Plans To Truck Tailings To Windarra
Poseidon Nickel (ASX:POS) hasdeclared a JORC 2012 compliant Mineral Resource of 1.5 Mt @ 1.25 g/t Au for the Lancefield Tailings Project in Western Australia.
The company has purchased an option to acquire the right to treat the Lancefield Gold Tailings. If the option is exercised the company will enter into a Royalty and Right to Treat Agreement with the licence holder of the Lancefield tailings, granting the company the exclusive right to reprocess the gold tailings from the Project.
The company has developed a model of trucking the Lancefield Tailings to Windarra and treating there together with the Windarra Gold Tailings
The Lancefield Tailings Mineral Resource estimate has been generated following a sonic drilling programme undertaken during Q4 2020 at the Project which complemented a resource definition drilling programme completed in 2009.
The 2020 drilling programme comprised 23 holes, 10 of which twinned the previous drilling plus 13 additional holes. In addition to the 2020 drilling programme, an extensive pulp re-assay program was carried out on the rejects from the 2009 drilling.
The Lancefield Gold Tailings will now be incorporated into the Definitive Feasibility Study currently being undertaken on the Windarra North and South Tailings Dams that contain an Indicated Mineral Resource totalling 105,000oz gold. The Definitive Feasibility Study is due for completion late Q1 2021.
The Project is located 720 km northeast of Perth, 260 km north northeast of the major mining town of Kalgoorlie, and about eight km north northwest of the town of Laverton, in the northern Goldfields region of Western Australia. It is serviced by sealed roads from Kalgoorlie via Leonora to Laverton. The Project is 17 km by road from the company’s Windarra Gold Tailings Project.
The Project contains tailings from the gold operations conducted at the adjacent Lancefield open pit and underground gold mine. Gold ore was processed onsite at Lancefield until 1981 and from 1981 to 1994 material was trucked to Western Mining Corporation’s (WMC) nearby Windarra plant, where the tailings were deposited mainly on the North and South dams. The Lancefield Project reflects tailings generated from the Lancefield open pit and underground gold mine prior to 1981.
