Sienna Resources (CVE:SIE), the energy metals group, said it was very excited to be drilling again at its flagship nickel, copper and cobalt Slättberg project, where a fully funded work multi-hole program had now begun.
Slättberg lies 25km from the central Swedish city of Falun and is a historic mining camp hosting nickel-copper-cobalt rich massive sulfide mineralization within a 2km belt of historic nickel-copper mines.
"This is a very exciting time for Sienna," said Jason Gigliotti, the president of Sienna. "It has been well over a year since our last drill program and drill results are what the market wants to see. The work programs over the past few years have enabled us to razor focus the drill program into the most highly prospective locations for nickel."
Gigliotti also highlighted that nickel prices had recently risen to five year highs and that this was a very opportune time to be drilling for nickel.
Sienna's option partner on the project is EMX Royalty Corporation (CVE:EMX) (NYSEAMERICAN:EMX) and the former said it was looking forward to what the drilling "will uncover".
Data gathered from last year's Slättberg drill program, as well as downhole electro-magnetic surveys and modern sampling an geophysical work have provided multiple new high priority drill targets, which are now the focus.
Long history of mining
Sweden has a favorable business environment, noted Sienna, which includes low income tax rates, a proactive geological survey, and broad public support for export-led resource extraction.
The country also has a long history of mining, and is host to some of Europe’s largest active mines.
Low refined nickel stocks and a looming ban on exports of nickel ore from Indonesia are two factors creating a bullish nickel market at the moment, according to nickel metal watchers.
Reportedly, Fastmarkets’ analysts forecast an average LME nickel price of US$16,375 per tonne next year, which is an increase of 20.4% from a forecast average price of US$13,603 per tonne this year.
Sienna Resources Inc shares surged 11.11% on Friday in Toronto to stand at $0.050 each.
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