IMX Resources (ASX: IXR) has confirmed the discovery of a new malachite occurrence on one of its regional licences that form part of the Nachingwea Joint Venture in South Eastern Tanzania.
A geologist from joint venture operator, Continental Nickel (TSXV: CNI), confirmed the discovery made by small scale illegal miners.
The malachite mineralisation discovery is located about 23 kilometres north east from Ntaka Hill on granted exploration licences.
The company said the mineralisation "is hosted in ultramafic rock and graphitic gneisses, and has visual similarities to the copper oxide mineralisation found at surface and overlying the J Zone at Ntaka Hill."
Extraction of malachite bearing rocks from this site is so far on a small scale and samples from the discovery have not yet been sent for analysis, and no analytical laboratory data is available.
The joint venture between IMX (25%) and Continental Nickel (75%) will make a detailed assessment and follow-up of the discovery and will report results as they become available.
Continental Nickel said it has "worked with government officials previously in successfully stopping such illegal mining activities on its licenses and is confident that it will be able to do so in this case."
IMX’s interest in the Nachingwea Ni-Cu Project is held through a direct 25% interest in the Tanzanian joint venture company, Ngwena Limited, and indirectly through a 37.2% interest in Continental Nickel.
In the last quarter the contained nickel resources at existing Ntaka hill zones at Nachingwea increased 50% with scope for further increases. The company also commenced Scoping and Pre-feasibility Studies on Ntaka Hill and Sleeping Giant.
The Measured and Indicated Resources at Ntaka is 3.683 million tonnes (Mt) at 1.52% nickel (Ni), 0.28% copper (Cu) and 0.05% cobalt (Co) (at a US$80/tonne NSR cut-off).
In addition Inferred Resources, which are dominated by the new Sleeping Giant discovery, total 10.9Mt at 0.98% Ni and 0.22% Cu. The contained nickel in all resource categories totals 161,800 tonnes.
On May 17 IMX announced it is ready for the 2011 field season at the Nachingwea and has secured drilling equipment and the services of Tanzanian-based drilling contractor Tandrill Limited, which will supply two drill rigs to carry out 15,000 metres of diamond drilling.
The new drilling will start in early June testing for extensions at the Sleeping Giant deposit, which remains highly prospective as mineralisation is open in all directions.
IMX is well funded and had $29.7 million cash at the end of the March quarter.