The Company has a joint venture with Independence Group NL (IGO) for the exploration of five tenements in the Fraser Range region of Western Australia, targeting magmatic nickel-sulphide deposits such as that at IGO’s Nova nickel-copper-cobalt operation. The Fraser Range JVA includes the Red Bull, Bindii, Big Bullocks and Similkameen tenements.
IGO are the Manager and Operator of the joint venture. They currently hold a 51% interest in the Fraser Range Tenements and can earn an additional 19% interest by spending $5 million on the Fraser Range Tenements within 5 years. As a dedicated nickel explorer with a long term commitment to the region, IGO are best placed to carry the Fraser Range Project forward, providing the Company with significant exposure to exploration success in the Fraser Range.
The Company has also recently applied for one exploration licence adjacent to the Red Bull tenements: E69/3521, “Albert Park”. The tenement is one of six competing applications and will therefore be subject to ballot to determine its priority for acceptance by the Western Australian Department of Mines, Industry Regulation and Safety. The tenement is not required to be included in the Fraser Range JV. Combined the Company’s tenements cover an area of about 729km2.
Fraser Range project location plan
Red Bull is located just 20km south of Nova and is situated near a number of advanced nickel targets including Crux, Centauri, Plato, SHG02 and Western Margin. Previous exploration identified a number of targets. RC and diamond drilling of these targets did not identify economically significant mineralisation, however anomalous Ni results were obtained from ultramafic rocks containing disseminated Ni-sulphides, demonstrating the presence of host rocks and a geological setting highly prospective for the formation of magmatic-hosted nickel sulphide deposits, and scope for future discoveries.
At Bindii sparse historic drilling has identified thick cover over basement with saprolite between 96m and 156m depth. Despite this cover, a strong nickel (760ppm) auger anomaly in calcrete has been identified in the far south of the tenement, coincident with a magnetic low striking west from the Boonderoo Fault. A gold (32ppb) auger anomaly is also present to the south coincident with a similar proximal westerly striking magnetic low.
Big Bullocks is an area of complexly folded and faulted felsic and mafic/ultramafic intrusive centres of the Fraser Complex, conceptually well-suited to formation of magmatic Ni-sulphide and/or gold deposits, with thin recent cover resulting in the area being under-explored to date. Regional-scale drilling by Sheffield, and interpretation of airborne geophysical data, have identified a number of possible targets of interest.
Similkameen is located 17km north of Nova, and 50km southwest of Classic Minerals’ Mammoth Cu-Ni target. The majority of historic exploration has focused of gold exploration particularly along the Fraser Range Shear Zone. The presence of mafic and ultramafic intrusions within the Fraser Complex has been interpreted from aeromagnetic data and these intrusions are expected to form the focus for future Ni-Cu-Co exploration.