ASX-listed multi-element explorer Conico Ltd has revealed a 2000m reverse circulation drill program is planned to begin imminently at its Mt Thirsty project, following the recent spectacular PGE discovery by Galileo Mining only 200m from the northern tenement boundary held by the Mount Thirsty joint venture, or “MTJV”. A comprehensive geological review is also underway.
The Mount Thirsty cobalt-nickel project is located 16km northwest of Norseman in Western Australia and is a 50/50 joint venture between Greenstone Resources and Conico Ltd. Immediate neighbour, Galileo Mining, caused a buzz on the share marked last week with its shares skyrocketing to a new high after delineation of a wide sulphide zone with significant platinum group elements at its Callisto project.
The extension of the prospective mineralised horizon into the MTJV tenure is supported by geophysics and lithology mapping according to Conico.
Galileo targeted a mineralised sulphide unit on the contact between an ultramafic sill and package of sedimentary rocks. Six reverse circulation holes were drilled and one drill hole intercepted an exceptional 33m within a wider 55m disseminated sulphide zone at a stellar grade of 2.00 grams per tonne platinum, palladium and gold combined. Notably, according to Galileo, assays have only been returned for a portion of one drill hole with five more holes to come and all drill holes intersected mineralisation.
Galileo has suggested similarities in mineralisation style to the Platreef deposits on the northern limb of the Bushveld Complex in South Africa. The Platreef deposits are extensive in nature and have combined indicated resources of greater than 700 million tonnes at a 1 g/t platinum, palladium and gold combined. Contained metals at Platreef include palladium, platinum, gold, rhodium, copper, and nickel.
Galileo’s share price increased by as much as 250 per cent on the back of the results.
Despite extensive drilling over the Mt Thirsty area, the prospective eastern margin inexplicably, remains largely untested with less than 5 per cent of all holes drilled at Mt Thirsty penetrating deeper than 100m. This is significant as Galileo’s discovery is at depths greater than 144m downhole.
An initial review by Conico indicates a whopping 1.5kms of the same prospective horizon may extend onto MTJV territory.
Conico will waste no time testing for south-eastern extensions to the prospective platinum-rich geological horizon identified by Galileo. A 2000m reverse circulation drill campaign at Mt Thirsty is expected to begin in the next 6-8 weeks pending receipt of a PoW application and will take 4 weeks to complete.
The company is also conducting a broader regional geological review assessing the nickel sulphide and lithium-caesium-tantalum pegmatite potential of the area. Management says an evaluation of options to support the next development phase of the existing Mt Thirsty resource continues and the pre-feasibility study has been completed
The current Mt Thirsty cobalt-nickel oxide deposit has a JORC Resource of 26.9Mt at 0.126 per cent cobalt and 0.54 per cent nickel. The company is betting on the imminent drill program adding some more lucrative numbers to its existing resource.
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