--adds broker comments-- In-fill drilling at Horizonte’s (LON:HZM) Araguaia project in Brazil has returned consistent grades of more than 2% nickel. At the Pequizeiro deposit grades were up to almost 3% nickel at widths up to 19m, while at Jacutinga results were similar with the best more than 3% over a 4m stretch. Jeremy Martin, Horizonte’s chief executive, said the Pequizeiro and Jacutinga deposits would bolster the initial 8 to 10 years mine life of the mine. “These results further support the high grade zones within the current NI 43-101 Mineral Resource Estimate, so we have an increased degree of confidence that we will not see any significant reduction in the planned nickel grades over the early period of mine life.” Elsewhere work on the feasibility study at Araguaia is making good progress, with the full scale Rotary Kiln Electric Furnace pilot campaign also on schedule said Martin. SP Angel added that the drilling comprised 10,255 metres in 261 holes (8,764m) at the Pequizeiro prospect and 49 holes (1,491m) at the Jacutinga prospect on 50x50 metres grids. The programme appears to have produced results consistent with previous grades may prompt an upgrade a portion of the current probable reserve to proven. House broker finncap added that the results essentially confirm that there is a substantial nickel orebody at Araguaia. It kept its 44p price target. Shares rose 10% to 2.88p.
UPDATE - Horizonte pleased with consistent high grades at Araguaia
At the Pequizeiro deposit grades were up to almost 3% nickel at widths up to 19m, while at Jacutinga results were similar with the best more than 3% over a 4m stretch.