IMX Resources (ASX: IXR, TSX: IXR) continues to intersect high grade nickel sulphides from the Sleeping Giant infill drilling program at the Ntaka Hill Nickel Sulphide Project in south eastern Tanzania - which is part of the wholly owned Nachingwea property.
The results will be included in an updated resource estimate due for release in the March quarter of 2013. Nachingwea currently has a Measured Resource of 28,400 contained nickel tonnes, an Indicated Resource of 126,300 contained nickel tonnes and an Inferred Resource of 135,000 contained nickel tonnes.
Multiple nickel intersections from the higher grade core of Sleeping Giant include:
- 13.75 metres at 1.42% nickel and 0.36% copper from 158.25 metres;
- 5 metres at 2.14% nickel and 0.39% copper from 235 metres, including 0.6 metres at 14.75% nickel and 2.57% copper; and
- 9 metres at 1.06% nickel and 0.38% copper from 188 metres, including 0.55 metres at 4.95% nickel and 2.29% copper.
Neil Meadows, managing director, commented: “We are very encouraged by the new high grade results from the infill drilling which is continuing to demonstrate overall continuity of both the Sleeping Giant and overlying hanging wall zones of mineralisation."
The highlights continue with wide zones of disseminated hanging wall nickel sulphide such as:
- 83 metres at 0.52% nickel and 0.12% copper from 52 metres, including 11 metres at 1.0% nickel and 0.26% copper; and
- 88.2 metres at 0.38% nickel and 0.08% copper from 114.8 metres, including 11.3 metres at 0.59% nickel and 0.13% copper.
The sulphide lens northeast of Sleeping Giant extended 50 metres south delivered; 12 metres at 1.21% nickel and 0.39% copper from a wider 33 metres interval at 0.83% nickel and 0.22% copper from 184 metres.
Importantly for the development of the project, Meadows said that IMX Resources' analysis of the mineralogy from the drill assays also indicates that the mineralisation intersected will exhibit the same excellent metallurgical performance that the company have demonstrated in test work to date.
"IMX is committed to further drilling to enhance the already robust economics of development of the Ntaka Hill Nickel Sulphide Project.”
Ntaka Hill has demonstrated that a premium nickel sulphide concentrate can be produced, with good recovery and grade from disseminated material demonstrated.
ESIA under preparation with approval expected March 2013.
Production is forecast in the December quarter of 2015 at an initial rate of 10,000 to 15,000 tonnes per annum of contained nickel, expanding to a rate of 15,000 to 25,000 tonnes per annum contained nickel.
Scoping Study (PEA) Update
- Cash Costs US$5/lb;
- 15 years mine life at 10 – 15,000 tpa nickel production;
- Pre-production Capex confirmed at US$227 million;
- Good comparison to 2011 PEA with comparable metal pricing assumptions; and
- Work carried out de-risks project.
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