St George Mining is expanding its exploration program to identify further nickel-copper mineralisation and increase the resource potential of existing discoveries at the Mt Alexander base metals project near Leonora, WA.
The move comes after the ASX-listed company secured firm commitments for a $3 million placement priced at 10 cents per share.
One of the investors is Moho Resources, which is subscribing for $500,000 worth of St George shares. Moho is chaired by veteran miner Terry Streeter, who was previously the chairman of Western Areas and Waratah Resources.
Diamond drilling of the 42 new electromagnetic conductors identified by down-hole geophysical surveys, is expected to commence later this month.
These include several high priority targets located away from the defined zones of nickel-copper sulphide mineralisation and could significantly extend the defined ore system at the Cathedrals Belt structural corridor, located within the Mt Alexander project.
Any additional targets identified by ongoing electromagnetic surveys at the Cathedrals Belt, will also be incorporated into the drill program.
Additionally, the company will undertake a comprehensive soil survey over the 8km strike of the Fish Hook prospect, which is considered to be a high priority nickel-copper sulphide target.
This soil survey will be followed by optimised electromagnetic surveys to detect any bedrock conductors below the surface. Any further targets delineated would then also be added to the upcoming drill program.
Initial soil sampling at Fish Hook returned highly anomalous values for nickel, copper and platinum group elements and exceeded assays at the Investigators prospect, where extensive high-grade nickel-copper sulphides were later intersected by drilling at depth.
St George Executive Chairman John Prineas said: “It is very pleasing to be able to expand the upcoming drill programme which, with its large number of EM drill targets, is expected to identify further significant mineralisation and increase the resource potential of our known discoveries at Investigators, Stricklands and Cathedrals.”
“We are also excited to have the opportunity to fast‐track work programmes at the Fish Hook prospect – an early-stage target with potential to yield a significant greenfields discovery.”
The Mt Alexander project is located near Leonora in the northern Goldfields region of WA, where the company holds a 75% stake in a joint venture with Western Areas and also manages the project.
High-grade nickel-copper-cobalt-PGE mineralisation has been identified at the Cathedrals, Investigators and Stricklands prospects at Mt Alexander, with numerous other regional targets situated over more than 15km of the broadly east-west strike.
