mining operations at the Stage 1 Sinclair Mine, which will advance immediately.”

 

Email: info@pioresources.com.au

Website: www.pioresources.com.au

 

Pioneer Resources Confirms A-Grade Potassium over Sinclair Deposit

THE DRILL SERGEANT: Pioneer Resources (ASX: PIO) informed the market that recent drilling has identified a market-significant volume of potassium feldspar occurs above the company’s Sinclair Zone caesium deposit, at the company’s 100 per cent-held Pioneer dome project in Western Australia.

Pioneer Resources is currently towards opening the Sinclair Mine, an open pit to extract the Sinclair Zone caesium deposit which, subject to final approvals, is anticipated to commence during the current Quarter.

Pioneer established the economics of the Sinclair Mine on the sale of caesium only, however mining will also extract potassium feldspar, lithium minerals (petalite, lepidolite) and quartz.

Each mineral will be stockpiled separately, and separate commercial arrangements made for each.

Potassium feldspar is used in the manufacture of ceramics and glassware, especially in glazes for hardwearing tableware and floor tiles, and as a key component of advanced high-tolerance insulators and electro-ceramics.

It is an internationally traded mineral product with a nominal value US$50-100 per tonne (lump), depending on the point of sale, quality, consistency and end-use application.

Pioneer has set an Exploration Target at the Sinclair Pegmatite of between 500,000 tonnes and 750,000 tonnes of Potassium Feldspar (KFs), targeting A-Grade ceramic product specification with key element grade ranges.

“The observed geology and assay distributions indicate that there are likely to be several potassium feldspar products distinguishable by potassium (K), sodium (Na), aluminium (Al), alkali elements (Rb, Cs) and contaminant elements content,” Pioneer Resources said in its ASX announcement.

“Premium, A-Grade potassium feldspar (KFA) occurs as an upper zone within the Sinclair Pegmatite.

“Assays of KFA from diamond drill core consistently return very low levels of critical contaminant elements including: iron (Fe) niobium (Nb) and manganese (Mn).

“Test work has indicated however that if these contaminants are present in marginal KFA material, fine screening will result in an upgraded coarse product.”

 

Email: info@pioresources.com.au

Website: www.pioresources.com.au

 

Pioneer Resources Encounters Further Sinclair Lithium Mineralisation

THE DRILL SERGEANT: Pioneer Resources (ASX: PIO) has hit further thick zones of lithium mineralisation whilst drilling at the company’s 100%-held Pioneer Dome project in the Eastern Goldfields of Western Australia.

The Pioneer Dome project includes Pioneer Resources’ proposed Sinclair Zone caesium mine over which it recently received approval for the Mining Proposal.

Pioneer’s recent drilling included 44 drill holes, which returned noteworthy lithium intersections, including:

PDRC187
27m at 1.86 per cent lithium oxide (Li2O) from 46m (Lepidolite)

PDRC190
11m at 3.15% Li2O from 52m (Mixed)

PDRC199
22m at 1.98 per cent Li2O from 37m (Petalite)

PDRC202
27m at 1.60 per cent Li2O from 35m (Petalite)

PDRC207
15m at 2.47 per cent Li2O from 36m (Petalite)

PDRC210
17m at 1.90 per cent Li2O from 39m (Lepidolite)

PDRC211
21m at 1.83 per cent Li2O from 33m (Petalite)

PDRC212
15m at 2.59 per cent Li2O from 39m (Petalite)

PDRC215
21m at 1.65 per cent Li2O from 42m (Mixed)

Pioneer flagged it has fielded enquiries from third parties interested in purchasing parcels of lepidolite, petalite or mixed lithium mineralisation that can be excavated from the Stage 1 Sinclair caesium mine or from an extended Stage 2 Pit.

“The company’s first proposed mining operation, the Sinclair caesium mine, is advancing rapidly with approvals now in place,” Pioneer Resources managing director David Crook said in the company’s announcement to the Australian Securities Exchange.

“Recent drilling results have confirmed the continuity of the pollucite mineralisation, and the potential to derive further income from the sale of potassium and lithium minerals significantly de-risks the project from an ore supply perspective and enhances the economic returns.”

 

Email: info@pioresources.com.au

Website: www.pioresources.com.au

 

Pioneer Resources has Sinclair Mine Plan approved

THE BOURSE WHISPERER: Pioneer Resources (ASX: PIO) announced it has received government approval for the mining plan for the Sinclair caesium mine.

The Sinclair mine is part of the company’s 100 per cent-owned Pioneer Dome project in the Eastern Goldfields of Western Australia, which includes the Sinclair Zone Caesium Deposit.

Pioneer Resources said it the Western Australia Department of Mines Industrial Relations and Safety had given its approval the project’s Mining Proposal, including Mine Plan and Mine Closure Plan, as well as the Project Management Plan.

These add to the advancements already achieved at the project, including nomination of a Preferred Mining Contractor.

Dates for the commencement of mining will now be firmed up, as too will the commencement of infrastructure establishment and ground preparation that are scheduled to start during August 2018.

These include construction of site access, mobilisation of site buildings, site clearing, soil stockpiles and first blast drilling.

The Mine Fleet mobilisation is planned for September 2018.

“With the receipt of the Mining Proposal and Project Management Plan approvals, the company will complete final documentation with the State and Contractors, and work to a Commencement of Mining Operation start-date during the September quarter,” Pioneer Resources managing director David Crook said in the company’s announcement to the Australian Securities Exchange.

 

CLICK HERE: To read more about Pioneer Resources Sinclair Caesium mine.

 

Email: info@pioresources.com.au

Website: www.pioresources.com.au

 

Sinclair Caesium Mine: Small in Stature, Big in Value

THE INSIDE STORY: Pioneer Resources (ASX: PIO) changed the company’s focus and fortunes in 2016 following the discovery of the Sinclair Zone caesium deposit.

Up to that moment, Pioneer Resources had been one of many active exploration companies focused on pursuing lithium (and prior to that, gold and nickel) at its Pioneer Dome project, located in the Eastern goldfields of Western Australia, between Kalgoorlie and Norseman.

“Ironically we started with the Pioneer Dome when we listed and it’s where we took our name from,” Pioneer Resources managing director David Crook told The Resources Roadhouse.

“Here we are 14 years later, about to start our first mine there.

“Our progress over 14 years as an active exploration company has shown we understand our capabilities, and we’ve filtered a lot of ground.

“We are seeing the benefits of that now as interest is returning to the sector.”

Pioneer was one of the first WA-focused junior exploration companies to recognise the potential of lithium.

While others maintained a traditional, ‘this is Kalgoorlie, we must find gold or nickel’, approach, Pioneer saw lithium mineralisation potential at the Pioneer Dome project.

The revelation followed a review of historic exploration reports which recorded numerous pegmatite intersections in nickel or gold-focussed drilling completed since the 1960s.

Further work identified minerals consistent with those seen only in an extremely differentiated zone of a rare-metal lithium-ceasium-tantalum (LCT) pegmatite system.

Pioneer confirmed this mineralogy as pollucite, which indicated the company was on the trail of an extremely rare and valuable commodity, caesium.

The caesium mineral Pioneer found present at Pioneer Dome was determined as being the preferred feed material in the production of Caesium Formate, a high value, high-density fluid used in high-temperature/high-pressure oil and gas drilling.

Caesium Formate provide several benefits, including: minimal damage to hydrocarbon-bearing formations resulting in higher production rates, it acts as a lubricant, is non-corrosive and is considered a benign chemical when compared to alternatives.

Global supply is heavily constrained, and it has few genuine substitutes.

Fast-forward to the present and the Sinclair Zone caesium deposit is now a near-term mining proposition, from which Pioneer intends to extract and sell the high margin caesium mineral pollucite, and possibly potassium and lithium minerals, from the proposed Sinclair open pit mine.

Pioneer is working through the regulatory processes required prior to commencing mining operations.

The importance of the Sinclair deposit was highlighted when Pioneer announced an offtake agreement with Cabot Specialty Fluids Ltd, a wholly owned subsidiary of New York-listed Cabot Corporation (NYSE: CBT).

Cabot is a global specialty chemicals and materials giant and has long been the world’s dominant caesium formate manufacturer, producing around 8,500 barrels per annum, which equates to an annual EBITA of approximately $40 million for its Specialty Fluid’s division.

Cabot liked what is saw at Sinclair and has agreed to buy all of the caesium ore to be extracted from the proposed Sinclair mine that will mine the Sinclair Zone caesium deposit.

The Offtake Agreement also includes a US$4.8 million loan facility to fund mining operations at the proposed mine.

The Sinclair Mine will be Australia’s first ever commercial caesium ore producer.

“Signing that Offtake Agreement is a significant milestone for Pioneer and for the Sinclair Mine,” Crook said.

“We anticipate being cashflow positive from the caesium zone before Christmas and that will lead us to commercialisation of other products at the Sinclair Zone deposit that we have to mine through to get to the caesium.

“With the new-found cashflow we anticipate earning we will continue to drill the lithium aspect of the project, because it is a well-endowed lithium area and we have been discovering lepidolite – the lithium micas that most of our peers like the look of and would like to find on their ground.

“We have also been finding petalite, which is a very pure form of lithium that goes into the manufacture of ceramics and glass.

“We are also starting to see the presence of spodumene, which is the holy grail of lithium explorers.

“But, since we have discovered Australia’s first caesium deposit, for now we are in a rarefied space.

“We have been telling people all along how rare a caesium find is, let alone one of this size.

“Not only will it be Australia’s first, and only caesium deposit to be mined, it will also be the only caesium deposit to be currently mined world-wide.

“There’s got to be more out there within the project area – we hope.”

Elsewhere in the Eastern Goldfields, Pioneer has its 100 per cent Golden Ridge project, located 26 kilometres south east of Kalgoorlie.

Golden Ridge includes substantial areas prospective for lateritic cobalt, plus the suspended Blair nickel sulphide mine that was closed in 2008 during a time of depressed nickel prices, having produced 1.26 million tonnes of nickel sulphide ore at 2.62 per cent nickel.

Pioneer has drilled at four cobalt targets: Rocket, Leo’s Dam, Anomaly 13 and Anomaly 14, intersecting cobalt mineralisation across all.

The prospects are within granted mining leases and an exploration licence along the eastern flank of the Blair Dome, a geological structure within the Golden Ridge project.

“We bought the Blair mine, just outside of Kalgoorlie, for its nickel sulphide potential, it turns out that a lot of the ground has also quite a lot of cobalt associated with it,” Crook said.

“We did some drilling this year and got some very good results.”

Pioneer’s 2018 drilling corroborated the Golden Ridge project to have a well-developed lateritic cobalt mineralisation mantle at the four prospects drilled.

Earlier drilling indicated widespread cobalt mineralisation throughout the project, and Pioneer has flagged future work will be directed towards defining resources.

Upcoming work at Golden Ridge will include detailed analysis of geochemical and geophysical datasets, and integrating drilling to generate an estimated Exploration Target, precise RC drilling to generate a Mineral Resource, and bulk sampling for bench-scale extractive metallurgy which will focus initially on an ore concentration technique.

A further nickel sulphide discovery at the Leo’s Dam prospect reinforced the company’s Blair Dome exploration model and the project’s prospectivity to host nickel sulphide deposits, both near-mine and regionally.

The progression of the cobalt and nickel sulphide potential at Golden Ridge will be a strong component of the company’s focus moving forward.

Lithium remains firmly on the company radar, and Pioneer holds an option to earn up to 80 per cent of the Mavis and Raleigh lithium projects in Canada from Joint Venture partner, TSXV-listed International Lithium Corp.

The Mavis and Raleigh Llthium projects are situated 19 and 80 kilometres respectively east from the town of Dryden.

Recent work targeted the Fairservice Pegmatite 6 prospect, comprising nine diamond core holes, all of which intersected spodumene mineralisation, usually in the form of multiple wide zones of pegmatite.

“Obviously the company’s core focus is to advance the Sinclair Zone caesium deposit into production,” Crook said.

“That project on its own has the potential to be a high margin operation.

“And, we also have a number of other very good projects and knowing we can move onto the Golden Ridge area for the cobalt and nickel sulphide as well as having the Canadian spodumene project sitting in our back pocket is comforting, to say the least.”

 

Pioneer Resources Ltd. (ASX: PIO)
… The Short Story

HEAD OFFICE
21 Ord Street
West Perth WA 6005

Ph: (08) 9322 6974

Email: pioneer@pioresources.com.au
Web: www.pioneerresources.com.au

DIRECTORS
Craig McGown, David Crook, Wayne Spilsbury, Allan Trench