A Phase II of drilling has commenced at Metallica Minerals wholly owned Greenvale nickel cobalt mine site approximately 170 kilometers NW of Townsville in northern Queensland. The drilling is aimed at identifying additional Nickel and Cobalt resources outside the current resource boundaries. To date 175 RC and Aircore holes have been drilled at Greenvale for 4,000 meters of which assay results have been received for the first 100 holes. Better results received to date include:
1. The Power Line:
GVM 425, 11 meters 1.25% Ni and 0.09% Co from 22 meters
GVM 432, 8 meters 1.49% Ni and 0.14% Co from 36 meters
GVM-434, 10 meters 1.53% Ni and 0.04% Co from 35 meters
GVM-440, 11 meters 2.00% Ni and 0.17% Co from 39 meters
2. The Powder Magazine;
GVM-448, 14 meters 1.28% Ni and 0.11% Co from 3 meters
GVM-451, 6 meters 0.87% Ni and 0.37% Co from 2 meters
3. Moonscape;
GVM-472, 5 meter 1.58% Ni and 0.07% Co from 0 meter
GVM-475, 8 meters 1.22% Ni and 0.28% Co from 2 meters
GVM-495, 16 meters 1.22% Ni and 0.44% Co from 0 meters
GVM-503, 14 meters 1.39% Ni and 0.13% Co from 23 meters
GVM-507, 8 meters 2.63% Ni and 0.17% Co from 2 meters.
The Phase 2 drilling is concentrated on the two main zones of high grade Ni and Co mineralization identified by the Phase 1 drilling completed in July this year. Holes are also being drilled at the Moonscape and Powder Magazine areas where initial drilling has intersected high grade Ni and Co mineralization close to the surface.
Scandium values for the holes drilled at Greenvale in the Phase 2 drilling program have returned values of between 20 gram per tonne to 50 gram per tonne Sc and average approximately 35 gram per tonne.
A complete list of drill hole results for holes GVM-418 to 517 is provided in Table 3 at the back of this report and the location of the holes at Greenvale to date are included.
The current Greenvale Indicated and Inferred resource stands at 4.5Mt @ 1.12% Ni and 0.08% Co with a higher grade zone of 1.43 million tonne at 1.39% Ni and 0.11% Co for the breakdown of the resource categories. The Phase two drilling is targeted at potentially increasing the current resource by between 1 million tonne to 1.5 million tonne at comparable grades.
In addition to the RC drilling at Greenvale, Metallica has also completed six PQ diamond drill holes for 189 meter at the Greenvale and Lucknow deposits. The diamond holes were drilled to obtain samples for bulk density determinations, metallurgical test work and XRD and petrological studies. It is likely that with the additional bulk density data received from the diamond drilling, the resources which were previously classified as Indicated may be reclassified as Measured in the updated resource estimate due out in mid December.
(Sourced from www.abnnewswire.net)
