Fathom Nickel Inc (CSE:FNI, OTCQB:FNICF) announced positive results from a recent drone-based magnetic (MAG) survey at its Gochager Lake nickel property in Saskatchewan, Canada.
The survey revealed multiple significant magnetic anomalies that align closely with nickel, copper, cobalt, chromium, and magnesium anomalies identified during a summer soil geochemistry program.
This correlation indicates both the extension of known mafic-ultramafic rock formations and the discovery of new ones.
The drone MAG survey covered 9.58 square kilometers, with 367.2 line-kilometers flown.
It provided clearer data than previous surveys and identified potential drill targets while revealing structural complexity, including an eye-like feature that may represent a magma conduit.
Fathom plans to conduct ground follow-up and surface geophysical surveys in the highlighted priority areas, followed by drilling.
Fathom Nickel CEO Ian Fraser said the company was very pleased with the results of the drone MAG survey.
“The detail from this survey provides a clearer perspective than the historic 2008 VTEM data from which we have been working with to date,” he noted.
“This new MAG data, along with results of the summer soil geochemistry and mapping/prospecting results, is further confirmation that the 'container' rock that hosts the Gochager Lake deposit, is very much open along strike.”
He added that the MAG survey also further revealed the structural complexity of the deposit area.
“We were very intrigued to see the 'eye-like' signal within our expanded footprint and the excellent correlation between MAG and soil geochem results,” the CEO said.
“The eye-like feature is possibly mapping a dilatant zone within a broad regional feature we interpret to be the possible magma conduit of the Gochager Lake deposit. The survey area has not closed off these encouraging trends. Like the soil geochemistry results, expansion of the MAG survey is required along strike.”
Fraser concluded: “Detailed MAG, soil geochemistry and surface EM surveys are proving to be very successful as we continue to build an inventory of high-priority drill targets at the Gocher Lake property.”
In addition, Fathom completed the second-anniversary payment for its Gochager Lake Earn-In Agreement, adjusting the terms to reduce the cash payment and increase the share issuance.
The final earn-in requirements, including a final cash payment and issuance of additional shares, are due by September 2025.
"We were pleased when the Gochager Lake vendor approached us and requested an amendment to the agreement to weigh more heavily towards the share issuance. This clearly demonstrates the vendor's continued belief in the potential of the Gochager Lake property,” Fathom Nickel chief financial officer Doug Porter said.
“With the required exploration spend of $2 million on qualifying exploration expenditures now also completed, we only have the final cash payment of $40,000 and the final issuance of 350,000 shares (required by September 16, 2025) in order to complete the earn-in of 100% of the Gochager Lake project.”