West Lynn and Woodsreef Projects (NSW)
West Lynn Nickel Cobalt Project (100sq.km)
The West Lynn Nickel-Cobalt Project (EL8631) contains a JORC 2012 edition inferred resource of 21.3Mt @ 0.84% Ni, 0.05% Co, 2.4% Al, 20.0% Fe, 12.9% MgO (refer to Alchemy Resources Limited ASX announcement dated 19 February 2019).
Discerning features of the West Lynn Project include:
- good potential for expansion of the current Ni-Co resource along and across strike (Figure 3 & 3a)
- 6km from Nyngan railway line linked to Sydney and Newcastle
- 13km from Nyngan township (power & labour)
- good initial metallurgical recoveries reported using nitric acid leach (patented DNi Process™)
- DNi process provides potential for atmospheric leach / standard solvent extraction for Ni-Co-Al avoiding high upfront capital expenditure
- Advantages of the DNi nitric acid process over normal sulphuric acid leaching include:
- efficient acid recycling (>95%),
- potential MgO by-product (for fertiliser), and
- benign tailings product
• Potential to produce High Purity Alumina (HPA) from both the Ni-Co rich layer and a kaolinite layer at Summervale that overlies the Ni-Co resource (Figures 3d-3g)
Woodsreef Nickel-Cobalt-Copper-Gold Project (281sq.km)
Exploration licence application (EL8711) is located 35km north of Tamworth, NSW, and covers an area of 281km2 within the New England Fold Belt. The licence encompasses a 34km long section of the Peel Fault, which is recognised as a regional thrust system that hosts intrusive serpentinites and separates the Woolomin Beds and Permian granites to the east from the Tamworth Belt to the west. The principal targets in the region are vein hosted orogenic gold and copper mineralisation hosted by silica-carbonate altered serpentinites located on or adjacent to the Peel Fault, and cobalt, chromite, platinoid, and nickel sulphide targets associated with composite/layered ultramafic intrusives within the licence.
Many old gold and copper occurrences exist within the area (Figure 4), and previous rock chip sampling by Serpentine Minerals NL within the licence area has returned anomalous nickel values up to 0.77% Ni and copper values up to 3.4% Cu (refer to DIGS report R00024733). Some significant Co-Ni soil anomalies have been generated in the northern part of the licence that warrant drilling (Figure 4), along with various other Co-Ni and gold in stream sediment sampling anomalies in the southern and central areas respectively (Figures 4 and 5). No previous drilling has been conducted within the licence area. The licence is located over sparsely populated freehold farm land.