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() has received further assays from diamond drilling that confirmed multiple occurrences of nickel sulphide mineralisation at the Desert Dragon Central prospect in Western Australia.
It has now intersected numerous occurrences of disseminated nickel sulphides in a large komatiite channel flow with multiple ultramafic units.
This has all the hallmarks of a highly prospective setting for a massive nickel sulphide deposit and bodes well for follow-up drilling later this month.
In addition strong off-hole conductors from downhole electromagnetic surveys are being evaluated for massive nickel sulphide potential.
The DHEM conductor from DDRDD0005 is particularly interesting given the conductance of 61000 Siemens is extremely high and typical of pentlandite - high grade nickel sulphide.
The exact choice of EM targets in the next campaign will depend on results from the Fixed loop EM surveys being completed at Desert Dragon North Cambridge North and Windsor.
In addition further assays from holes DDRDD00004 and DDRDD0007 and results from DHEM surveys are due shortly.
Drill hole DDRDD0005 returned:
- 2 metres at 0.44% nickel from 215 metres with 267ppb platinum+palladium
- 4 metres at 0.34% nickel from 220 metres with 172ppb platinum+palladium
- 5.6 metres at 0.44% nickel from 231 metres with 308ppb platinum+palladium
- 1 metres at 0.30% nickel from 379 metres with 30ppb platinum+palladium
- 1 metres at 0.36% nickel from 400 metres with 26ppb platinum+palladium
The assays to 250 metres confirmed nickel sulphide mineralisation within the DRAC35 ultramafic while the assays from 250 metres to the end of hole identified nickel sulphides in another ultramafic unit.
Both units face to the west and are open along strike to the north and south.
John Prineas executive chairman commented:
“The assay results continue to indicate that we have a mineral system at Desert Dragon Central that is highly prospective for massive nickel sulphide mineralisation.
“That’s very encouraging for the new drill targets being finalised for the RC drilling program that will commence later this month.”
DHEM Conductors
Strong off-hole EM anomalies have been identified by consultants Newexco from the DHEM surveys of DDRDD0004 and DDRDD0005.
The EM modelled as immediately below DDRDD0005 with a discrete strike length of 156 metres has an extremely high conductance of 61000 Siemens while the conductor modelled as below and directly south of DDRDD0004 is also of interest.
Further evaluation of these EM anomalies as potential targets for massive nickel sulphides is being completed.
Additional EM Drill Targets
The regional moving loop electromagnetic (MLEM) survey completed at the East Laverton Property in 2014 identified a number of new EM anomalies on the high priority Stella Range ultramafic belt.
Several of these EM targets were modelled by Newexco as bedrock conductors and were selected for follow-up fixed loop EM (FLEM) surveys to refine the targets for drill testing.
FLEM surveys are now being carried out at highly prospective EM targets at Desert Dragon North Windsor and Cambridge North.
Final modelling of the EM survey data will be completed by Newexco to confirm new drill targets.
Regional Gravity Survey
A gravity survey was completed over a discrete area of the Desert Dragon prospect area in 2014 and identified a number of positive gravity anomalies that were interpreted as representing accumulations of dense rocks which may contain high concentrations of sulphides.
The gravity data is an effective and complementary targeting tool at the camp scale and is particularly useful for mapping the fundamental structures that are the primary controls for the deposition of mineralisation.
An extended gravity survey has now been completed over a much larger area of the East Laverton Property and encompasses key areas of the three ultramafic belts at East Laverton – the Stella Range belt the Central belt and the Minigwal belt as well as their flanking positions.
This highlighted previously unrecognised strong gravity anomalies at the Cambridge North prospect on the Stella Range belt at the Bristol prospect on the Central belt and at the Athena and Oxford prospects on the Minigwal belt.
Further review of the new gravity data is expected to result in additional exploration targets that will be prioritised for follow-up exploration.
Analysis
Drilling continues to intersect further nickel sulphide mineralisation at the Desert Dragon Central prospect of St George’s East Laverton Project.
Desert Dragon Central appears to be a highly prospective setting for a massive nickel sulphide deposit which is encouraging ahead of reverse circulation drilling this month.
Other catalysts include further assays from holes DDRDD00004 and DDRDD0007 and results from DHEM surveys are due shortly.
The company had $1.6 million in cash at the end of June 2015.
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