Mining Projects Group (ASX:MPJ) highly anticipated drilling program at the Roe Hills Project has delivered a narrow nickel-copper sulphide vein grading between 10.0%-12.6% nickel and up to 2.75% copper in the first diamond hole.
The 3cm wide pyrrhotite-pentlandite sulphide vein in hole RHDD0001 at a depth of 215.3m downhole was detected from using a Portable XRF Analyser.
The high grade nickel-copper sulphides intersected are likely indicative of remobilised sulphides from a nearby primary nickel source.
The intersection occurs within a sequence of inter-fingering thin flow komatiitic ultramafic flows and sedimentary units which mark the edges of the lava channel system.
The sulphide vein is hosted towards the top of a thin 20 metre thick orthocumulate komatiite lava flow which again supports the remobilised nature of the mineralisation.
The wholly-owned Roe Hills is located within a 50 kilometre length of prospective nickel bearing komatiitic greenstone belt, around 110 kilometres east of Kalgoorlie.
Details of the drilling
RHDD0001 is a stratigraphic diamond hole drilled to locate the position of the inter-fingering edges of the host lava channel 80 metres southeast and down plunge from historic intersections at the Talc Lake Prospect.
A second hole named RHDD0002 has commenced 80 metres to the west and down dip of RHDD0001.
It is targeting the modelled centre of the host komatiitic lava channel which is interpreted to be the source of the nickel sulphide mineralisation and provide a DHEM platform.
The core is currently being cut and will be submitted to the laboratory for assaying.
The anticipated initial 15 hole diamond drill campaign will cover 5,000 metres at Roe Hills.
MPJ has formally engaged OnQ drilling to complete the initial phase, and an agreed extension of up to 10,000 metres.
The extension will incur a discount rate on all metres drilled, and 25% of consideration for drilling services will be satisfied by issuing MPJ shares.
MPJ recently raised $1.395 million by way of a placement which has ensured ample funding to complete 10,000 metres of drilling, including the geophysical works to be conducted by Newexco.
The drill holes will provide a platform for Down-Hole Electromagnets (DHEM) which will be completed by Newexco.
The DHEM is a highly successful survey method used to potentially locate and define the source of the mineralisation in conjunction with the already successful geochemical and geological modelling.
The NQ2 sized diamond drill core is currently being cut in the field and will be sent to the laboratory for accurate multi-element analysis.
MPJ said that due to the narrow nature of the intersection a wider sample will need to be submitted to the laboratory which will result in a broader but diluted assay result from those quoted within this report.
Newexco Services and Neil Hutchison
Bill Amann and Adrian Black from Newexco have been responsible for the discovery of multiple major nickel sulphide deposits, including Sirius Resources' (ASX:SIR) Nova-Bollinger in the Fraser Range, about 50 kilometres from MPJ's current exploration.
Interestingly, in the case of MPJ, they have chosen to take MPJ shares as part payment for their services.
This gives them additional exposure to any discovery, and is indicative of their optimism for MPJ's ground.
Hutchison engineered the discovery of the Cosmos and Windarra nickel deposits.
While it is still early days for MPJ at Roe Hills, today's high-grade results add to the theory of where there is smoke there is fire.
The assays from the first hole will be highly anticipated.
Near-term newsflow is set to ramp-up with the second hole of the drilling program already underway.
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