Australian Mines Limited (ASX:AUZ) has commenced an additional exploration programme across its Sconi Nickel-Cobalt-Scandium Project in North Queensland, Australia.
The additional exploration programme is intended to complement the existing resource at the Sconi Project and encompasses 14 targets.
These targets are being investigated for their potential nickel and cobalt mineralisation, in the first instance via surface soil and rock sampling, field portable XRF geochemical analysis and geological mapping.
The results of the current programme will be used to plan the next phase of exploration at the Sconi Project, which is intended to include a reconnaissance drilling program of priority targets.
Further infill and extensional drilling phases may then follow, which would be designed to increase confidence in the grade and volume.
Australian Mines entered into a binding long form offtake agreement with LG Energy Solution (LGES) for mixed nickel-cobalt hydroxide precipitate sourced from Sconi in August 2021.
During the initial six-year term of the offtake agreement LGES has agreed to purchase 71,000 dry metric tonnes (DMT) of nickel and 7,000 DMT of cobalt.
The additional exploration activities being undertaken at Sconi may result in an upward revision of the project’s mineral resource estimates and the project life span, with the potential to enhance the longer-term commercial potential of Sconi.
For further information please visit: https://australianmines.com.au/
