Western Mines Group (ASX:WMG) has posted the first set of maiden assay results from an ongoing phase two reverse circulation (RC) drilling program at its flagship Mulga Tank Project in Western Australia’s Eastern Goldfields.
The $10.89 million market capitalisation company says the results, generated from the first 2 holes (MTRC023 and 024) of the 17-hole drilling program, highlight ‘broad’ intersections of nickel (Ni) sulphide mineralisation up 4.51% Ni, 777 parts per million (ppm) cobalt, and 597ppm copper.
Results also validate the company’s approach of infill drilling the higher grade core area identified in the phase one program.
Managing Director Dr Caedmon Marriott says the company will look to target ‘thicker’ intervals of the more commonly occurring ‘high-grade’ matrix to semi-massive sulphide, which has been encountered at 180m to 280m depth in 6 to 7 holes to date.
Calculated nickel tenor of the matric to semi-massive sulphide is 23% — considered high for komatiitic nickel systems and very positive for the prospectivity of the Mulga Tank Complex.
“The initial 17 holes look to infill around the higher grade core area and increase confidence in this zone. Hole MTRC024 steps out 200m to the west of hole MTRC016 and returned remarkably similar results – MTRC024 199m at 0.31% Ni including 44m at 0.44% Ni versus MTRC016 200m at 0.30% Ni including 35m at 0.45% Ni.
A secondary goal, or outcome, as we narrow down the RC drill spacing, is that we increasingly seem to intersect zones of high-grade matrix to semi massive sulphide around 180m to 280m depth. These have now been seen in 6 or 7 holes, up to 900m apart, over about 0.5km-square area.
We will look to target thicker intervals of this material with follow-up work – just a modest improvement in the width of these high-grade intersections could really change the game for the project. We hope that as drilling density increases there will be a good chance of hitting more of these high grade targets.”
To date, Western Mines has completed 16 of the 17 holes, however, recent ‘exceptionally heavy’ rain over the last week caused an evacuation from site and delayed completion of the final hole.
The company notes the team will return to complete the last hole as soon as conditions allow.
Phase two RC drilling aims to de-risk, improve confidence, and aid resource evaluation at Mulga Tank, where the company continues to de-risk a potentially ‘globally significant, large-scale’, open-pitable nickel sulphide deposit.
The company also announces it has tapped investors for $1.05 million through a placement of over 7 million shares at $0.15 per share to further progress Mulga Tank.
The placement was conducted jointly by Sanlam Private Wealth and Western Mines, and saw additional participation totalling $112,500 by all members of the nickel explorers board of directors.
According to Western Mines, the majority of shares have been placed to existing shareholders, including major shareholder Equentia Natural Resources.
The Mulga Tank project is prospective for nickel, copper, cobalt, and platinum group elements and sits in Western Australia’s goldfields.
Western Mines Group is a diversified mineral explorer focused on discovering ‘high-value’ deposits across its portfolio of ‘highly prospective’ projects in Western Australia.
As of 31 December 2023, the company had $2.104 million cash and cash equivalents at hand, according to its latest quarterly report.
Write to Adam Drought at Mining.com.au
Images: Western Mines Group
