Strategic Minerals PLC (LON:SML) has announced that its wholly-owned subsidiary, Central Australian Rare Earths has commenced the first phase of the 2017 Hanns Camp drilling programme.
In a statement, the AIM-listed minerals production and development company said the first phase of the programme has been planned to consist of Air Core drilling approximately 2,500 metres through 50 holes.
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It noted that these holes are in a grid pattern over an area of approximately 1.1 square kilometres with drill holes approximately 120 metres apart.
The group said the drilling programme is expected to be completed within two weeks and assay results should be available four to six weeks after sampling.
All drill holes are targeting cobalt and nickel laterite as well as looking to provide traces to guide drilling in the second phase of the programme, aimed at identifying nickel-copper sulphide mineralisation, it added.
The firm said Hanns Camp is considered to be “one of the most compelling greenfield nickel-sulphide exploration opportunities in the Yilgarn Craton of Western Australia.”
The drilling programme is to be funded internally from cash flows derived from the company's Cobre operations.
Recommencement of drilling starts an exciting period
Strategic Minerals’ managing director, John Peters, said: "The recommencement of drilling starts an exciting period in the Company's development of its CARE tenements.
“The results from this and the review of tenements, particularly around Mount Weld, will set the schedule for further exploration.
He added: "The reinvestment of cash flows arising from Cobre into exploration works being undertaken by CARE and our Redmoor tin-tungsten joint venture project provides the Company the enviable position wherein it can look to significantly increase shareholder value without dilution. I look forward to updating the market upon receipt of assay results."
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