Great Boulder Resources Ltd (ASX:GBR) is expecting a steady flow of positive news from its successful copper, nickel and cobalt exploration strategy in the Mt Venn-Yamarna region of Western Australia.
Mt Venn project
The Mt Venn Project is 130 kilometres east of Laverton in the Eastern Goldfields district and consists of six granted exploration licences and one granted prospecting licence.
Great Boulder holds a 75% interest in the Mt Venn Project through a joint venture agreement with Eastern Goldfields Mining Company Pty Ltd (EGMC).
Both Great Boulder and EGMC are contributing to project expenditure on a pro rata basis, equal to their equity interest (75:25).
Great Boulder has identified extensive copper-nickel-cobalt mineralisation at Mt Venn outlined over several kilometres.
Notably, the multiple lenses of copper-dominant near-surface mineralisation are amenable to open pit mining.
A simplified flowsheet for Mt Venn metallurgical test work
Metallurgical test work at Mt Venn is well advanced to produce copper sulphide concentrate and cobalt-nickel sulphate for the battery market.
Early in 2018, Great Boulder began exploration activities over the Eastern Mafic complex, located seven kilometres south-east from the Mt Venn copper-nickel-cobalt discovery.
Subsequent aircore drilling and electromagnetic surveys established more than 40 anomalies, with likely sulphide sources and associated with anomalous nickel and copper geochemistry.
Drill testing of these anomalies has commenced and the initial results confirm massive sulphide sources and a magmatic base metal system similar to Mt Venn, albeit the nickel content and tenor appears materially higher.
It is now clear there are two sulphide phases at both Mt Venn and the Eastern Mafic projects — an initial magmatic sulphide phase with higher nickel tenor and a subsequent host rock sulphide contamination that generates pyrrhotite.
Great Boulder is continuing to develop its understanding of this system in order to locate a nickel-rich primary magmatic sulphide accumulation at the Eastern Mafic and expand the copper-rich Mt Venn system.
Great Boulder recently added to its nickel-copper position in the Yamarna region with the signing of an option over the Yamarna Nickel Project.
The project has potential to complement Great Boulder’s neighbouring Mt Venn and Eastern Mafic deposits, strengthening the combined economic prospects.
The latest agreement follows Great Boulder securing an option from Gold Road Resources over the Mt Carlon project which is 60 kilometres south of Mt Venn.
During financial year 2018, Great Boulder completed further exploration at its Tarmoola and Jundee projects where surface geochemistry, further geological mapping and high-grade surface samples have defined targets for drill testing.
The company continues to review gold and base-metal opportunities, primarily in Western Australia, with a view to acquiring and developing complementary assets.
Great Boulder had successfully raised $2.5 million in May 2018 via a share placement at 27 cents a share.
The company is maintaining a tight capital structure with only 80.1 million ordinary shares on issue, $3.7 million cash as at June 30, 2018 and nil debt.