Magna Mining Inc (TSX-V:NICU) has started drilling at the Crean Hill Mine, part of the Denison project in Ontario, the company announced.
Three drill holes have been completed, and each has intersected mineralization as expected, including massive sulphide mineralization in drillhole MCR-22-003, the company said. The plan is to complete roughly 2000 meters of drilling prior to the company’s Christmas break, then resume in January.
"We are pleased to have secured a local drilling company for the Crean Hill diamond drilling so quickly after the closing of the acquisition of Lonmin Canada Inc,” said Dave King, SVP of technical services. “Our initial drilling has intersected massive sulphide mineralization, as expected, and demonstrates the quality of the mineral resources remaining at Crean Hill.
READ: Magna Mining hails initial resource estimate for recently acquired Denison project in Sudbury
“The initial 1500-2000 m in this drilling program at Crean Hill is designed to provide technical information to support the [preliminary economic assessment], as well as provide material for metallurgical or other required testing as our technical studies progress,” he added.
Additionally, Magna said that it was awarded the contract to complete a preliminary economic assessment of the Denison project to Stantec (TSX:STN) Consulting Ltd. The PEA will be used to demonstrate the potential economics of the project, identify synergies with the company’s Shakespeare project and make recommendations for additional work to support a future pre-feasibility study.
Magna expects the PEA to be completed early in the second quarter of 2023. In 2023, Magna is budgeting 12,000 to 15,000 m of drilling that will be focused on expanding on the existing mineral resources and testing new exploration targets.
Magna Mining is focused on nickel, copper and PGM projects in the Sudbury Region of Ontario, Canada and has two advanced assets; the past-producing Shakespeare mine, which has major permits for the construction of a 4,500 tonnes-per-day open pit mine, processing plant and tailings storage facility and the past producing Crean Hill mine.
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