St George Mining Ltd (ASX:SGQ) has discovered significant shallow nickel-copper sulphide mineralisation at the Radar prospect of its flagship Mt Alexander Project in Western Australia’s north-eastern Goldfields.
Laboratory testing has confirmed the high grades of nickel-copper sulphides at Radar prospect 1.2 kilometres east of known nickel-copper sulphide deposits at the project’s Cathedrals prospect.
First hole stand-out
The company reported a stand-out intersection from the first drilled hole, with 6 metres grading 2.14% nickel, 0.74% copper and 1.62 g/t platinum group elements (PGEs) from 46 metres.
Radar’s first hole assay also featured a 2.55-metre section at 4.29% nickel, 1.46% copper and 3 g/t PGEs from 49.05 metres.
The mineralisation finding helps extends the east-west strike of high-grade mineralisation on Cathedrals Belt.
St George Mining executive chairman John Prineas reported today, “With high-grade mineralisation now established over a 5.5-kilometre strike of the east-west oriented Cathedrals Belt, we are increasingly confident of the potential to develop a potential mining operation at the project.
“The strong rally in the nickel price over recent months is likely to be very favourable for the project economics of a potential development at Mt Alexander, and we are pleased to initiate preliminary studies to assess a potential mining development at Mt Alexander.”
An exploration drilling program at Mt Alexander continues to be underway, with drill-out of Radar discovery set to start back up this week.
About Mt Alexander project
Mt Alexander is near the town of Leonora and existing infrastructure and plants on the Agnew-Wiluna Belt.
Ore from the project falls into the class 1 nickel category, meaning the nickel sulphide can be used for electric vehicle (EV) batteries.
St George hopes to establish a nickel development on its majority-owned Cathedrals Belt and draw on low-cost options from nearby infrastructure.
The project features other prospects that host high-grade nickel-copper sulphides, such as Investigators, Stricklands and Cathedrals.
Last week the company reported findings from deep drilling on Cathedrals Belt, noting a hole named as MAD160 had intersected a 20-metre thick mineralised mafic-ultramafic at 248 metres downhole.
The mineralised interval was 100 metres down-plunge of the closest known high-grade mineralisation – significantly extending the strike of mineralisation down-plunge.
Nickel prices have surged to five-year highs in recent months, with the nickel price sitting at US$8.17 a pound ($12.14) or $17,950.04 a tonne ($26,680.04) two days ago.