PROJECTS

PINNACLES NICKEL PROJECT
(PEN 100%)

An assessment of a previous moving loop electromagnetic survey (MLEM), at the Pinnacles Nickel Project, has been completed. This has highlighted a significant bedrock conductor consistent with the response of a massive nickel sulphide accumulation. The conductor has been modelled to have a strike extent of approximately 200 metres and is interpreted to be hosted within ultramafic on the basement contact with mafic lithologies.

Further to this, an assessment of past drilling in the area has indicated that shallow RAB drilling approximately three kilometers to the north of the conductor intersected significant nickel mineralisation in the weathered profile within the same ultramafic unit. Drill hole PNR266 drilled in 1998 intersected 1 metre at 3.5% Nickel, 0.15% Copper from 37 metres depth. This zone has not been covered with MLEM and a programme will be planned to further test this area for potential massive sulphide conductors.

The Company considers the Pinnacles Nickel Project to be a high priority target for follow up exploration. A programme of detailed fixed loop electromagnetics and drill testing is currently being planned. In addition, further moving loop electromagnetics will be utilised to test a further eight kilometers of the interpreted basal contact not previously tested with electromagnetics. Programmes have been delayed pending the granting of a key tenement.