Assay results for the second complete line of reverse circulation holes at the Baker Shoot prospect within Lunnon Metals’ (ASX: LM8) Kambalda nickel project in Western Australia have returned more high-grade intercepts for the junior explorer.
The holes were drilled late last year and sit 40 metres to the south of first line results announced earlier this week.
Highlights from the second line were 10m at 6.82% nickel from 160m down hole; 3m at 7.88% nickel from 180m; and 2m at 4.27% nickel from 187m.
The company also reported a best assay of 2.7m at 10.72% nickel from 167.85m. The visual results of this interval was reported last month.
Geological interpretation of the hole suggests that structures may be responsible for “pinch and swell” features in the mineralisation in areas where the blanket of hanging-wall mineralisation interacts with cross-cutting zones.
The higher grades are believed to correspond to ultramafic-hosted massive to semi-massive nickel sulphides ranging to more disseminated sulphides for the lower grades.
Other diamond drill results are expected to assist in determining the extent of the very highest and thickest grade mineralisation.
Further diamond and reverse circulation drilling will be planned to target these zones.
Delivering the goods
Lunnon managing director Ed Ainscough said Baker Shoot continues to deliver the goods for Lunnon.
“Discovering Baker has been significant for us and the high grades we are recording are the icing on the cake,” he said.
“There is a lot of work to do and we look forward to now focusing on the thicker and more discrete high-grade zones.”
Lunnon Metals holds all of the mineral rights at the Kambalda nickel project, which comprises 19 contiguous granted mining leases across 23 square kilometres of the Kambalda nickel district.
Since its discovery in 1966 by WMC Resources (which was bought out by BHP Group (ASX: BHP) in 2005 and subsequently delisted from the ASX) the district has produced more than 1.4 million tonnes of nickel metal and around 15 million ounces of gold.
Mr Ainscough said Lunnon aims to discover and develop sufficient nickel mineral resources to become a key player in the resurgence of the local nickel sector.