Corazon Mining Ltd (ASX:CZN) has upgraded the mineral resource estimate at Lynn Lake Nickel-Copper-Cobalt Sulphide Project in Manitoba, Canada, to almost 117,000 tonnes of nickel.
The new estimate includes six deposits within the mining centre with multiple additional areas of mineralisation yet to be evaluated as potential additions to the resource base.
Resource to be “further expanded”
New company chairman Terry Streeter said: “Corazon now has almost 117,000 tonnes of nickel metal in sulphide resource sitting in one of the best mining provinces in Canada.
“All indications are that this will be further expanded.
“We’ve got a drill rig on-site setting up on targets recently generated in and around the Mining Centre.
“The forecasts for Class 1 nickel demand is quite strong and we are keen for Lynn Lake to be in a position to take advantage of that market.”
New resource estimate
Corazon engaged independent resource consultants HGMC to provide an updated mineral resource which includes:
- 16.3 million tonnes at 0.72% nickel, 0.33% copper and 0.033% cobalt for total contained metal of 116,800 tonnes nickel, 54,300 tonnes copper and 5,300 tonnes cobalt; with
- 5.4 million tonnes at 0.99% nickel, 0.41% copper, 0.043% cobalt of high-grade material.
The estimation has focused on the EL, N, O, P, Disco and Golf deposits within Lynn Lake.
The Golf Deposit was drilled out just prior to mine closure and the Disco deposit was discovered in 2008, well after mine closure in 1976.
Lynn Lake hosts additional deposits, as well as numerous occurrences of drill-defined mineralisation, that are yet to be considered for resource studies.
These areas support the potential for further upgrades to Lynn Lake’s Mineral Resource.
Drill targets identified
Recent work at Lynn Lake has focused on defining additional areas of mineralisation that may add to the existing resources.
Priority Lynn Lake Mine area drill targets include:
- near-surface mineralisation;
- areas on-trend from historical mines; and
- areas adjacent to Corazon’s existing resources.
Recent mining studies at Lynn Lake have predominantly centred on nickel deposits at depths of more than 400 metres below the surface.
The company’s work has highlighted the potential to define additional resources closer to the surface adjacent to historically mined areas.
These areas are the initial focus for the current drilling program.
Several new high-potential areas that are geophysically analogous to previously mined areas have also been defined within Lynn Lake and results will be reported on as they become available.