Burley Minerals Ltd (ASX:BUR) is storming forward with its flagship Yerecoin Project in Western Australia, which is in close proximity to Chalice Mining Ltd (ASX:CHN, OTCQB:CGMLF)’s world-class Julimar Project Gonneville nickel-copper-cobalt-gold-platinum group elements (PGE) discovery.
In addition to the development potential of the magnetite deposits at Yerecoin, Burley has begun evaluating the nickel-copper-PGE exploration potential at Yerecoin.
Large ultramafic intrusions have been identified at Yerecoin South, with copper sulphides and copper-bearing nickel sulphides observed in core samples.
There is potential for a 'Gonneville-style' nickel-copper-cobalt PGE mineralisation.
The Yerecoin Project also has JORC 2012-compliant magnetite resources of 247 million tonnes at 29.9% iron (68.1% iron concentrate grade, 32.1% DTR).
The results of the airborne VTEM survey carried out in March 2021 are pending.
Magnetite iron ore
It is on a fast track to undertake preliminary feasibility studies and moving on to development and production.
The coarse-grained, low impurity content has favourable processing characteristics, with the sought-after concentrate product suitable to produce high-quality, low impurity steel.
Follow-up EM surveys
Burley Minerals has identified several electromagnetic (EM) anomalies at the Yerecoin Project.
The Jimperding Metamorphic Belt is an emerging nickel-copper-PGE province, with the recent discovery by Chalice of its Julimar Nickel-Copper-PGE Project and the appraisal of the Yarrawindah Brook Nickel-Copper-PGE mineralisation by Caspin Resources Limited, some 15 kilometres to the west.
This is the first major exploration program completed at the Yerecoin Project since 2012 and the first exploration for nickel-copper-PGE mineralisation.
Burley managing director Gary Powell said: “We are very pleased with the survey having identified a number of electromagnetic VTEM anomalies.
“We know the project comprises ultramafic rock units with copper and nickel-sulphides identified in drill core, so the EM survey results are particularly exciting.
“We are now planning follow up ground EM surveys to verify the conductors and better define drill targets.”
Burley is planning an infill and extension ground geophysics survey involving Fixed Loop Time Domain Electromagnetic (FLTEM) and Moving Loop Time Domain Electromagnetic (MLTEM) surveys.
The follow-up FLTEM/MLTEM surveys will be planned to better define the anomalies and generate drill targets.
Burley believes the results of the EM survey are highly encouraging, especially on the back of the recent successes of neighbouring explorers, such as Chalice Mining and Caspin Resources Ltd (ASX:CPN).
Historical assaying returned anomalous nickel and cobalt values invariably serpentinised ultramafic units.
UTS Geophysics Pty Ltd was contracted to fly the helicopter-borne VTEMTM Max electromagnetic and magnetic geophysical survey.
Next steps
Burley is conducting community and stakeholder engagement, whilst recent above-average rainfall in the district is currently impeding access on the ground.
Field investigation of EM anomalies is planned to identify possible surface manifestation of mineralisation or other possible causes.
Follow-up ground-based MLTEM and FLTEM/MLTEM geophysical surveys are currently being planned to better define the anomalies and generate drill targets.
Yerecoin Project overview
The Yerecoin Project comprises two Exploration Licences, 70/2733 and 70/2784, covering some 105.5 square kilometres and centred 120 kilometres north-northeast of Perth, near the Wheatbelt towns of Yerecoin and Calingiri.
The project area has only been explored in recent times, more particularly since 2007, by various parties and largely focused on the delineation and development options of the magnetite iron resources.
More recently, the discovery by Chalice of its Julimar Project’s Gonneville and recent exploration results by Caspin Resources at its Yarawindah Brook Nickel-Copper-PGE Project has significantly enhanced exploration interest in this region.
Location & Infrastructure
The Yerecoin Project is very well located with significant infrastructure already established in the region, including:
- Close proximity to existing open-access, multi-user Tier 2 rail network that connects to the Eastern Goldfields Railway network;
- The Kwinana bulk terminal is 225 kilometres by rail;
- Export port options include Kwinana, Geraldton, Bunbury and Esperance;
- About 10 kilometres from high voltage power transmission lines; and
- About 60 kilometres from the Dampier to Bunbury Natural Gas Pipeline
Acquisition agreement
In 2020, Burley secured a binding option agreement to acquire 70% of the issued capital of Novarange Pty Ltd, which owns 100% of the Yerecoin Project tenements.
Burley will fund all costs in exploring and developing the Yerecoin Project, up until the completion of a bankable feasibility study.
The remaining 30% shareholders in Novarange will be free carried in the Project until the completion of the study, at which time each party will be required to fund their proportionate expenditure or dilute under standard dilution clauses accordingly.
Grosskopf Exploration Target
Current drilling of the western limb of Yerecoin Main resource ends at the northern boundary of Grosskopf property.
There is significant exploration upside for further expansion of the magnetite resources within the Grosskopf property immediately to the south of the western limb of the Yerecoin Main deposit.
The contiguous round 6 kilometres long magnetic anomaly ‘linking’ the Yerecoin Main and South deposits, including the Grosskopf target, represents an immediate exploration target for expansion of the magnetite resources.
Other magnetite exploration targets
Linear magnetic high between Grosskopf Target and Yerecoin South has not been drill tested and there is potential for additional magnetite iron resources.
Further, ‘eye-shaped‘ magnetic feature requires investigation for the presence of ultramafics and magnetite mineralisation.