The first drill hole at the Julimar project hit 19 metres at 2.59 per cent nickel, 1.04 per cent copper, 8.37 grams per tonne palladium and 1.11 grams per tonne platinum from 48 metres in fresh rock.
The mineralisation is hosted within a lens-shaped 2 kilometres by 0.5 kilometres layered intrusion and remains open in all directions.
Chalice acquired the Julimar asset, which has an area of over 2300 square kilometres in 2018 and is currently in the reconnaissance exploration phase. Prior to this discovery, this area had never been explored for nickel.
Chalice managing director, Alex Dorsch said he was surprised by the lack of historic nickel-copper-PGE explorations on an intrusion located within an hour’s drive of Perth and close to established infrastructure.
Dorsch said the company was well-funded to continue its systematic exploration programs in Western Australia and Victoria, having a working capital and investment balance of $23 million as of March 20.
“Given the rarity and value of nickel-sulphide discoveries, particularly in Western Australia, and the recent all-time high palladium price of more than $US2800 per ounce ($4800 per ounce), the result is specially significant,” said Dorsch.
Over the coming weeks, Chalice plans to expand its exploration activities with the help of moving-loop electromagnetic surveying.
The company has identified three high-priority targets north-east of the Julimar project and is evaluating another four targets for further exploration.