- Raiden Resources (RDN) expands its Mt Sholl nickel project in the Pilbara region of Western Australia
- Raiden will pay Welcome Resources a combined $70,000 in cash and shares for an 80 per cent interest in a licence adjacent to Mt Sholl
- The tenement hosts the northern-most extent of the Mt Sholl layered intrusion, providing RDN a hold on the entire northern strike of the intrusive complex
- Raiden is in the final stages of submitting a heritage notice ahead of a drilling exploration campaign expected to kick off in quarter two of this year across the entire project
- Company shares have been trading grey at 1.5 cents at 10:27 am AEST
Raiden Resources (RDN) has expanded its Mt Sholl nickel project in the Pilbara region of Western Australia.
Through an agreement with current land owner Welcome Exploration, Raiden is set to acquire an 80 per cent interest in a licence adjacent to Mt Sholl.
The tenement hosts the northern-most extent of the Mt Sholl layered intrusion, providing Raiden a hold on the entire northern strike of the intrusive complex.
This area reportedly hosts several nickel, copper, cobalt and platinum group element (PGE) deposits.
Untested targets have been identified through the interpretation of geophysical and geochemical datasets from surveys completed by previous explorers.
From this work, RDN said the targets have the potential to host “Ruth Well-style” intrusive-related nickel sulphide targets.
Ruth Well is a nickel-copper project also located in the Pilbara where, in May 2019, Artemis Resources (ARV) reported a 152-kiloton indicated sulphide resource.
The commercial terms of the binding heads of agreement will see Raiden pay $20,000 in cash and issue shares to the value of $50,000 for the licence.
Welcome will keep a 20 per cent equity interest which will be free carried until a decision to mine has been announced.
Following this, each party will contribute according to their respective equity interests or dilute.
Raiden is in the final stages of submitting a heritage notice as part of its plans to begin an exploration program across the entire project area, which includes the newly acquired tenement.
According to Managing Director Dusko Ljubojevic, the company aims to begin drilling in the second quarter of this year, which it hopes will lead to the definition of a JORC-compliant resource.
“This acquisition provides further upside potential to the Mt Sholl project, where nearly 80,000 metres of historical drilling has defined three outcropping nickel-copper-cobalt-platinum group element deposits,” Mr Ljubojevic said.
“This acquisition underscores our stated objective of advancing the Mt Sholl [project] as a key focus for the company”.
Company shares were trading grey at 1.5 cents at 10:27 am AEST.