WA set for another sulphide nickel project

ANOTHER embryonic sulphide nickel project is about to be created in WA.

Perth-based Bullion Minerals Limited, established as a private minerals explorer in 1969, has launched a new $3 million float targeting a package of exploration ground immediately adjacent to the Maggie Hays and Emily Ann nickel sulphide deposits, in the Lake Johnston region, some 400 kilometres east of Perth and to the south-west of Kalgoorlie.

The region has already delivered some interesting nickel sulphide discoveries, including LionOre Australia (Nickel) Limited’s Maggie Hays and Emily Ann deposits and RAV 8 near Ravensthorpe, as well as major gold deposits at Chalice and Bounty.

Since commencing nickel exploration in 1993, Bullion has spent more than $2 million exploring its Lake Johnston tenement area. A number of promising nickel sulphide targets have been identified and these will be the immediate focus following listing.

Bullion has lodged a prospectus for the issue of 15 million 20 cent shares plus a free attaching option to raise exploration funds. The issue is fully underwritten by Intersuisse Ltd.

Bullion has a substantial shareholder base of 1,488 shareholders and 10 million shares in the public float which have been set aside for priority allocation to these shareholders.

Following the issue, Bullion will have 30 million shares on issue, cash of some $2.6 million and asset backing of 20 cents/share.

“The geological pedigree of this area is outstanding and, given the amount of work carried out by Bullion to date, we have identified some very advanced targets which warrant immediate attention,” said Bullion managing director Mark Freemantle.

“The nickel sulphide plant proposed to be built by LionOre in this area gives us added benefit.”

Bullion has seven exploration projects within the Lake Johnston greenstone belt. Its tenements are located some 150 km south-east of Southern Cross in a normally dry salt lake bed with the main targets being Round Top Hill, Plover Rock, Mt Day, Maggie Hays East, Lake Hope, Mt Gordon and Scotia.

While Bullion intends to concentrate mostly on nickel, it will also follow up known gold potential to identify gold anomalies.