Chalice Gold Mines is set to secure a significant nickel sulphide exploration opportunity in the west Kimberley region of Western Australia after acquiring North West Nickel.
The target acquisition is a private nickel explorer that holds a portfolio of exploration projects, including the Ruins project, which is adjacent to the nickel sulphide discoveries recently reported by Buxton Resources and Independence Group (IGO) at the Merlin JV.
Ruins, located immediately southeast of Merlin, is also highly prospective for other associated metals, including copper and cobalt.
The project is described as an ideal, drill-ready entry point into the King Leopold Orogen. It includes the presence of outcropping Ruins dolerite and co-incident electromagnetic targets along strike from Merlin immediately drew Chalice’s attention, according to Chalice managing director Alex Dorsch.
“Over the past few years, we have searched globally for high-quality nickel sulphide projects with grade and scale potential, and what we see in the North West Nickel portfolio excites us,” Dorsch said.
“The outlook for nickel is exceptionally strong, and there are very few advanced nickel sulphide projects out there to satisfy rapidly growing class one nickel demand.”
Chalice’s acquisition of North West Nickel will allow it to pursue the 1800-square-kilometre district-scale King Leopold nickel project in the Kimberley, alongside its gold projects in Victoria and Quebec.
“We intend to commence drill testing these targets as soon as possible. The recent entry by IGO into this largely unexplored province and the substantial ramp-up of exploration activity is a sign that this area is primed for new high-grade nickel sulphide discoveries,” Dorsch said.
Airborne and ground electromagnetic work will commence immediately, with drilling anticipated in the third quarter of this year.