Wiluna Mining Corporation Ltd (ASX:WMC, OTC:WMXCF)’s joint venture partner A-Cap Energy Ltd has fulfilled phase 2 of its second earn-in milestone for the Wilconi Nickel-Cobalt Project in Western Australia following an investment of $5 million.
A-Cap Energy now holds a 55% interest in the Wilconi project, having completed the first stage requirements with a cash payment of $500,000 delivered last year.
This second buy-in phase follows an 11,000-metre reverse circulation (RC) drilling program, which A-Cap used to upgrade the JORC-compliant mineral resource estimate (MRE) to 660,000 tonnes of contained nickel and 46,600 tonnes of contained cobalt.
Since then, the company has completed and planned for further drilling, intended to inform a mineral resource conversion from the inferred to indicated and measured categories, which A-Cap expects to begin next quarter.
Wilconi holds “several key benefits”
“The Wilconi Project is well-positioned to answer the world’s growing call for nickel and cobalt, two critical minerals which are vital components for up to 90% of the batteries most commonly used for electric vehicles,” A-Cap Energy CEO Dr Andrew Tunks said.
“Wilconi has a massive resource that has several key benefits; it is flat flying close to surface providing low-cost mining, it lies within a granted mining lease and is close to excellent infrastructure in Western Australia, one of the world’s premier mining jurisdictions.”
A-Cap’s prior metallurgic work has indicated the mineralisation at Wilconi is suitable for several different extraction methods.
The company is now undertaking more metallurgic activities in order to optimise the most suitable treatment flowsheets, ready for pilot-scale work.