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Auroch Minerals kicks off drilling at high-grade Nepean Nickel Project near Coolgardie, WA

Published: 11:00 19 Jan 2021 AEDT

Auroch Minerals Ltd - Auroch Minerals kicks off drilling at its high-grade Nepean Nickel Project in Coolgardie, WA
The Nepean project is operated under the company’s 80:20 joint venture agreement with Goldfellas Pty Ltd

Auroch Minerals Ltd (ASX:AOU) has drilling underway at its high-grade Nepean Nickel Project, 25 kilometres south of Coolgardie, WA, to target a series of untested and highly prospective aeromagnetic targets to the north and south of the mine. 

The drill program is the first of an aggressive schedule of drill programs planned for the first quarter across its three high-grade nickel sulphide projects in WA. 

Aggressive 2021 work programs

Auroch managing director Aidan Platel said: “We are pleased to have drilling underway at our recently-acquired high-grade Nepean Nickel Project, and are very excited by the huge potential to build on the existing nickel sulphide mineralisation as well as uncover further significant high-grade nickel sulphides.

“The nickel price has continued to rise to over US$18,000 per tonne and many forecasts for the price of nickel have recently been upgraded as we continue to see a greater disconnect between supply and demand for nickel, and in particular for Tier 1 nickel, forecasted for the next few years.

“As such, Auroch has aggressive work programs planned for 2021 as we consolidate our existing high-grade nickel sulphide resources and move towards scoping studies, whilst at the same time continue to aggressively explore for new nickel discoveries, and we look forward to creating real value for our shareholders this year.

Nepean project

The Nepean project is operated under the company’s 80:20 joint venture agreement with Goldfellas Pty Ltd.

 Drilling will target a series of untested highly prospective aeromagnetic targets to the north and south of the mine.

These targets extend for over 10 kilometres of strike and each one has the potential to host significant massive nickel sulphide mineralisation.

The drill holes at these exploration targets have been planned to intersect the ultramafic-basalt contact and to define channel geometry, fertility and the presence of any nickel sulphides.

The Nepean Nickel Project contains the historic high-grade Nepean nickel sulphide mine, which was the second producing nickel mine in Australia, producing 1,108,457 tonnes of ore between 1970 and 1987 for 32,202 tonnes of nickel metal at an average recovered grade of 2.99% nickel.

Drill program

An initial eight drill-holes of the 3,500 metres program will also test shallow near-mine mineralisation about 200 metres south of the historic mining operation.

These holes will look to define the extents of the mineralisation identified by historic high-grade intercepts which include:

  • 3 metres at 11.78% from 37 metres (NP084470-2);
  • 3 metres at 9.93% from 49 metres (NP084480-1);
  • 4 metres at 6.63% from 46 metres (NP084470-1); and
  • 6 metres at 2.82% from 53 metres (NP084490-1).

Work program

Modern high-powered down-hole electromagnetic (DHEM) surveys will be undertaken on the completed drill-holes to identify any potential nearby conductive massive sulphide bodies.

Seismic Drilling Services Pty Ltd has been contracted to complete the program, having previously assisted Auroch at its wholly-owned Saints Nickel Project.

The program is expected to be completed within three to four weeks, and laboratory assay results will be reported to the market as they are received.

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