Poseidon Nickel (ASX:POS) - Managing Director & CEO, Peter Harold
Managing Director & CEO, Peter Harold
Source: Poseidon Nickel
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  • Poseidon Nickel (POS) reports its “Fill the Mill” strategy has enabled it to fast track several initiatives for its Black Swan Project restart
  • POS says its growing mine inventory supports its strategy based on feeding the 1.1 megatonne per annum (Mtpa) processing circuit from a combination of feed sources to maximise the number of nickel units produced
  • As part of the strategy, POS completed further exploration down plunge of the existing Silver Swan resource, which indicated the potential for an increased reserve, up from the current Silver Swan JORC Reserve of 6800 tonnes nickel
  • A further internal preliminary economic assessment will be completed ahead of the bankable feasibility study which is due in June 2022
  • Poseidon Nickel last traded at 10 cents on December 20

Poseidon Nickel (POS) has reported its “Fill the Mill” strategy has enabled it to fast track several initiatives for its Black Swan restart.

The company said its growing mine inventory supports its restart strategy, which is based on feeding the 1.1 megatonne per annum (Mtpa) processing circuit from a combination of feed sources. This has been designed to maximise the number of nickel units produced.

As part of the strategy, the company completed further exploration down plunge of the existing Silver Swan resource, to grow the high-grade mining inventory. Results included 6 metres at 11.36 per cent nickel, and 15 metres at 17.92 per cent nickel.  

Poseidon said the assay results received from current resource drilling at Silver Swan have indicated the potential for an increased reserve, up from the current Silver Swan JORC Reserve of 6800 tonnes nickel.

Managing Director and CEO, Peter Harold, said the company is continuing to progress the “Fill the Mill” strategy at Black Swan.

“The resource drilling programs on the Black Swan disseminated orebody and within the Silver Swan Channel continue to deliver positive results which show potential for an increase in the mining inventory for the restart,” Mr Harold said.

“In addition, further knowledge of these resources builds our knowledge of the mineralogy and metallurgy and will help us refine the ore blending strategy to achieve the optimal concentrate specifications.”

Following completion of the current drilling programs and receipt of assay results, along with the completion of updated mine studies, a further internal preliminary economic assessment (PEA) will be completed ahead of the bankable feasibility study (BFS) which is due in June 2022.

“Progress to date on the bankable feasibility study has provided the necessary outputs from our internal preliminary economic assessment to provide comfort for us to commence a number of workstreams to support the Black Swan restart,” Mr Harold said.

The PEA, due in March, is hoped to provide additional information to allow the company to approve additional works ahead of the Black Swan restart. This will include an environmental and mining approvals process, and employing key staff for management roles.

Poseidon Nickel last traded at 10 cents on December 20.

POS by the numbers
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