Nico Resources (ASX:NC1) reports that it has commenced a maiden ‘high-grade’ production delineation reverse circulation (RC) drilling program at its Central Musgraves Projects (CMP) in Western Australia.
The 10,000m RC drilling program, which includes drilling across three tenements, represents Nico’s first-ever drill program, as well as the first drill program at the Central Musgrave Project area since 2020.
The drilling campaign includes delineation of an additional eight ‘high-grade’ nickel and cobalt zones to aid in the Bankable Feasibility Study (BFS) for the Wingellina nickel-cobalt project, with drilling comprising 167 RC holes for about 7,000m.
Drilling will also focus on delineation of the Lewis Calcrete resource to reduce operating costs through minimising the requirement for lime, as well as confirming the volume of potential water resources close to the proposed processing facility at the Mann Fault Paleochannel.
Commenting on the program, Nico Resources Managing Director, Rod Corps, stated: “Nico is excited to be back on the ground advancing the Wingellina project with the optimisation drilling of the high grade pits, delineating the water sources for construction and commissioning and drilling of the calcretes to define a resource anticipated to be sufficient for the life of the project.
All of these programs will further enhance the economics and significantly improve revenue and reduce operating costs
All of these programs will further enhance the economics and significantly improve revenue and reduce operating costs.”
The company also notes that drill contractor, Kennedy Drilling, has arrived on site over the weekend and expects drilling to take 10-12 weeks to complete.
The world-class Wingellina nickel-cobalt project is located in WA’s Musgraves Province and makes up part of the company’s CMP portfolio, and currently boasts a JORC 2012 compliant resource base of >200Mt of material grading 0.93% Ni and 0.07% Co and a probable Ore Reserve of 164.8Mt at 0.93% Ni and 0.07% Co for 1.56Mt of contained nickel and 123Kt of contained cobalt.
The CMP project area also hosts the Claudes Hill project area which also boasts an additional JORC Resource of 33Mt @ 0.81% Ni and 0.07% Co.
With the maiden drilling campaign now underway, Nico Resources announces assay results will be released in batches as results become available.
Images: Nico Resources Ltd
