- Chalice Mining (CHN) extends high-grade mineralisation down-dip and along strike from multiple zones within the Gonneville deposit in Western Australia
- Chalice says the latest results have further reinforced the potential of the deposit and have uncovered 1000 metres of untested strike
- The company is undertaking ongoing step-out and resource definition drilling at Gonneville to deliver a maiden resource estimate in the upcoming quarter
- Additionally, metallurgical test work has returned excellent recoveries of 75 to 90 per cent palladium-copper which will be included in a scoping study
- Company shares are down 4.37 per cent to trade at $6.56 at 12:21 pm AEST
Chalice Mining (CHN) has reported new drilling and test work results from ongoing exploration at its Julimar project in Western Australia.
The company is conducting a step-out and resource definition drilling program at the Gonneville deposit.
Step-out drill results
Step-out drilling down-dip of the high-grade G2, G4 and G6 zones has continued to intersect high-grade mineralisation. Drilling at G12 has extended the zone along strike and it remains open to the north.
Latest and best results include 26 metres at 4.8 grams of palladium per tonne (g/t), 1g/t platinum, 0.5 per cent nickel, 0.3 per cent copper, 0.04 per cent cobalt from 286 metres at G2, 18.1 metres at 1.6g/t palladium, 0.4g/t platinum, 0.2g/t gold, 0.3 per cent nickel, 0.7 per cent copper, 0.02 per cent cobalt from 600.2 metres at G4.
Eleven of the 13 zones of high-grade mineralisation within Gonneville remain open. Most high-grade zones have now been defined to a depth of 250 to 600 metres below surface.
The company will continue step-out drilling to target potential new zones as well as extensions of the highest-grade zones (G1-G6). CHN considers zones G1 to G6 to have potential to support future underground mining.
Infill drill results
Additionally, infill drilling of the G4 and G6 zones has intersected two broad intervals of mineralisation.
Results include 98.9 metres at 1.3g/t palladium, 0.5g/t platinum, 0.3g/t gold, 0.1 per cent nickel, 0.4 per cent copper, 0.01 per cent copper from 90.7 metres including 17.9 metres at 2.0g/t palladium, 0.5g/t platinum, 0.5g/t gold, 0.1 per cent nickel, 0.4 per cent copper and 0.01 per cent cobalt from 97.8 metres.
CEO Alex Dorsch said the results reinforced the significance of the Julimar project ahead of a mineral resource estimate (MRE).
“The exciting new results show that the high-grade zones have a significant plunge extent yet to be tested, with approximately 1000 metres of extent between the limit of drilling and the state forest boundary. There is still a significant amount of exploration drilling to be done before we understand the true scale of the Gonneville deposit.”
Chalice is using the results to complete a maiden MRE for the Gonneville deposit and expects to release this in the upcoming quarter.
So far, Chalice has drilled 160 diamond holes and 420 reverse circulation (RC) holes, for roughly 155,000 metres, at Julimar. Of this, the company has received assays from 132 diamond and 365 RC holes. Assays are pending for another 85 completed holes.
Metallurgical test work results
Lastly, new test work results delivered excellent palladium-copper recoveries of between 75 and 90 per cent and nickel-platinum recoveries ranged between 60 to 75 per cent.
Chalice is investigating the potential to produce a high-grade copper-PGE-gold concentrate for sale, along with a lower-grade bulk nickel-copper-PGE concentrate to enrich higher-grade intermediate products.
Flowsheet development is continuing as part of a scoping study. CHN expects to complete this in the first half of next year.
Company shares were down 4.37 per cent to trade at $6.56 at 12:21 pm AEST.