St George Mining (ASX: SGQ) has pulled up the “best ever” nickel and copper sulphide intersection to-date at its Investigators prospect within the Mt Alexander project in Western Australia’s goldfields.
According to the company, a 14.37m interval from drill hole MAD126 returned multiple high-grade XRF readings including 8.8% nickel and 4.5% copper between 185m and 190.25m.
Additionally, coarse grained pentlandite was evident in the drill core which revealed spot XRF results ranging from 28% nickel and 37% nickel.
St George’s executive chairman John Prineas said the intersection was shaping up to be the company’s “best ever” at Investigators.
“This is a particularly exciting intercept as there are strong conductors located up-dip and down plunge of the massive sulphides identified by MAD126, giving us confidence that drilling will intersect more massive sulphides in what we believe may be a significant channelised flow,” Mr Prineas said.
“Our drilling is continuing to scope out the scale of the discovery at Mt Alexander with MAD126 another outstanding results that has extended the footprint of high-grade mineralisation,” he added.
This latest intersection continues St George’s 100% strike rate in unearthing high-grade nickel and copper sulphides across the project’s Cathedrals Belt, where the 4.5km of strike has been identified.
St George is currently drilling MAD127 to test for extensions to the mineralisation identified in MAD126, with down hole electromagnetic surveys planned to begin once MAD127 has been finished.
Although the XRF readings are positive, St George is awaiting confirmation of the grades from official laboratory analysis.
Mt Alexander nickel-cobalt project
St George has been actively exploring the Mt Alexander nickel-copper project which includes five exploration licences and the Cathedrals, Stricklands and Investigators prospects, which are prospective for nickel, copper, cobalt and platinum group elements.
The project is 120km from the Agnew-Wiluna Belt, which hosts multiple world-class nickel deposits.
Preliminary test work on ore from the project resulted in 99% recoveries of the nickel and copper to concentrates.
The final high value concentrates graded 18% nickel and 32% copper, with additional cobalt, platinum group elements and gold credits.
With existing nearby infrastructure including processing plants, power and roads, St George is aiming to firm up a low-cost shallow mining operation at the project.
By early afternoon trade, shares in St George had risen 12% to $0.12.