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Poseidon Nickel (ASX:POS) confirms Black Swan discovery with second intersection

Mining
ASX:POS      MCAP $24.13M
05 August 2020 15:45 (AEST)

Source: Poseidon Nickel

Poseidon Nickel (POS) has extended its recent Black Swan discovery with another intersection of a thick bed of massive sulphides.

The new intercept seems to be an up-dip continuation of mineralised sulphides sitting on a ‘terrace’ of rock, similar to the geology found at the nearby Silver Swan underground mine.

New terrace, new minerals

The new drill intersection contains massive and stringer sulphides similar to those found in the original Black Swan discovery hole.

Updated results have been returned for the first hole, and include not just high nickel grades, but promising levels of copper, cobalt, platinum, palladium and gold.

Poseidon now believes the sulphides are forming a bed on top of an unmineralised rock terrace, so the deposit is neatly contained by the surrounding inert rock.

This newly-named Southern Terrace will be the subject of further testing both by drilling and electromagnetic (EM) surveys, based on 3D modelling which is already underway.

Next steps

Once the modelling is complete, the company can begin to quantify an exploration target.

Assay results from the second drill hole will be returned in the coming weeks, which will help to define the nature and grade of the sulphide structure.

Poseidon is also preparing for EM surveys to create a better picture of the mineralised structure.

Once planning is complete, the company can start actual exploration of the new discovery in earnest.

Poseidon Nickel is up 12.5 per cent to 3.6 cents as at 1:05 pm AEST.

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