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- Estrella Resources (ESR) hits further high-grade assays while drilling at its Spargoville nickel project in Western Australia
- The company intersected oxide and transitional mineralisation, with results including 7.4 metres at 1.32 per cent nickel
- As the laboratory results have been flowing in, Estrella Resources says the assays continue to confirm its visual estimate expectations
- A revised mineral resource estimate in now the works, which will then feed into ore reserve and pit optimisation modelling
- Estrella Resources last traded at 1.6 cents at 2:12 pm AEST
Estrella Resources (ESR) has hit further high-grade assays while drilling at its Spargoville nickel project in Western Australia.
The company reported one diamond drill hole intersected very high-grade transitional mineralisation, including 0.6 metres at 11 per cent nickel, 48 metres vertically below the open pit.
A second hole intersected oxide and transitional mineralisation, with a total intersection of 7.45 metres at 1.32 per cent nickel, including an oxide-transitional one at 2.22 metres grading 2.42 per cent nickel.
Meanwhile, additional samples have been submitted for semi-quantitative testing to determine type and quantity of oxide and transitional mineral species ahead of metallurgical studies.
As the laboratory results have been flowing in, Estrella Resources says the assays have continued to confirm its visual estimate expectations.
“These latest high-grade assays show visual estimate widths are consistent with historical results and further supports our view that the 5A ore body has the potential to be brought into production in the near-term,” Managing Director Chris Daws said.
“The team are accelerating towards kicking off full scale mining of the 5A nickel resource which remains on target in the first quarter of 2023.
“It’s all systems go as Estrella seeks to bring Spargoville back into production and I look forward to updating the market every step of the way.”
With the metallurgical drilling almost complete, the company has noted the oxide and transitional mineralisation boundaries appear to have been modelled higher than the current drilling suggests.
A revised mineral resource estimate in now the works, which will then feed into ore reserve and pit optimisation modelling.
Estrella Resources last traded at 1.6 cents at 2:12 pm AEST.
