NickelX completes magnetic survey at Cosmos South project
NickelX’s new Cosmos South licence is 20km north of BHP’s Leinster nickel operation and only 10km south of IGO’s recently acquired Cosmos nickel mine.
Junior explorer NickelX (ASX: NKL) has finalised the remainder of a close-spaced magnetic survey at the Cosmos South nickel project, located within the world-class nickel producing Wiluna Greenstone Belt in Western Australia.
The survey was completed at the CS2 target covering the southern portion of the project area, on 25-metre spaced east-west traverses at a height of approximately 30m above ground.
It is expected to offer significantly better data resolution than previous surveys conducted over the same area.
Data processing is underway and will integrate results from previous surveys to better define the magnetic characteristics of the strata and better map sub-surface structures and lithologies.
The processed data aims to map local variations in the interpreted volcanic lithologies which may represent channelised environments within the larger komatiite sequence, critical to the formation of nickel sulphide deposits.
Highly-endowed region
Cosmos South is located within a highly-endowed region which hosts world-class deposits including Mt Keith, Yakabindie, Honeymoon Well and the Leinster nickel operation.
The project is covered by recent transported cover sequences associated with a drainage system at the nearby Lake Miranda, which is a 100 square kilometre-sized lake when full.
Mapping of subsurface lithology will be dependent on interpretation of the survey data.
NickelX has previously said that despite being surrounded by major nickel miners, the Cosmos South licence area has undergone “very limited” exploration and represents one of the very few independently-owned projects on the Wiluna belt now dominated by BHP (ASX: BHP) and Western Areas.
CS1 drilling
NickelX has commenced permitting to drill test the CS1 target which covers the northern portion of Cosmos South via an initial 1,500m diamond program.
The company is planning four holes to test the near-surface and down-dip extension of strong electro-magnetic conductors coincident with magnetic anomalies.
Exploration will be supported by a $180,000 state government grant awarded in May.
Results are expected in the coming weeks.