Collerina Cobalt Ltd (ASX:CLL) is about to start drilling high-priority cobalt targets at the Collerina project in central New South Wales.
Drilling is expected to start within the next two weeks on receipt of NSW Government approvals, applications for which have been submitted.
Drilling contractors secured
The company has secured land access and engaged drilling contractors.
Drilling has been designed to test a series of northwest trending aeromagnetic highs where limited previous drilling recorded high-grade cobalt of up to 0.44% and scandium up to 232ppm.
These aeromagnetic highs are about 10 kilometres north of the company’s Homeville nickel-cobalt-high purity alumina (HPA) deposit.
Previous exploration
Exploration in 1988 by Lachlan Resources confirmed that at least one of these magnetic highs was associated with high-grade cobalt mineralisation.
Two 1988 drill holes testing the C1 anomaly reported high-grade results of 0.44% and 0.35% cobalt.
A further two holes were drilled on the anomaly in 2007, about 550 metres from the 1988 drilling.
These holes returned maximum values of 0.79% nickel, 0.15% cobalt, 0.37ppm platinum and 232ppm scandium.
The project is about 40 kilometres south of Nyngan within the world-class Lachlan Fold Belt. Collerina is progressing a pre-feasibility study on the Homeville laterite deposit for the production of nickel, cobalt and HPA using proprietary process technology.