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Auroch firms up Kalgoorlie nickel resource estimate

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Matt BirneySponsored
Auroch Minerals has released an upgraded mineral resource estimate at its Saints nickel project near Kalgoorlie ahead of a scoping study next month.
Camera IconAuroch Minerals has released an upgraded mineral resource estimate at its Saints nickel project near Kalgoorlie ahead of a scoping study next month. Credit: File

Auroch is one step closer to completing a scoping study on its Saints nickel project near Kalgoorlie, releasing a JORC-compliant mineral resource update tallying 911,000 tonnes at 2.3 per cent nickel for 21,000 tonnes of contained nickel metal.

Importantly, the new estimate has boosted two-thirds of the resource into the higher indicated category with a 15 per cent increase in average nickel grade.

The company says its recently completed infill diamond drilling program contributed to a more detailed model of the mineralised zones, improving the average nickel grade to 2.3 per cent from 2.

Recent success with the drill bit has confirmed high-grade massive and semi-massive nickel-copper sulphide mineralisation at Auroch’s Saints project.

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Headline results include 3.01m going 5.23 per cent nickel, 0.69 per cent copper, 0.77 g/t platinum group elements from 177.08m and 2.40m grading 2.10 per cent nickel, 0.14 per cent copper, 0.09 per cent cobalt and 0.36 g/t platinum group elements from 263.78m.

The main focus of the infill drilling and subsequent MRE update was to upgrade a significant portion of the nickel resource from Inferred Resources to Indicated Resources, in order to increase the confidence level in our financial modelling for the scoping study.

The fact that we were able to increase the average nickel grade by 15% exceeded even our expectations and really highlights the high-grade nature of the nickel sulphide mineralisation.

Auroch Minerals Managing Director, Aidan Platel

As Auroch ticks off its scoping study to-do list, the updated resource model will now feed into the underground mine design and optimisation studies.

With the study scheduled for completion by the end of the quarter, the company says metallurgical test work is also nearing completion.

Auroch previously reported first-pass test work tabled very good concentrate grades of more than 14 per cent, with initial grades up to 24 per cent nickel and 5 per cent copper.

The company says upcoming test work will focus on improving the processing flowsheet aimed at increasing recoveries.

Auroch’s Saints nickel project rounds off a suite of intriguing battery metals projects the company is quietly accumulating in Australia and abroad.

The company recently inked a strategic deal to acquire 80 per cent of a lithium project in Nevada that puts its footprint on four underexplored prospect areas in Nye and Esmeralda counties, 45km from Albemarle’s trailblazing Silver Peak mine, the only active lithium mine in the United States.

Notably, the Nevada lithium project is only 340km from car maker Tesla in Reno, a large buyer of battery metals for its electric vehicle manufacturing process with access to major American ports on the West Coast.

Since bedding down the deal, the company has completed an initial site visit and is now working on obtaining necessary permits to start a first-pass drilling program scheduled for later this year.

Is your ASX-listed company doing something interesting? Contact: matt.birney@wanews.com.au

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