White Cliff Minerals Limited (ASX: WCN) reported a maiden nickel and cobalt Inferred Mineral Resource for the Coronation Dam nickel-cobalt deposit.
On Monday, 25 March 2019, White Cliff Minerals reported its Inferred Mineral Resource of 5.7 million tonnes grading 1.0% nickel and 0.08% cobalt above a cut-off grade of 0.8% nickel, containing 56,700 tonnes of nickel and 4,300 tonnes of cobalt. The company further confirmed that mineralisation is open along strike within an extensive ultramafic unit that contains zones of cobalt mineralisation associated with nickel mineralisation.
This substantial Inferred Mineral Resource was identified after the drilling and subsequent resource modelling, covering a 1.4-kilometre long section of the prospective ultramafic sequence which extends for 5.6 kilometres at Coronation Dam.
The company identified many historical drill holes on the north of Inferred Mineral Resource with cobalt and nickel mineralisation above than 0.05% cobalt or 0.8% nickel while above 1% nickel and 0.08% cobalt on the south. Coronation Dam project consists of a tenement covering 16 square kilometres in the Wiluna-Norseman greenstone belt 90km south of the Murrin Murrin nickel-cobalt HPAL plant.
As per the company’s information, the primary zone of mineralisation extends over 750 metres east-west and 1.4 km north-south. The most of higher-grade mineralisation is concentrated at the middle of deposit while the overall mineralisation begins at surface and dips shallowly to the west.
White Cliff further informed that some portion of the Mineral Resource lies in fresh rock and comprises of 200,000 tonnes at 0.02% cobalt and 1.0% nickel. It implies that the mineralisation may include either nickel sulphide mineralisation or garnierite veining. The group has also eyed the potential for further mineralisation to the western region of the current Inferred Mineral Resource, specifically down-dip, along with the section from the existing intersections.
Going forward, the company aims to conduct metallurgical test work at a preliminary level on the existing drill samples including beneficiation and leaching before taking further drilling activities into consideration. If the test work turns out favourable to the company, White Cliff stated that it would consider a small drilling programme targeting to convert the Inferred Mineral Resources into Indicated Mineral Resources through drilling the high-grade, shallow central area of the deposit and investigate the potential for open pit mining.
In a separate announcement to ASX, the Group notified the change in the interest of the substantial holder. This translates the acquisition of more stakes in the company by Denman Income Limited whose holding has now increased from 50,377,400 shares to 57,168,400 shares, reflecting 12.15% voting power as at the date of the change in the interests of the substantial holder, i.e., 25 March 2019.
WCN last traded at $0.006 with a market capitalisation of $2.82 million as at 25 March 2019. Over the past 12 months, the stock has witnessed a negative performance of massive 95.35% including the plunge of 38.46% in the past three months.