LCL Resources (ASX:LCL) reports a field program to define targets for 2024 drilling is being planned for Q4 2023 and is likely to include the ground truthing of identified targets and regional and prospect scale structural interpretation.
This is also likely to include reconnaissance field mapping and sampling at the Doriri and Iyewe prospects, alongside additional trenching at Veri Veri.
LCL will also consider appropriate ‘new-generation’ geophysical surveys, such as airborne or ground electromagnetics.
LCL has conducted a review of historical exploration that identified new nickel sulphide targets across the Iyewe, Doriri, and Veri Veri prospects.
The $21.44 million market capitalisation company conducted a 30-day due diligence (DD) process as part of the binding tenement sales agreement with Papuan Minerals to acquire 2 exploration licences (EL2391 and EL2560).
To date, 2 outcropping nickel sulphide prospects near the Veri Veri nickel prospect have been added to the acquired licences.
At Veri Veri, fieldwork identified a northeast trending 200m wide corridor, which contains numerous serpentinised shear zones containing lenses of nickel-rich sulphide minerals of heazlewoodite and minor millerite.
At the Iyewe prospect, LCL reports that the Iyewe shear zone is below several areas of highly anomalous nickel rock chip samples, suggesting an additional zone or zones of nickel mineralisation within a 2km by 2km area, north of the area of trenching and drilling.
The company reports this target area is cut by a topographic high drainage divide with rock chip outcrops and float-returning assays up to 17.7% nickel (Ni) south of the divide and 16.8% Ni north of the divide at the Eucalypt Ridge prospect.
At Doriri, 4 diamond drillholes were completed during the 1960s, reporting ‘encouraging’ nickel intersections.
Commenting on the new targets identified, LCL Resources Managing Director Jason Stirbinskis says: “This partially completed review of historical exploration on the recently acquired exploration licences has been very revealing, identifying numerous occurrences of nickel sulphides, some of which have never been trenched or drilled.
“We have now defined 3 near-surface nickel sulphide targets that appear to share a common hydrothermal genesis in shear-hosted structures”
We have now defined 3 near-surface nickel sulphide targets that appear to share a common hydrothermal genesis in shear-hosted structures.
We look forward to completing the desktop review — in particular, the effectiveness of historical geophysical surveys considering the development of ‘new generation’ technology — and commencing boots-on-the-ground fieldwork in Q4 2023.
Our consolidation of exploration licences over the 10km long target zone which hosts Veri Veri, Iyewe, and Doriri will enable a dedicated nickel exploration program to target structures capable of hosting an economic nickel sulphide deposit.”
LCL Resources is an active exploration company, focused on gold, copper, and nickel in Papua New Guinea. As of 30 June 2023, the company had $5.8 million cash at hand, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: LCL Resources
