- Poseidon Nickel (POS) spikes on the ASX after intersecting massive nickel-copper sulphides at its Silver Swan deposit in WA
- The company struck the intersection through infill and resource extension drilling at the Tundra-Mute zone of the deposit
- Poseidon says visual estimates of one drill hole in the area show 13.6 metres of nickel-copper sulphides with an estimated true width of 9.8 metres
- Importantly, Managing Director and CEO Peter Harold says this latest hole will “most certainly” increase the amount of material in deposit’s ‘indicated’ resource category
- Shares in Poseidon Nickel were up 17 per cent at 11 cents each at 12:11 am AEDT
Junior explorer Poseidon Nickel (POS) has spiked on the ASX today after intersecting massive nickel-copper sulphides at its Silver Swan deposit in WA.
While the results of the lab analysis are still pending Poseidon said visual estimates of one drill hole in the area show 13.6 metres of nickel-copper sulphides with an estimated true width of 9.8 metres.
The intersection was struck through infill and resource extension drilling at the Tundra-Mute zone of the deposit as Poseidon works to convert inferred resources in this area to the higher-confidence ‘indicated’ category.
The Silver Swan deposit is part of the wider Black Swan project near Kalgoorlie.
Poseidon Managing Director and CEO Peter Harold said the company was “very pleased” to have struck such an intersection within the Tundra-Mute resource.
“This is the best intersection so far in this drill program and is significant given that the average thickness of the Tundra-Mute inferred resource was previously about two metres,” Mr Harold said.
“The aim of this program is to increase the confidence in the resource by converting existing resources from inferred to indicated and to potentially find high-grade mineralisation outside the current known resource.
“This latest hole will most certainly increase the amount of material in the indicated resource category.”
So far, Poseidon has drilled 18 holes in and around the Tundra-Mute mineral resource as part of its infill and extension work.
The company said it’s important to note that visual estimates should never be considered a proxy for lab analysis of sulphide material, but the intersection announced this morning was encouraging nonetheless.
Poseidon said it will announce lab assay results to the market as they become available.
Alongside the goal of increasing the mineral resource confidence of Silver Swan, Poseidon’s drilling program is also testing for more high-grade gold mineralisation outside of its current resources.
Shares in Poseidon Nickel were up 17 per cent at 11 cents each at 12:11 pm AEDT. The company has a $342 million market cap.