Alchemy Resources Limited (ASX:ALY) has confirmed additional significant results from its phase III resource drilling within the West Lynn Nickel-Cobalt Project in the Lachlan Fold Belt, New South Wales.
The company has currently earned 51% (earning up to 80%) in the project as part of its farm-in agreement with Heron Resources Ltd (ASX:HRR).
Importantly, the new results have confirmed broad high-grade nickel and cobalt mineralisation and broad zones of alumina immediately above the nickel-cobalt mineralised zone.
Highlight results include:
• 34 metres at 0.97 % nickel, 0.05% cobalt from 38 metres;
• 40 metres at 0.71% nickel, 0.04% cobalt from 30 metres;
• 20 metres at 0.97% nickel, 0.10% cobalt from 38 metres;
• 31 metres at 20.1% alumina from 13 metres; and
• 19 metres at 23.7% alumina from 25 metres.
Resource estimation + preliminary metallurgical work
Drilling to date has not fully defined the extent of along-strike or across-strike mineralisation at both the Summervale and West Lynn prospects.
In addition, the drilling to date has covered only about 10 kilometres of the 22 kilometres long West Lynn Serpentinite unit.
Further drilling will be undertaken subsequent to the release of the upcoming maiden nickel-cobalt-alumina resource.
Alchemy is aiming to complete the resource estimation and preliminary metallurgical work early in 2019.
READ: Alchemy Resources delivers high-grade gold intercepts at Hermes South in WA
Earlier this month, Alchemy intersected high-grade gold in phase-two reverse circulation drilling at its Hermes South prospect in Western Australia.
The prospect is 65 kilometres from the Plutonic Gold Mine operated by Superior Gold Inc (CVE:SGI) and is being drilled by Superior as part of a farm-in and joint venture agreement with Alchemy.
Highlighted intersections include 16 metres at 3 g/t gold from 137 metres, 14 metres at 3 g/t gold from 81 metres, 9 metres at 4.4 g/t from 98 metres and 10 metres at 3.8 g/t from 151 metres.