Legend Mining Limited (ASX:LEG) recently intersected a further 13.5 metres of massive nickel-copper sulphides in another diamond drill hole at Mawson prospect of the Rockford Project in WA’s Fraser Range.
Hole RKDD013 returned 12 metres from 239.2 metres downhole and another 1.5 metres from 257.5 metres.
Euroz analyst Jon Bishop has maintained his Speculative Buy recommendation for Legend with a 30 cents per share price target (current share price: 16 cents, up 14% today).
The following is an extract from Euroz’s ‘Quick Comment’ on Legend dated May 4, 2020:
- A 13.5m zone of massive Nickel-Copper sulphides within a broader 21.6m zone has been encountered at RKDD013;
- The hole is 20m south of the RKDD008 (5 zones of semi massive and massive Ni-Cu-Co & precious metals - assays reported 21/04/20);
- Notably the mineralisation has occurred within an interpreted mafic intrusive unit (previous mineralisation encountered occurs within metasediments);
- A 12m interval of massive Ni-Cu sulphides was encountered from 239.2m downhole and a second 1.5m section from 259m:
- The intercepts visually compare with the recently released assays (dd 21/04/20) that graded +2.5%Ni; +1.3% Cu; +0.14% Co; plus Au, Pt, Pd;
- The core is being prepared and sent for assay. Timing of assays on that basis will be late-May;
- RKDD012 – drilled 20m to the north – encountered 42.7m of disseminated Ni-Cu sulphides from 103.2m downhole (consistent with the shallow zone in RKDD007);
- DHTEM at RKDD013 to identify, size and position off and in-hole conductors to locate future drill holes;
- The diamond rig will move to the RKDD014 location to drill the next hole;
- Review of structural and geological data from RKDD012 to better orient future holes to define the deeper massive sulphide units encountered in RKDD007;
- Air-core will continue to infill the c.200x300m geochem anomaly that has given rise to the Mawson discovery and explore a large magnetic feature due east of the Mawson location.
The RKDD013 hole has encountered a sequence of massive sulphides – seen in the other discovery holes - 20m to the south of RKDD008 (assays released April 21st). On-going hits of thick, massive Ni-Cu sulphides, extending strike another 20m south is material and highly encouraging in terms of the evolution of a major new discovery. And given the aerial geochem footprint of some 200x300m, combined with clear evidence that the geophysics are starting to bear fruit, we are sure of on-going drilling success. LEG has $13m in cash and receivables and a further c.$9m of options in the money so is very well funded to execute the current programme. Further drilling success will see continued upward trajectory given SIR.ASX was sold eventually for c.A$1.8Bn for its NovaBollinger discovery. Speculative Buy maintained.