Centaurus Metals (ASX: CTM) has unearthed more shallow high-grade cobalt and nickel from its Itapitanga project in Brazil’s north.
Results to-date are from a first-pass hand-held auger drilling program, which hits a maximum 23m depth. Most holes drilled during the program reached between 5m and 8m below surface.
Better intersections from the program were 12m grading 0.13% cobalt and 0.93% nickel, 6.5m grading 0.20% cobalt and 0.94% nickel, 8.7m grading 0.10% cobalt and 1.21% nickel, and 10m grading 0.12% cobalt and 1.07% nickel.
These results are similar to earlier intersections from surface of 10.1m grading 0.12% cobalt and 1.03% nickel, and 8.7m grading 0.10% cobalt and 1.21% nickel.
According to Centaurus, 29 out of 33 holes struck nickel and cobalt, with mineralisation remained open at depth and along strike.
“To have numerous continuous intersections of high grade nickel and cobalt from surface to the bottom of the auger hole is exceptional and the fact that 29 of these first 33 holes finished in mineralisation is highly encouraging,” Centaurus managing director Darren Gordon commented on the results.
“We have so far defined a strike length of 3.3km with widths up to 500m at the Northern Target and have recently started drilling on the Southern Target,” Mr Gordon added.
Itapitanga neighbours Anglo American’s Jacaré deposit, which Centaurus claims host the world’s large tonnage high grade nickel and cobalt deposit of 307 million tonnes grading 1.3% nickel and 0.13% cobalt.
The deposit comprises a higher-grade cobalt zone of 185mt grading 1.2% nickel and 0.18% cobalt and the laterite ore extends between 40-50m depths.
A reverse circulation drilling program will start at the project next month to gauge the thickness and grade of the mineralisation it has discovered.
“Given the mineralisation profile of the neighbouring Jacaré deposit, which hosts one of the highest large-tonnage nickel-cobalt grades in the world, we’re confident that the reverse circulation drilling can extend the current mineralised intersections significantly,” Mr Gordon said.
He added that as the electric vehicle market drives the cobalt price towards the US$100,000 per tonne price and the emerging positive outlook for nickel, the company was “looking forward” to delivering “quality” drill results from early May.
Shares in Centaurus shot up almost 30% in early morning trade to A$0.014.