Sabre Resources Ltd’s (ASX: SBR) recently completed surface moving- loop electromagnetic (MLEM) survey at Sherlock Bay has detected a strongly conductive massive sulphide target extending for up to one km at the western end of the existing nickel-copper-cobalt sulphide resource in Western Australia.
Importantly, the strongest MLEM anomaly is located to the west of the massive and matrix-breccia sulphide intersections in SBDD0021 and SBDD003A2, that are centred at around 300m below surface in the Discovery Zone and remain open to the west and at depth.
The massive and matric-breccia sulphide mineralization intersected in both SBDD0021 and SBDD003A2 is on the margin of the Sherlock Intrusive, as targeted, below and at the western end of the current resource.
These sulphide intersections correlate with a strong down-hole EM (DHEM) conductor (C3) that has also been detected by the surface MLEM survey, forming the eastern part of the one km strike-length, strong MLEM anomaly.
The fact the new MLEM anomaly is stronger than the surface MLEM anomaly associated with the massive/matrix breccia sulphides intersected in SBDD0021 and SBDD003A2, highlights the strong potential for further massive sulphide discoveries in this new and untested target zone.
“The detection of a major new, untested, EM conductor extending west of the current nickel sulphide resource at Sherlock Bay highlights the potential to expand and upgrade the existing nickel-copper-cobalt sulphide resource and enhance the project’s economics,” CEO, Jon Dugdale, said.
“Significantly, the new EM anomaly is the strongest detected from surface to date and lies immediately west of the Company’s recent massive and breccia matrix sulphide intersections. This indicates strong potential for additional massive sulphide discoveries in this new target zone.
“The project economics of Sherlock Bay have already been shown to be cash-flow positive at a nickel price of US$10/lb. This would be significantly enhanced through further, higher-grade, sulphide discoveries on top of the more than 30% increase in the nickel price since the scoping study was completed – based on increased global demand for ‘future facing’ battery metals.”
A high-priority diamond drilling programme to test these strong MLEM anomalies is set to commence as soon as possible post the northern wet season.
In parallel with the drilling programme, Sabre will evaluate the potential to significantly upgrade the existing 110,000kt (NiEq) Sherlock Bay nickel sulphide resource once all results from the recently completed ~2,400m drilling programme are received.
The current JORC 2012 Mineral Resource for the Sherlock Bay Nickel Project is 24.6Mt @ 0.40% Ni, 0.09% Cu, 0.02% Co (0.45% NiEq) containing 99,200t Ni, 21,700t Cu, 5,400t Co (110kt NiEq), including Measured: 12.48Mt @ 0.38% Ni, 0.11% Cu, 0.025% Co; Indicated: 6.1Mt @ 0.59% Ni, 0.08% Cu, 0.022% Co and Inferred: 6.1Mt @ 0.27% Ni, 0.06% Cu, 0.01% Co3.
Sabre completed a Scoping Study on the Sherlock Bay nickel sulphide deposit in January 2022 which highlighted significant cash-flow potential at a nickel price of US$10/lb (US$22k/t). The nickel price has since increased by over 30% to around US$13.50/lb (US$29k/t).
The discovery of additional high-grade nickel sulphide resources, indicated by the recent drilling intersections and the new strong EM anomalies, would strongly enhance the economics of the Sherlock Bay nickel-copper-cobalt project.
For further information please visit: https://sabresources.com/
