Lunnon Metals (ASX:LM8) has delivered a first-time initial nickel JORC (2012) Mineral Resource Estimate (MRE) for the historical Fisher Mine, as part of its Kambalda Nickel Project in Western Australia.
The $110.73 million market capitalisation company says the new MRE, which sits at 252,000 tonnes of nickel metal at 1.9% nickel (Ni) for 4,700 contained nickel tonnes, was generated from Lunnon’s signature historical core program (HCP).
Lunnon reports the MRE comprises 56,000 tonnes at 2.7% Ni for 1,500 nickel tonnes in the indicated category and 196,000 tonnes at 1.6% Ni for 3,200 nickel tonnes in the inferred category.
The global MRE across the Kambalda Project now stands at 4.06 million tonnes (Mt) at 2.7% Ni for 109,100 contained nickel tonnes.
The company notes the MRE will provide a focus point within multiple shoots and surfaces at Fisher for extensional and new discovery surface drilling programs using reverse circulation (RC) and diamond drilling techniques.
The MRE is hoped to form the basis of economic studies to investigate the potential to exploit Fisher in the future, potentially as a ‘broader’ restart of nickel operations at Kambalda.
Lunnon has now discovered more than 2.8Mt at 2.5% Ni containing 78,100 tonnes of nickel metal since listing on the ASX in June 2021.
Managing Director Edmund Ainscough says Fisher demonstrates the same ‘excellent’ opportunity for continued growth that the Kambalda nickel mines are famous for.
“With over 260km of historical diamond core available for us to re-access, resample and assay at Silver Lake-Fisher alone, the MRE reported today is a first for Fisher but also complements the recent addition at Silver Lake mine on the 25H deposit. Fisher was one of the earliest mines to close and offers potential shallow opportunities across an extensive channel system on the west side of the Kambalda Dome.
This initial mineral resource provides a focus and starting point for that discovery effort with our own surface drilling program.”
Lunnon’s Kambalda project features about 47km-square of tenements in the Kambalda Nickel District about 570km east of Perth and 50km to 70km south-southeast of the mining centre of Kalgoorlie in Western Australia.
As of 30 September 2023, Lunnon Metals had $31.909 million cash and cash equivalents at hand, according to its latest quarterly report.
Write to Adam Drought at Mining.com.au
Images: Lunnon Metals